By Tim Devaney and Tom Stein
Doing business around the world has never been more vital to the success of businesses. Big corporations aren’t the only ones who can have a global footprint. As the importance of overseas exposure grows each year, Small businesses are working to expand their export business.
One of the greatest global developments in recent years is the number of people who have risen out of poverty and into the working class. Most of this growth has happened in Southeastern Asia where China, India, and other developing nations have dramatically improved their standard of living.
Mature, developed economies like the United States can suffer from market saturation. After all, there are only so many companies that can compete for the same dollar. In recent years, high profile economists such as Fed Chairman and White House Economic Advisor Paul Volcker have expressed concern that the United States is overly dependent upon consumer spending. In fact, consumer spending represents about two-thirds of the U.S. economy.
Volcker believes that, in addition to infrastructure repair and green innovation, growth enterprises in the years ahead will center around the export business. Developing economies in Asia in particular represent the fastest growing markets.
Advantages and Challenges
The advantages of an export business are many:
Of course, there are challenges associated with exporting goods and services. These include:
But all of these challenges can be overcome by tapping available resources designed to get small businesses started exporting.
Resources for Small Businesses
How can small businesses at home enter foreign markets and increase their export business? Helpful resources are available on the Small Business Association's international trade site and the small business portal of the Export-Import Bank of the United States. There are also organizations like the Small Business Exporters Association and online starter courses sponsored by nonprofit groups.
Most small businesses falsely believe that they are not capable of having an export business. For such businesses, this underexposure to global markets is a competitive disadvantage, but it is also a tremendous opportunity. It has never been easier or more important to conduct business in foreign markets.
The information and advice provided by Dun & Bradstreet Credibility Corp. is provided "as-is." Dun & Bradstreet Credibility Corp. makes no representations or warranties, express or implied, with respect to such information and the results of the use of such information, including but not limited to implied warranty of merchantability and fitness for a particular purpose. Neither Dun & Bradstreet Credibility Corp. or any of its parents, subsidiaries, affiliates or their respective partners, officers, directors, employees or agents shall be held liable for any damages, whether direct, indirect, incidental, special or consequential, including but not limited to lost revenues or lost profits, arising from or in connection with a business's use or reliance on the information or advice offered by Dun & Bradstreet Credibility Corp.