[3] International commercial contracts are sale transaction agreements made between parties from different countries.
[4] The methods of entering the foreign market,[5] with choice made balancing costs, control and risk, include:[6] While Incoterms were first published in 1936, it has been revised every 10 years.
[9] Incoterms inform sales contract by defining respective obligations, costs, and risks involved in the delivery of goods from seller to buyer.
Incoterms 2010, the 8th revision, refers to the newest collection of essential international commercial and trade terms with 11 rules.
When incorporated into a sale contract, the Incoterm code provides a detailed interpretation of rights and obligations between parties.