Letter of credit application in exporting: The sample of a participation bank

Due to the rapidly development of foreign trade today, especially the developing countries aim to increase their production and market shares therefore risk exposure of importers and exporters are continuously rising. Hence they have to be more conscious of the risks such as local, national and international legislation and applications according to the related countries.The research problem of this study is explained to evaluate the letter of credit applications that is used as a means of payment in international trade. The study is consisted of four chapters; in the first chapter "The concept and development of foreign trade" is mentioned. In the second chapter; "Types of transport, delivery and payment terms in international trade" are examined. "Letter of credit, its types and application problems" are dealt in the third chapter. In the fourth chapter of the study; "A participation bank case" is examined, obtained data is evaluated besides exporting results and statistics (ANOVA, t test and Chi Square) are analyzed furthermore the relations between them are indicated. According to the analysis; significant results are found between country-confirmation, country-term, term-amount, amount-confirmation, amount-delivery.