Use The Internet To Research A Publicly Traded Compan 707614

Use The Internet To Research A Publicly Traded C

Use the internet to research a publicly traded company that exports to at least one foreign country. Focus on any export challenges the company may be facing. Be prepared to discuss. "Best Practices" Please respond to the following: From the activity, determine which of the issues discussed in Chapter 9 would present the greatest challenge to the company you selected. Provide specific examples to support your response. For the same company, recommend one best practice not already mentioned in Chapter 9 that would help the company address the challenge you identified. Explain your rationale.

The company that I researched on the internet is ACX Pacific Northwest. This company specializes in exporting forage and roughage products; some of their major export areas include Japan, China, Korea, and various other Asian markets. They are partnered with a company called Al Dahra Agricultural Company, LLC, located in the Middle East, which enables them to service areas in the Middle East and North Africa (ACX Pacific Northwest, 2015). One of the potential problems this exporting company could face is routed export transactions. In this type of transaction, the Foreign Principal Party in Interest (FPPI) permits a US agent or representative to facilitate a transaction on their behalf. This responsibility includes filing paperwork with the Automated Export System (AES) such as the Electronic Export Information (EEI). Another challenge this company could face is ensuring compliance; the company should always conduct due diligence and exercise reasonable care to verify that the countries they export to are not on any of the governments’ non-exporting lists.

To address the challenges identified, a best practice strategy that ACX Pacific Northwest could implement is to develop a comprehensive export compliance program. This program would designate a Compliance Officer as the point person for any questions concerning export regulations. Additionally, employees from top management down should be trained periodically on compliance topics to ensure ongoing awareness and adherence to export laws. It is crucial that top management fully supports and endorses the compliance program to maximize efficacy and instill a culture of compliance throughout the organization (Cook, Alston, & Raia, 2012).

These measures would help mitigate the risks associated with routed export transactions and compliance breaches, thereby decreasing the likelihood of fines, shipment delays, or sanctions that could jeopardize the company’s international operations. Building a culture of proactive compliance and ensuring personnel are well-informed will provide resilience against export challenges and foster sustainable global trade practices.

Paper For Above instruction

Researching a publicly traded company actively engaged in exporting goods allows for a detailed assessment of the export challenges they face and the strategies suitable to address these issues. In this case, ACX Pacific Northwest serves as an illustrative example of a company involved in exporting forage and roughage to major Asian markets, with partnerships extending to the Middle East and North Africa. Such companies encounter a range of export-related challenges, primarily revolving around routed export transactions and compliance issues, which, if unaddressed, could significantly impact operational efficiency and legal adherence.

One primary challenge in international export operations is managing routed export transactions. Routed export transactions involve a foreign principal party of interest (FPPI) authorizing a U.S. agent or representative to facilitate exporting on their behalf. This process requires accurate and timely filing of export documentation via the Automated Export System (AES), including the Electronic Export Information (EEI). Incorrect or delayed filings can result in shipment delays, fines, or even restrictions on future exports. For ACX Pacific Northwest, navigating this process demands a thorough understanding of export procedures and regulations, which may be complex due to varying foreign requirements and the intricacies of government oversight.

Another significant challenge concerns compliance, particularly the necessity of conducting diligent due diligence to ensure exports do not violate any export bans or sanctions. Countries on governments’ non-export lists pose risks of legal action if exports inadvertently occur. For ACX Pacific Northwest, the dynamic nature of international sanctions and trade restrictions implies a need for meticulous screening and ongoing monitoring of target markets. Failure to comply could lead to severe penalties, including hefty fines or loss of export privileges, undermining the company’s reputation and operational continuity.

To effectively manage these challenges, implementing a robust export compliance program is imperative. Such a program involves appointing a dedicated Compliance Officer responsible for overseeing export activities, ensuring adherence to laws, regulations, and internal policies. Regular training sessions for employees at all levels, from management to operational staff, are vital in cultivating an organizational culture of compliance. Training should encompass understanding export documentation requirements, recognizing sanctioned entities, and responding to compliance issues promptly.

Moreover, top management must demonstrate unwavering support for the compliance initiatives—allocating resources, endorsing training, and fostering an environment where compliance is integral to operational success. This leadership commitment encourages employees to prioritize regulatory adherence and instills a proactive approach to export governance (Cook, Alston, & Raia, 2012).

The strategic development of export compliance practices not only minimizes legal and operational risks but also enhances the company’s reputation in international markets. It facilitates smoother shipment processes, reduces delays caused by regulatory issues, and positions the company as a credible and compliant exporter. In the increasingly intertwined global trade ecosystem, such practices establish a firm foundation for sustainable growth and competitive advantage.

In conclusion, ACX Pacific Northwest’s export challenges primarily stem from routed export transactions and compliance management. Addressing these issues with a comprehensive export compliance program supported by leadership and ongoing employee training offers a pathway to mitigate risks and foster secure international trade operations. Effective compliance practices underpin long-term success in export activities, ensuring the company remains resilient amid evolving regulatory landscapes.

References

• ACX Pacific Northwest. (2015). Keep up with ACX Pacific Northwest, Inc. Retrieved from https://www.acxpacificnorthwest.com
• Cook, T. A., Alston, R., & Raia, K. (2012). Mastering import & export management (2nd ed.). New York: American Management Association.
• United States Department of Commerce. (2023). Export Administration Regulations (EAR). Retrieved from https://www.bis.doc.gov
• Office of Export Enforcement. (2022). Enforcement of Export Control Laws. U.S. Department of Commerce.
• U.S. Census Bureau. (2021). Foreign Trade Statistics. Retrieved from https://www.census.gov/foreign-trade/index.html
• U.S. Department of State. (2023). International Sanctions and Export Controls. Retrieved from https://www.state.gov
• Global Trade Magazine. (2022). Best Practices in Export Compliance. Retrieved from https://www.globaltrademag.com
• International Trade Administration. (2021). Export Procedures and Documentation. U.S. Department of Commerce.
• McGregor, C., & Sparks, K. (2019). Navigating Export Regulations in a Complex Global Environment. Journal of International Business Studies.
• Wilson, P. (2020). Managing Export Risks: Strategies for Success. International Trade Journal.