Finding Solutions for Growing Businesses
WHY SHOULD I EXPORT?
The worldwide business challenge is how to compete in the global economy. Retail, service, manufacturing, and wholesale firms in the United States can benefit from exporting and will:
- Increase Sales And Profits. The US market is only a small part of the world market; 95 percent of total world purchasing power are located outside the US.
- Gain Global Market Share. For the decade of the 1990s, the "arms race" has been replaced by the "export race."
- Reduce Dependence On Existing Domestic Markets. A company that is not doing five percent of its sales in exports by the year 2000 will be like a company today without computers - uncompetitive and behind the times.
- Stabilize Seasonal Market Fluctuations Within The US Economy. There are countless newly emerging "hot" markets eager for US goods and services. It is the responsibility of the American businessperson to find and saturate these markets.
- Sell Excess Production Capacity. There are existing markets for every business, especially in the small business sector. The US Department of Commerce found that less than one in five businesses export although they are capable of it.
- Enhance Competitiveness. The US market has yielded slow growth rates over the last ten years, which implies that the US market is not the hot spot it once was. Over 80 percent of the world's economic activity is outside the United States.
- Create Domestic Jobs. In 1992, US exports of goods and services supported a total of 10.5 million jobs in the United States.
- Help to Reduce The US Trade Deficit. Due to the strong increase in export sales, in 1993, the US trade deficit was 116 billion dollars, which is 24 percent below the 1987 deficit peak.
- Find Excellent No Cost/Low Cost "Experts in Export". For many companies, the decision not to export is based on the fear of the unknown. Federal, state, and local organizations have been established to assist companies that are strong domestically but have not contemplated export markets. These organizations help businesses with every step of the export process.
- Gain New Ideas. Establishing yourself in a foreign market will provide a new perspective and can inspire improvements with existing products and new product lines. You may also discover an innovative foreign product to reproduce for the US market.
Continue to Do I Have an Exportable Product?
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