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In: Operations Management

Bronner’s Christmas Store is one of the largest in America. Bronner’s currently has one store located...

Bronner’s Christmas Store is one of the largest in America. Bronner’s currently has one store located in Frankenmuth, Michigan. Bronner’s has decided to open up a second store in Heidelberg, Germany. Reflecting on each chapter in our textbook, respond to each of the following questions as though you were hired to be a consultant to Bronner’s.

What are some of the import/export issues that Bronner's may face with the new location?

Solutions

Expert Solution

Answer: There can be a number of import and export issues that may be faced by Bronner’s when it is open its store in a new location in Germany. Some of them are

1. Geographical issues: Transportation and logistics is the first major issue that the company may face because of the distance between U.S and Germany

2. Laws and regulations: Germany will have some of the rules and regulations regarding export/import in the country that are different from U.S. The company will need to look into this

3. Language issues: The difference in language may create co ordination problems

4. Payment methods: Making payment at the international level is different from the domestic one. Also as foreign currency will be involved, the exchange rate issues may also arise

5. Finding the right partner: The success of export/import depends on the trading partner that the company works with. The company therefore face a challenge to find a reliable partner with market knowledge in Germany   


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