Why target only a fraction of your market opportunity and ignore the rest?
By exporting your products and services to the global marketplace, you can develop more market share and grow your business.
There are more people throughout the world – even in emerging and developing markets – who can afford to buy more products and services. According to the Brookings Institution, Asia’s middle class is forecast to triple to 1.7 billion people by the end of this decade. In Africa and the Middle East, the middle class is projected to more than double by 2030.
With increased disposable income among worldwide consumers, comes both business-to-consumer and business-to-business opportunities. So perhaps it’s time to consider ways to export your products and services. If you’re not thinking ahead about exporting, your competition could capture these untapped markets before you.
Exporting, however, can be more complex than selling into domestic markets. Contracts can be complicated and payment issues can emerge. But there are techniques to reduce your risks.
What’s more, the U.S. government is doing its best to actively encourage exporting, so there are plenty of resources now available to help you learn how to begin exporting, find buyers, and even arrange financing for your exporting activities.
If you’re only doing business domestically, you could be missing out on ways to grow your business. More small businesses than ever are taking advantage of the significant benefits that come from opening new global markets for their goods and services.
There’s no shortage of help in locating profitable exporting opportunities. From trade fairs to U.S. government-sponsored “matching services,” you can easily research the best prospects for trading partners looking to work with companies like yours.
The U.S. government is doing all it can to encourage exporting. That means there are a wide variety of financing options tailored to small business needs. Both the Import-Export Bank and the U.S. Small Business Administration can help you raise the capital you need to begin exporting.
Dealing with trading partners who may be thousands of miles away can present unique challenges when negotiating a contract. There are certainly risks to consider, but using a letter of credit or securing government-sponsored export insurance plans can help you reduce these risks.
You’d probably want to be paid in U.S. dollars, but many foreign trading partners prefer to pay you in their local currencies. Yet currency exchange rates can fluctuate – sometimes to your disadvantage. There are techniques you can use to eliminate the risk of currency fluctuations so you don’t jeopardize your profits.