Raising prices on a flat rate VAT scheme...

As per the previous post, when you undertake business with countries that don't pay VAT when you are on the flat rate scheme then you presumably lose that percentage of the transaction.

Therefore is it usual practice to simply raise prices when dealing with these countries.

Interesting to know what other companies on here do - do you increase prices pro rata to cover the fact you'll have to pay vat on the income from that transaction anyway or do you just bear the cost?