According to Daniel Griswold, Director, Center for Trade Policy Studies, at the Cato Institute:
“Americans have never earned or spent a higher share of our income in the global economy than we do today. In 2006, as you can see in Figure 1, what we earned through the export of goods and services and income from foreign investments abroad reached a record 15.6 percent of gross domestic product. What we spent for imported goods and services and payments on investments in the United States reached a record 22.2 percent of GDP.
Small businesses that shun global markets are missing the growth opportunity of our time.
U.S. small businesses have benefited as exporters into a growing global market, including China. Last year, U.S. exports of goods to the rest of the world topped $1 trillion for the first time ever.
U.S. exports of services also reached a record $422 billion.
The Internet, global telecommunications, and an increasingly complex global supply chain have opened opportunities for smaller U.S. firms to supply goods and services to global markets or to larger U.S. companies that sell to those markets.”
According to a study on Costs of Developing a Foreign Market for a Small Business: The Market & Non-Market Barriers to Exporting by Small Firms - submitted by Palmetto Consulting, Inc. sponsored by the SBA they are as follows: Research Summary [PDF file].
1. No international business plans or market studies
2. The ability to locate and analyze foreign markets
3. Finding international market data
4. Identifying business opportunities
5. Contact overseas customers
Small business owners have said: “Opportunity costs, especially of time, are significant barriers to exporting or to increasing export behavior. Exporting takes time and energy that is more profitably spent on domestic operations.” This is true only if you try to do it yourself with existing staff.
There is no need miss this opportunity because you don’t have time.
You can enter into a strategic partnership with an export consultant that already has international business experience. The consultant will serve as your International Market Strategist and address all of the five barriers. In many cases you will only have to pay the consultants out of pocket expenses (no salary or other up-front fees) for the consultant to expand your business through exports. Of course, you will also agree to pay a percentage of sales to the consultant for a five year period and a reasonable termination fee if you decide to start handling your export sales on a direct basis. You have nothing to lose and everything to gain by taking advantage of this opportunity.
For more information give me a call at 919.942.1634.
Posts
