IMPORTING PORTFOLIO

IMPORTING PORTFOLIO
ASHLEY DOUGLAS
Applications of International Importing
using procurement and supply chain
methods.

Table of Contents
COMPETITIVE STORE SURVEY
COUNTRY PROFILE
COUNTRY ANALYSIS
BUSINESS PROTOCOL
IMPORTING TRADE AGREEMENTS
CLASSIFYING THE PRODUCT - HARMONIZED TARIFF SCHEDULE
THE COST SHEET
PRO FORMA INVOICE
SHIPPING ROUTES
PACKING LIST
COMMERCIAL INVOICE
PG 4.
PG. 7
PG. 10
PG. 13
PG. 16
PG. 19
PG. 20
PG. 21
PG. 22
PG. 23
PG. 24
2

Competitive Store Survey
Brick and Mortar Store: JC Penney-Briarwood Mall
1. Evaluate the exterior of the store:
The parking lot is maintained. It could use a fresh coat of paint on the lines.
Lighting is the parking lot is sufficient for customers to see at night. All that’s
displayed on the exterior of the building is the name of the department store
and a few signs in the glass doors with their new logo and sales promotions.
There are no windows for displays. The exterior is very bland and basic.
2. Evaluate the interior of store:
Upon entering the store there is a cash wrap and mannequins and displays to
the left and right. Departments and brand labels are separated with distinct
signage. From my previous experience in the store I can noticeably see the
changes and renovations the store has made. The store is better organized and
has various amounts of new updated displays and fixtures. They are a mixture
of all different types of materials and textures to accommodate the brand and
style that it is displaying. The new look gives the store a more modern and
upscale feel but their price range has not changed. The floor is still tiled
although in certain designer brands they have rugs and carpeting. They have
moved their signage to hang from the ceiling over the deserved racks instead of
toppers on the racks. The store is very well maintained and the merchandise
looks of great quality. The store has a more inviting feel with a lot more seating
areas and bright colors. Soft music was playing although no smell of any sort.
The location of the customer service and other amenities is still the same.
3. Pricing
The pricing of the brick and mortar is within the same price range as the online
store. JC Penney’s price scale is $17- $30 regular price while the online store is
$19.50 or $27.95 regular price. There is a slight difference in the number of
choices of the price within the range. My plan for Perry’s is to sell at the lower
end of this price scale between $15 and $20. JC Penney offers a variety of
brands including our top seller of Oshkosh while the on-line store sells private
label only.
4. Classifications

JC Penney offers boy’s size 4-7x in slim, boot cut, skinny, super skinny, relaxed,
straight-leg, and husky. For the boys department they cover just about every
style of denim except for utility.
5. Vendors
1) Arizona
2) Levi
3) Okie Dokie
4) Oshkosh
5) Vans
There are no unique vendors or private label for this department.
6. Explain what you like about these stores and how you can improve your
denim classification.
I like that the store offers different brand for the customer to choose from
because not all brands fit the same. Also they price range is very nice, they give
the customer more options to choose from depending on their budget. They
could improve their denim selection by adding even more different brands and
a utility style.
7. Explain what you do not like about these stores and how you can improve
your department.
The only thing I would improve upon is displaying the product more so that
the customer can see the look of the jeans on a human form.
Online Store – Children’s Place
1. Evaluate the home page & Departments Access
The home page for children’s place displays their recent sale they have going
on. Also the text is in bright bold print. All the departments are labeled across
the top, placing the mouse over the department you can easily see the subclassifications
of each department to click on. It is divided into girl (4-14), baby
girl (6m-5T), boy (4-14), baby boy (6m-5T), newborns (0-24m), shoes, accessories
and clearance.
2. Evaluate the department, graphics, and merchandise.
Under the departments on the home page, it is then split into categories of type
of clothing (i.e. Outfits, graphic tees, short sleeve tops, long sleeve tops,
4

sweaters, active wear, denim, pants, shorts, outerwear, jackets & vests, school
uniforms, special sizes, sleep & underwear, accessories, shoes, clearance) The
home page for the departments displays all the classifications along the side
and outfit selections and top sellers from top classification are displayed with a
picture of the clothes. The pictures of the clothes are flats although they have a
beige background to contrast against the white main background. All denim is
displayed on a human figure to see the way the pants fit. They are also
displayed with shoes. If you choose a pair a very detailed description displayed
with multiple angles of the pants to look at as well as washes.
3. Pricing
The pricing of the on-line store is within the same price range as the brick and
mortar store. Children’s Place price scale is $19.50 or $27.95 regular price
while the brick and mortar store is $17- $30 regular price. There are not very
many options when it comes to pricing. My plan for Perry’s is to sell at the
lower end of this price scale between $15 and $20. Children’s Place does not
offer a variety of brands it is private label only.
3. Classifications
The different classifications for the denim department are skinny, straight, boot
cut, utility, slim denim fit, and husky denim fit. They have every type of style
denim available for the boys department.
5. Vendors
Children’s Place only carries their own private label. This can be a limitation on
their offerings and fit.
6. Explain what you like about these stores and how you can improve your
denim classification.
I really like their price range. It is very affordable and the way they display their
clothes make them appeal of very high quality.
7. Explain what you do not like about these stores and how you can improve
your department.
The only disadvantage is that they can improve their denim classification by
offering at least one or more national brands.
5

Country Profile Sheet
After analyzing and profiling several countries (China, India, Canada) with a
NAFTA agreement with the United States, I concluded that is was best to trade
through Mexico because they are a free market economy that is close in
proximity for transportation for both land and sea.
Mexico:
o Traits of the country
- Social
• Nationality: Mexican
• Language: Spanish only 92.7%, Spanish and
indigenous languages 5.7%, indigenous only
0.8%, unspecified 0.8%
• Religions: Roman Catholic 76.5%, Protestant
5.2% (Pentecostal 1.4%, other 3.8%),
Jehovah's Witnesses 1.1%, other 0.3%,
unspecified 13.8%, none 3.1% (2000 census)
• Education: Literacy age 15+ can read and write
86.1%; school life expectancy 14yrs
- Political
• Federal Republic
• 31 states
• International Organization Participation: APEC,
BCIE, BIS, CAN (observer), Caricom
(observer), CD, CDB, CE (observer), CELAC,
CSN (observer), EBRD, FAO, FATF, G-20, G-
3, G-15, G-24, IADB, IAEA, IBRD, ICAO,
ICC (national committees), ICRM, IDA,
IFAD, IFC, IFRCS, IHO, ILO, IMF, IMO,
IMSO, Interpol, IOC, IOM, IPU, ISO, ITSO,
ITU, ITUC (NGOs), LAES, LAIA, MIGA,
NAFTA, NAM (observer), NEA, OAS, OECD,
OPANAL, OPCW, Paris Club (associate),
PCA, SICA (observer), UN, UNASUR
(observer), UNCTAD, UNESCO, UNHCR,
UNIDO, Union Latina (observer), UNWTO,
UPU, WCO, WFTU (NGOs), WHO, WIPO,
WMO, WTO
• Time Difference: UTC-6 (1 hour behind
Washington, DC during Standard Time)
Mexico is divided into three time zones
6

- Cultural
• Family is the center of the social structure.
• Traditional Hierarchical society: Father is head of
household
• Business is highly stratified and vertically structured
• Rank is important and those above you must be
respected
• It is disrespectful to break the chain of hierarchy
• Remarks to women is a sign of Machismo
(masculinity) and is not considered harassment
• Etiquette & Customs:
o When greeting in social situations, women pat
each other on the right forearm or shoulder,
rather than shake hands
o Men shake hands until they know someone
well, at which time they progress to the more
traditional hug and back slapping.
o Wait until invited before using a Mexican's
first name
• Business Meeting Etiquette:
o Initial meetings are formal.
o Have all written material available in both
English and Spanish.
o Agendas are not common. If they are given,
they are not always followed.
o Business cards are exchanged during
introductions with everyone at a meeting.
o It is advisable to have one side of your
business card in Spanish.
o Business cards should contain both your
professional and educational qualifications.
o Present your business card with the Spanish
side facing the recipient.
- Economic
• Free Market economy in the trillion dollar class
• Dominated by the private sector
• GDP: 1.667 Trillion
- Geographic
• Location: North America, bordering the
Caribbean Sea and the Gulf of Mexico,
between Belize and the United States and
7

ordering the North Pacific Ocean, between
Guatemala and the United States
• Natural Resources: petroleum, silver, copper,
gold, lead, zinc, natural gas, timber (the
government considers the lack of clean water
and deforestation national security issues)
o Contributing Factors
- Labor
• Labor Force: 49.17 million
- Inputs
• Imports: metalworking machines, steel mill
products, agricultural machinery, electrical
equipment, car parts for assembly, repair
parts for motor vehicles, aircraft, and
aircraft parts
- Products
• Exports: corn, wheat, soybeans, rice, beans,
cotton, coffee, fruit, tomatoes; beef, poultry,
dairy products; wood products
- Transportation
• Airports: 1,724
• Heliports: 1
• Railways: 17,166km
• Waterways: 2,900 (navigable rivers and coastal
canals mostly connected with ports on the
country's east coast)
• Ports: Altamira, Coatzacoalcos, Lazaro
Cardenas, Manzanillo, Salina Cruz, Veracruz
• Merchant Marine: bulk carrier 5, cargo 3
- Business Climate
• The top 3 obstacles to running a business in Mexico
include the Practices of the Informal Sector, Tax
Rates, and Access to Finance.
• 70.3% of firms compete against unregistered or
informal firms
• Declines in six of the 10 economic freedoms
including trade freedom, business freedom, and
investment freedom
8

Country Analysis
Country selected to import denim jeans
MEXICO
1. Stability of the country: Discuss the status of the government,
relationships with other countries, social unrest, and so on.
• Mexico is the most populated Spanish speaking country in the world and
has 112 million people with 78% living in urban areas. 10% of the
population is considered wealthy class and about 45% in poverty earning
less than USD $10 per day. The remaining 45% of the population is
considered middle class. Mexico has a very young population with a
median age of 27. It offers a large market with a GDP of approximately
USD $1.1 trillion. Per capita income is USD $15,100.
• Mexico is a stable democracy
• The banking system in Mexico has shown signs of growth after years of
stagnation, but interest rates remain relatively high. In particular, small
and medium-sized enterprises (SMEs) find it difficult to obtain financing
at reasonable rates despite Mexican Government efforts to increase
capital for SMEs. U.S. companies need to conduct thorough due
diligence before entering into business with a Mexican firm, and should
be conservative in extending credit and alert to payment delays. As one
element in a prudent due diligence process, the U.S.
• Commercial Service offices in Mexico can conduct background checks
on potential Mexican partners. U.S. companies should assist Mexican
buyers explore financing options, including Export-Import Bank
programs.
2. Conditions that may affect lead-time of production: List any natural
disasters, cultural situations, and so on.
• Violence among transnational criminal organizations has created
insecurity in parts of Mexico, particularly in some border areas. Crime in
Mexico continues to occur at a high rate and can often be violent. Street
crime, ranging from pick pocketing to armed robbery, is a serious
problem in most major cities. Carjacking are also common, particularly
in certain areas Resort areas and tourist destinations in Mexico generally
do not see the levels of violence and crime reported in the border region
and in areas along major trafficking routes.
9

• It can be difficult to find a single distributor or agent to cover this vast
market.
• Pirated Merchandise: Counterfeit and pirated goods are widely available
in Mexico. Their sale is largely controlled by organized crime. Purchase
for personal use is not criminalized in Mexico; however, bringing these
goods back to the United States may result in forfeitures and/or fines.
• While in a foreign country, U.S. citizens may encounter road conditions
that differ significantly from those in the United States.
• The United States and Mexico have a long history of cooperation on
environmental and natural resource issues, particularly in the border
area, where there are serious environmental problems caused by rapid
population growth, urbanization, and industrialization
3. Trade organizations the country is a member of
NAFTA, UN, OAS, APEC, OECD, IMF, WB, WTO
4. Laws, quotas, or duties that apply to the product of import
Due to NAFTA there are no specified laws, quotas or duties
5. Type of foreign currency and current exchange rate
Mexican Peso (MXN)
Exchange rate: 1USD=12.68637 MXN
6. Ports within the country and shipping companies
Ports:
1) Veracruz
a. http://www.searates.com/port/veracruz_mx.htm
2) Altamira
3) Coatzacoalcos
4) Lazaro Cardenas
5) Salina Cruz
6) Ampico
7) Guayas
8) Mazatlan
Shipping Companies:
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1) MSC – Mediterranean Shipping Company
http://www.mscgva.ch/about_us/about_us.html
2) Next Ocean Shipping http://www.shipnex.com/International-Ocean-
Shipping/Mexico
3) Amerijet https://www.amerijet.com/shipping-mexico.html
4) Universal Cargo Mgmt.
http://www.universalcargo.com/international_shipping_company/?gclid=
CLfU5-aJr7UCFcc-MgodR30ADQ
http://www.handyshippingguide.com/shipping-schedules/sea-freightservices-fcl-conventional-carriers/mexico/veracruz
7. Suppliers within your selected country that manufacture denim jeans.
Discuss the pros and cons of each supplier, and select the supplier that
best suits your needs.
Company Pros Cons
CMT Denim
http://www.cmtdenim.com/cmt.h
tml
Tavex
http://www.santist
atextil.com.br/16/
home.html
Out of Mexico
http://www.outof
mexico.com/
Indigo Trade
Mexico
http://indigotrade
mexico.com/abou
tus.html
• Fabric and Trim Warehouse near
manufacturing
• 18 hours to reach landing point
in Texas
• 48 hours to reach most
distribution centers
• Washes done in LA
• 2.5 AQL quality audit system
• Re-Uses 70% of water
• Land
Locked
• Can only
travel by
truck
• 10 factories in 3continents • Not really
a lot of
info about
• Denim is their specialty
• 2.5 AQL
• Retails to JC Penney, Sears, Gap
• 20min from TRC airport
• Washed in LA
• Short Production lead times
• Produce and ship 3-4 weeks
• No minimum
• Land
locked
11

Business Protocol
I. Type of culture (polychronic or monochronic)
a. Mexico Is Polychronic
II. Masculine or feminine (basis of culture) and gender
Issues
a. Masculine
i. Women are discriminated against in the workplace, earning
less
ii. Rising number of murder of women and domestic violence
III. Negotiation style and strategies
a. They are comfortable with
i. Hierarchical structures
ii. Clear authority figures
iii. The right to use power with discretion
b. North tend to be more business-focus and often have a high sense
of urgency
c. South have a stereotypical manna attitude of conducting business
at a leisurely pace
d. Group oriented
e. Tell you what they think you want to hear rather than what they
really think
f. Silence is rare and a sign of a serious problem
g. Being overly direct is perceived as rude and pushy
h. A senior executive should attend first meeting and negotiating
team includes senior leaders
i. Long-term commitment for business
j. Competitive style
k. Non-confrontational
l. Win-win approach
m. Slow and protracted
n. May take several trips to achieve objectives
o. Holistic approach
p. Requesting a compromise may become an issue of pride
IV. Type of communication (high-context or low-context)
a. High Context
i. Close Connections
ii. Less verbally explicit (more non-verbal cues)
iii. Less written/formal communication (trust)
iv. Strong boundaries (Defined roles of authority and
differences in status)
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v. Relationship focused (More personal and face-to-face
relationships)
b. Many business people speak and prefer American English
c. Dislike loud and boisterous behavior
V. Social and cultural elements
a. Appropriate business dress
b. Introductions
i. Include a local intermediary/ interpreter
ii. Greet senior person first
iii. Handshake
iv. Men should wait for women to imitate handshake
v. If she doesn’t want to shake hands, best to bow slightly
c. Presentation of business cards
i. Use cards with English on one side and Spanish on the
other
ii. Show doctorate degrees on card
iii. Spanish side facing recipient
iv. Smile and keep eye contact when accepting someone else’s
card, and examine it
d. First name or title
i. Names are usually given in order of first name, family
names
ii. Most have two family names
iii. Use Mr., /Mrs./Miss or Senor/ Senora/ Senorita plus father’s
family name
iv. Academic title: Doctor/ professor or Ingeniero, Licenciado,
Arquitecto plus fathers family name
e. Gestures
i. A slight movement of eyes may indicate embarrassment,
showing respect, or disagreement
ii. Hugging may communicate the development of a trusting
relationship
iii. American sign OK, with thumb and index finger is a
obscene gesture
f. Colors, numbers, and their meanings
i. Red and yellow together = fiesta
ii. Red and white = religious symbolism
iii. White = magical
iv. Green = independence or hope
v. Red = unity or the blood of the country’s heroes
g. Space
i. More tactile and allow touching
13

VI.
ii. Stand only two feet or less apart
iii. Don’t’ back away, a sign you are uncomfortable
h. Gift giving
i. Time
i. Flexible in start and end times
ii. Breaks when appropriate
iii. Present and past Orientated
iv. Schedule appointment 1-2 weeks in advance
v. Always inform them on who they will be meeting
j. Joke telling
i. Appreciated, light and friendly
Business entertaining
a. Proper use of utensils
i. Mexicans do not switch knives and forks. The knife remains
in the right hand, and the fork remains in the left.
ii. When not holding utensils, your hands are expected to be
visible above the table: this means you do not keep them in
your lap; instead, rest your wrists on top of the table (never
your elbows).
iii.
b. Table manners
i. Do not begin eating until the host says, "Buena provecho!"
ii. Pass all dishes to your left
iii. Any salad will usually be served after the main course.
iv. The most honored position is at the head of the table, with
the most important guest seated immediately to the right of
the host (women to the right of the host, and men to the
right of the hostess)
v. Usually the one who does the inviting pays the bill
c. Alcoholic beverages
i. Tequila
d. Appropriate conversation subjects
14

Importing Trade Agreements
Mexico has several importing trade agreements. The most important is
the North American Trade Agreement (NAFTA). In the NAFTA agreement
established in 1994 between the United States, Canada, And Mexico, these
countries are able to trade and invest with each other free of duties and
quantitative restrictions. There are a number of institutions that work to ensure
that agreement and it’s implementation are performed correctly, for example,
the free trade commission that is made of ministerial representatives that
supervise the implementation and elaboration of the agreement.
There are several other free trade agreements that Mexico has which
include a bilateral free-trade agreement with Chile in 1998; it states that each
country would gradually reduce tariffs on (three categories). Mexico also has a
trilateral free-trade association called the Group of Three (G-3) with Colombia
and Venezuela. This agreement took place in 1994 where tariffs on most
products were to be gradually eliminated over ten years. Then in March 1994,
Mexico entered a bilateral free-trade agreement with Costa Rico; it eventually
expanded into an agreement with Central America including El Salvador,
Guatemala, Honduras, and Nicaragua. Other agreements include Peru, Bolivia,
Japan, Uruguay, EFTA member states (Iceland, Liechtenstein, Norway, and
Switzerland), Israel, and the European Union (EU).
There are numerous policies and procedures that are enforced for
clearance into the U.S. by the Customs and Border Protection (CBP). The
following is all United States Requirements for Importing:
1. An individual may make his own customs clearance
of goods imported for personal use or business.
2. The U.S. Customs Service does not require an
importer to have a license or permit. Other agencies
may require a permit, license, or other certification,
depending on the commodity.
3. All merchandise coming into the United States must
clear customs and is subject to a customs duty unless
specifically exempted from this duty by law.
Clearance involves a number of steps--entry,
inspection, appraisal, classification, and liquidation.
4. Customs duties are, generally, an ad valorem rate (a
percentage), which is applied to the dutiable value of
the imported goods. Some articles, however, are
dutiable at a specific rate of duty (so much per piece,
15

liter, kilo, etc.) others at a compound rate of duty
(combination of both ad valorem and specific rates).
5. The dutiable value of merchandise is determined by
Customs. Several appraisal methods are used to
arrive at this value. Generally, the transaction value
of the merchandise serves as the basis of
appraisement. Transaction value is the price the
buyer actually pays the seller for the goods being
imported.
6. The Harmonized Tariff Schedule of the United
States (HTSUS), issued by the International Trade
Commission, prescribes the rates of duty and
classification of merchandise by type of product; e.g.,
animal and vegetable products, textile fibers and
textile products.
7. The tariff schedule provides several rates of duty for
each item: "general" rates for most-favored nations;
"special" rates for special trade programs (free, or
lower than the rates currently accorded most-favored
nations);
Processing fees may also apply.
Once goods have arrived they must file the appropriate documents by the agent
or importer. The carrier chosen gives notification of arrival to the importer. If
you are unable to be there to prepare and file your entry, commercial brokers,
known as customs brokers and licensed by the Customs Service, may act as
your agent. In order to avoid delays all papers are to be filed immediately from
the first port of entry. Below is the list of the documentation needed:
1. A bill of lading, airway bill, or carrier's certificate
(naming the consignee for customs purposes) as
evidence of the consignee's right to make entry.
2. A commercial invoice, obtained from the seller,
which shows the value and description of the
merchandise.
3. Entry manifest (Customs Form 7533) or
Entry/Immediate Delivery (Customs Form 3461).
4. Packing lists, if appropriate, and other documents
necessary to determine whether the merchandise
may be admitted.
5. When the entry is filed, the importer indicates the
tariff classification and pays any estimated duty and
processing fee. A surety bond containing various
conditions, including a provision for paying any
16

increased duty that may be later found to be due,
may also be required.
There are speedier ways to clear customs; this includes electronically entering
documentation to the Customs Automated Commercial System (ACS). This
process can reduce clearance from days to even minutes. Also the dollar value
of your import is determined if the entry is Informal or formal. This is
determined by the goods value, if $2,000 or less the goods re informal and if
more they are formal and require a surety bond in case the goods don’t meet
federal standards. This bond allows the importer to take the goods prior to
paying the duty. When importing textiles all apparel must have labels
specifying content, instructions for care, and country of origin. This helps with
the examination of goods at customs. The reason for the examination is as
follows:
1. The value of the goods for customs purposes
and their dutiable status.
2. Whether the goods must be marked with the country
of their origin or with special marking or labeling. If
so, whether they are marked in the manner required.
Generally, imported merchandise must be legibly
marked in a conspicuous place and in a manner to
indicate the English name of the country of origin to
the ultimate purchaser in the United States. Certain
specific articles are exempt from this requirement.
3. Whether the goods have been correctly invoiced.
4. Whether the shipment contains prohibited articles.
5. Whether requirements of other federal agencies
have been met.
6. Whether goods in excess of the invoiced quantities
are present or a shortage of goods exists.
If any discrepancy occurs there could be and increase in duty if there is one. In
essence, to import from another country one must fully understand all the laws,
agreements, policies and procedures needed to bring that product into the
country. If any mistakes are made it could mean delays, which effects lead times
and even sells.
17

Classifying the Product
The product that is being imported is a denim jean, boy’s size 4-7. Following are
instructions on how to locate the products classification number according to the
Harmonized Tariff Schedule:
1. Section XI: textile and textile articles
2. Chapter 62 Articles of apparel and clothing accessories, not knitted or
crocheted
3. Number 3 (a) -­‐ my product is classified as “one garment designed to cover
the lower part of the body and consisting of trousers, breeches or shorts…
etc.”
o Under heading/ subheading 6203 and 6204
4. My product number is 6203.19.10
5. Unit of Quantity is 347 doz. kg
6. Duty is Free due to being shipped from Mexico
18

The Cost Sheet
Style #: B00412___________________________________ Date: March 12, 2013
Description: Boot Cut 5 pocket childrenʼs jean
Season: __F13
Fabric: __8oz Rain Wash Indigo Denim______________________________________________
Size 4 5 6 7
Size Scale 1 2 3 3
Sketch
Material Yardage Price Cost
Stretch Denim 1 $5.75 $5.75
58”
Total Material $5.75
Trim/Findings Quantity Price Cost
Snap 1 .43 $.43
Zipper 4” 1 .50 $.50
Thread 1 .15 $.15
Rivets 3 .01 $.03
Main Label 1 .03 $.03
Care Label 1 .03 $.03
Price Ticket 1 .04 $.04
Packaging 1 .15 $.15
Total Trim $1.33
Labor
Cost
Cutting/ Sewing $1.50
Enzyme Wash $1.45
Total Labor $2.95
Description
Cost
Shipping $8.00 per dozen $.67
Duty Free- NAFTA $0.00
Overhead 18% of cost $1.81
Total Manufacturing Cost: _________$12.51
Markup: ____59.9%_______
Retail Price: _____$20.00___
19

Pro Forma Invoice
BANKERS
ROOM 1033 STAR HOUSE
SALISBURY ROAD
KOWLOON, HONG KONG
BUYER: Pro Forma No.: 650 Date: 3/13/13
PERRY'S DEPARTMENT STORE Order No.: PDS01-06 Date: 3/13/13
15203 KING STREET Payment Mode: LC
FREDERICKSBURG, VA 22401
USA Terms: FOB Port: Manzanillo
Ref. No. Description Packing Quantity Port Ship Date Rate US $ Amount
Boot cut 5-
pkt Jean 12/24 2,200 Ea. Manzanillo 12.51 27,522.00
Total
CBM: Total FOB US $: 27,522.00
20

Shipping Routes
Part I. Shipping Jean by Land
A. Type of box used for packing
a. Average weight of a pair of children’s jeans is 1.2lbs
b. 7” x 4” x 2” box fits about 40 pairs of jeans
B. Number of boxes needed
a. Need about 55 boxes to pack a full order of 2200 pairs of jeans
C. Type of container to be used
a. Semi- truck trailer
D. Space needed in the container
a. I need about 2 rows of four boxes stacked six boxes high.
E. Cost to ship jeans
a. According to a Quote from UPS $5800 by freight truck
F. Create a timeline from manufacturer to distribution center showing the
means of transportation
a. Pickup in the Manzanillo factory and it will take about 5 days to
travel to the California Factory.
Part 2. Shipping Jeans by airfreight.
A. Type of garment carrier to be used for packing
a. Each individual pair of jeans will wrapping in plastic and placed
inside of a wood package box
B. Number of garment carriers needed
a. Need 2 wood package boxes to ship my total shipment together
C. Space needed in air freight
a. 116 X 92 X 68
D. Cost to ship jeans.
a. According to a Quote from UPS $2800 to ship by air
E. Create a timeline from manufacturer to distribution center showing the
means of transportation
a. Picked up and delivered to airport for shipment by air to
California LAX then transported by semi-truck to the warehouse.
Based on the cost of both shipping methods, I would recommend traveling by
air. It is about $3,000 cheaper and that money can be applied to the pick-up
and delivery of the shipment. This method could also save money on packaging
cost and the cost to gas to transport.
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Packing List
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Commercial Invoices
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