The role of trading companies in export and trade and the reality of their business

table of contents

    The functions of trading companies in trade

    Trading companies in trade have various roles beyond simply purchasing goods. In this article, we will introduce the functions of such trading companies.

    In a word, it plays the role of an "intermediary"

    Trading companies mainly function as intermediaries between companies and countries that want to sell and companies and countries that want to buy. The main function of a trading company is to coordinate and mediate so that domestic and international transactions can be carried out smoothly.
    In addition, the department also carries out the associated functions of information gathering, market research, and business management, and plays a role in generating new business ventures.

    We also offer proposals for logistics and financing methods.

    They also have logistics and financial functions, and are responsible for transporting products and managing finances related to commercial transactions.
    We consider and provide the most suitable logistics method for delivering goods from seller to buyer. Recently, there has been a movement to digitize logistics. At the same time, trading companies have their own financial functions, and can guarantee reliability on behalf of companies that have little experience and are worried.

    General trading companies and specialized trading companies

    There are two types of trading companies: general trading companies and specialized trading companies.

    What is a general trading company?

    General trading companies handle a wide variety of products without being biased in the items they handle.
    The proportion of business investment has been increasing in recent years, with some trading companies undertaking large-scale power generation and energy-related projects and developing infrastructure overseas.

    Some general trading companies are involved in trading operations, but they outsource this to subsidiaries, and it is common for specialized trading companies to exist under the umbrella of a general trading company.

    What is a specialized trading company?

    Specialized trading companies specialize in products in a particular field and conduct transactions by utilizing their specialized knowledge, marketing skills, and ability to deal with individual customers.
    Our main business is trading, which is where we make our profits. We also use our expertise in finance and logistics.
    There are also specialized trading companies that develop products.

    The reality of export trading companies’ business

    Many trading companies have the advantage of having networks for securing sales channels, and they use their know-how in export procedures to efficiently export products. Some trading companies also provide services that increase the value of products by assisting with product planning and technical support.

    If you want to start trading, try "DigiTrad"

    This time, we talked about "The role of trading companies in export and trade and the reality of their business."

    STANDAGE uses its own trade cloud service to provide "Digitrad", a service that can "completely" handle trade for small and medium-sized enterprises. "Digitrad" allows you to develop overseas sales channels at low cost thanks to the application of IT introduction subsidies. We can also handle small-scale, low-value trade and domestic purchases that cannot be done by large trading companies, so please feel free to contact us.

    We are the editorial team of STANDAGE, a digital trading company established by a trading expert formerly with Itochu Corporation. We provide useful information for starting and continuing trade.

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