Salesmanship / Personal Selling

According to Robert A. Isaac, personal selling is the presentation of a promotional message through direct personal contact. It is a method of offering goods and services to the prospective customers by the person known as salesman. It facilitates face to face contact between the buyer and the seller and any inquiry about the product can be immediately answered. In fact, selling the product is making the goods and services acceptable to the customer and this effort is well made by the salesman. A salesman to be successful must  be well spoken and well dressed and have complete knowledge of his product and the company.

Product selling with reference to salesmanship requires the following steps:

• Sell the Company: Make the firm acceptable to the consumer.
• Sell the Personality: The salesman must convince the consumer that he is reliable, true, honest and competent.
• Sell the product: One above two steps are successfully accomplished getting the product acceptable to the customer is not difficult.

Disadvantages of Export

Export are heavily on the upside in mostly all respects and in societies. Its downside is very little and limited to only undeveloped countries. The main problem that arises out of exports is the scarcity of locally available essential goods. Undeveloped countries, in the rat race to earn foreign exchange at any cost, are bent upon exporting even essential goods like fruits, vegetables, meats, eggs, and other poultry and dairy goods which fall short for local consumption. The result on one hand a common man is deprived of these essential items adversely affecting his health, and on the other, these governments only earn a little fraction of foreign exchange forming a very little percentage of overall foreign exchange earnings. In Pakistan, eating fruit is luxury for a common man. Although it is an agricultural country it is unable to produce fruits, vegetables, and other products in such quantities, as not only to cater to its peoples needs but also export in maximum amount.s

Advantages of Export

Export is the other part of foreign trade by which goods and services are sold abroad. It has the following advantages:

1. Foreign Exchange Earnings: For a country foreign exchange is extremely important element in its economic system. To maximize its earnings of foreign exchange the country formulates effective foreign policies, establishes good relations with bordering and other countries, enters economic blocs. Export is one of the most important sources of foreign exchange earnings. If a country falls short of it, it seeks help from IMF (International Monetary Fund).
2. Economic Development: Export business brings economic development. Increase in export takes production to a high levels which in turn creates employment which is a significant indicator of good economic growth and development.
3. Identity of the Country: If a country produces high quality products at reasonable prices it makes a prominent place in foreign importing countries. People buy the goods by the name of that country with great confidence . Japan , Germany, U.K, France, U.S.A, and many other developed European countries have attained this respectable status. Customers across the world and readily buy products made in Japan, U.S.A , U.K., because these countries have gained customers confidence by providing quality products.

Steps In the Formation of a Company

Incorporation of a company undergoes a complicated procedure which is also time-consuming. It may take as long as one year's period. The formation requires many step to follow:

1. Getting Promoters Together: Those who form the company are known as promoters who must get together to work out the skeleton of the company. They must be at least seven for public company and two for private company. They are original shareholders and form the first board of directors.
2. Appointment of Advisors: Promoters appoint legal advisers who are expert in legal matters. They, under the guidance and instruction of promoters, prepare memorandum and articles of association, prospectus, and deal with the office of registrar of the company.
3. Preparation of Company Documents: The company law requires the preparation of certain documents in accordance with its provision before the company applies for registration.
4. Submitting Application with the Registrar: When spadework is complete an application for registration is submitted with the registrar of the company who is a competent government authority to grant registration.
5. Payment of Registration Fees: Along with the application registration fee is paid. The fee depends on the amount of registered capital.
6. Printing Share Certificates: After making an application with the registrar the promoter go to the press for getting share certificate printed. These certificates are issued to the shareholders as a token of their ownership in the company.
7. Issuance of Registration Certificate: Once the registrar is satisfied with all legal procedures, formalities, and documents, he issue registration certificate. On its issuance the company legally comes into existence. Private Company can start its business immediately after the receipt of the registration certificates. However, the public company cannot commence its business at this stage unless it gets another certificate known as commencement certificate.
8. Commencement Certificate: Even after obtaining registration certificate the public company cannot stat business unless it receives commencement certificate.
9. Publication Prospectus: On the receipt of the registration certificate the company issues prospectus to the public through advertisements. Prospectus is an invitation to the public to buy the shares of the company. Once the company raises capital through it the actual business starts. 

Correction of Invoice

Invoices occasionally may contain errors that include over-invoicing or under-invoicing. In case of such errors that following types of invoices are issued:

1. Debit Invoice : The debit invoice is issued under any of the following conditions:

• When a transaction has been omitted.
• The amount on the invoice is understand.
• If the packing materials including containers, canisters, or the like , the cost of which has not been paid, have not been returned. In this case the debit invoice is issued to demand of the buyer to pay extra charges for packing materials. The seller is bound to pay such a cost.

2. Credit Invoice: When a buyer has been over-charged or if some goods are found damaged the credit invoice is issued. In addition, if the containers, canisters or some other packing materials the cost of which had already been charged, have been returned, this invoice will be issued. Its objective is to make corrections and adjust the amount for refund. 

Objective of Proforma Invoice

Proforma Invoice is used under the following situations :

1. The amount mentioned in the invoices is the one which the buyer has to pay in advance of the delivery. Or the invoice may be sent along with the shipment. In this case the invoice amount is to be paid at the time of delivery.
2. When the seller decides that he must get the payment in advance he uses it. In the case of export the proforma invoice is presented to the custom authorities to enable them to assess the value of goods. On the ground of it import or export duty is imposed.
3. When the seller hands over the goods to his agent, the agent doesn't pay until the goods are sold. In this case the seller issues proforma invoices to the agent.
4. The seller may use it as a quotation form.
5. The proforma invoice may be issued along with the goods sent on approval. If they are accepted, the buyer will have to make payment in accordance with the proforma invoice. 

Proforma Invoice

The word proforma refer to "for form's sake". This type of invoice is issued to the buyer before the delivery is made to him. It contains such information as price, amount, packing, mail expenses, and discount.

If the amount of the order is less than the standard order of the company, additional surcharge is added and separately shown on the invoices