Question

Match the correct Pairs.

Group 'A'	Group 'B'
a) Intangible Goods	1) Importer Exporter Code
b) Franchising System	2) Direct Export
c) F.D.I.	3) When the goods are sent by air
d) I.E.C	4) When the goods are sent by road
e) Airway Bill	5) Complete control over operation
	6) Fast food chain of restaurants
	7) Visible goods
	8) Invisible goods
	9) Global International Organization
	10) Foreign Direct Investment

Answer 1

Group 'A'	Group 'B'
a) Intangible Goods	8) Invisible goods
b) Franchising System	6) Fast food chain of restaurants
c) F.D.I.	10) Foreign Direct Investment
d) I.E.C.	1) Importer Exporter Code
e) Airway Bill	3) When the goods are sent by air

Explanations:
a) The word “intangible” means something that cannot be touched or seen, i.e. it is invisible and yet exists. Services are regarded as intangible or invisible goods, since they cannot be felt, touched or seen.

b) Franchising is a system of entering a foreign market. Franchising enables the manufacturer in a domestic country to carry on business activities under the name of a foreign manufacturer, subject to certain rules and conditions. Franchising is usually done in case of globally popular fast food chains. Fast food restaurants in India, such as Pizza Hut, Dominos, KFC, etc run under a franchisee contract.

c) FDI is an acronym for foreign direct investment. It refers to the investments that are made outside a country with the objective of earning returns.

d) IEC is an acronym for Importer Exporter Code. This is the code that every exporter needs to obtain in order to export goods. It is issued by the Directorate General Foreign Trade or Regional Import Export Licensing Authority. This code protects against the risk of non-payment.

e) Airway bill is basically like the bill of lading. The shipping company issues a bill of lading which is evidence that the company has accepted the goods for shipping. This is a part of export procedure and in case the goods are sent by air, the document is called airway bill.