(a) Explain the following:
(i) consular invoice (ii) waybil
(b) Explain seven factors that will influence the place Tochukwu will locate his grocery business.
(a) EXPLANATION OF CONSULAR INVOICE AND WAYBILL:
(i) Consular Invoice is an dividence of credit sale. - It is an invoice used in international trade. -It serves as the evidence for the correctness of the price of the products it covers. - It is issued by the consulate of the country a broad, - It is used to calculate custom duties.
(ii) Waybill is a document issued by a carrier giving details and instructions relating to the shipment of a consignment of goods. - It shows details of the goods, all the parties to the good and mode of carriage, -lt wi ll be used to show details of goods it accompanies, the carrier and all conditions of carriage
( b) FACTORS THAT INFLUENCE LOCATION OF GROCERY BUSINESS
(1) Government policy - It must be located in ap lace not prohibited by the government for the type of business he wants to open and tax rate, law and social responsibility should be considered,
(ii) Nearness to customers- A business should be located near to the target market to reduce transport cost and ga in competitive delivery advantage.
(iii) Capital available - The level of money available to him will determine where he will locate his business because of the level of expenses,
(iv) Availability of man power- The area where labour is available and cheap should be considered when locating a business,
(v) Level of Competition The area where the activities of business rivals are very high should be considered so as to prepare for such Competitive activities.
(vi) Nearness to source of Supply-lie should consider the place to buy his goods so as to locate his business near to such place.
(vi) Type of business -Some businesses arc located close to residential areas while some arc located close to industrial area. Since he wants to engage in grocery business. he should site it close to residential area.
(vii) Availability of social amenities- Grocery business should be sited where there is electricity, good road, water supply and communication network.
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