Exports from the United States continues to grow, but many U.S. companies lack experience in international business to exploit this potential source of increased sales and profits. The proliferation of trade agreements and a weakening USD ($) have resulted in major export markets remained strong for decades. foreign importers of U.S. products in relation to a growing demand for U.S. goods – from corn to pet food. The United States for 11 consecutive quarters of growth in exports – but with 95% of the world’s population outside the borders of the United States and more promising prospects for international trade, experts are wondering why only 5% of U.S. companies currently export. But how can we initiate and sustain growth in unfamiliar markets?
Here are step-by-step to accelerate growth of international business:
1. Define the Strategic Needs
Exploit new markets offers opportunities to increase revenues and profits. However, this initiative must be consistent with the overall business strategy. Inconsistent, sporadic, or deployment of resources directed toward international growth can lead to widespread delinquencies initiative absorbing scarce resources, scarce. Entry barriers (taxes, regulations and restrictions of the mark) should be identified and treated. A SWOT analysis details the company’s strengths, weaknesses, opportunities, threats and identify and help maximize the company’s strengths, minimize weaknesses, and give attention to the international opportunity.
A growth plan in line with the international business strategy will improve the chances of success. tactical aspects of international development, such as sales, distribution and marketing must be addressed. international growth factors may be sufficiently different from the American model that lack of familiarity may reduce the chances of success. Above all, there must be clear support, comprehensive management and dedicated resources.
2. Appropriate Assistance Insurance
development of small and medium enterprises and the expansion in international affairs is the United States Department of Commerce (DOC), an enthusiastic partner to help U.S. companies worldwide success. This organization coordinates the resources of federal agencies in all 19 U.S. companies to help plan their international strategies in an increasingly globalized. In a foreign market regulation confusion, uncertainty and risk, the trade can help U.S. companies navigate the process of selling abroad and avoid risks such as defaults and abuse of trademarks and intellectual property.
The commercial service offers an amazing quality of DOC action services, including market research in the country, events and trade missions, trade leads and introductions to potential business partners. The Export-Import Bank and the Small Business Administration to help bridge the financing of U.S. goods and services exports in the international market, allowing companies to turn solid leads in international sales.
Companies specializing in the development of international trade can help boost overseas expansion. These companies are groups of highly qualified and experienced offers practical and profitable for companies committed to maximizing revenue and profit potential through accelerated international growth. The range of services varies according to the company, but in general, help companies design, implement and manage large international projects and small business development. These services can range from determining the potential overseas market for the product management of export sales from one company to identify and qualify foreign strategic alliances.
A company wishing to penetrate the international market has to allocate a resource dedicated to this initiative. This person must be the axis that joins the organization’s resources, knowledge and culture of the international effort. As the business grows, more resources should be allocated to maximize opportunities. These should be treated as investments and not expenses.
3. Determine Market Entry Strategy
Appropriate business strategy to enter the market will depend largely on the level of international development. For a company just beginning its international expansion, market penetration through sales distributor in the country may be the fastest and most profitable to enter a foreign market. The sale in the country is relatively low risk and offer exciting learning opportunities. Once the destination country or region has been identified, a process that naturally follow from the SWOT analysis, the selection process can begin. Several U.S. Government agencies and professional associations can provide a large amount of data to begin narrowing the selection.
Trade publications and events are also an excellent source. Factors to consider when choosing a market can provide such criteria as regulatory environment, market size and potential, the cost of entry and the competitive environment. To reduce the possibilities, a country visit is necessary. Once there, the use of trade leads, competitive assessments, assistance from local governments, and interviews with prospective candidates to provide information and analysis. Key considerations in choosing a distributor are: willingness to assign a dedicated resource, the market leader or work plan, the marketing of intelligent products, complementary and not competitive or services, site survey and financial stability .
Penetrate a new international market is often seen as an extension of the existing domestic company. Consequently, many U.S. companies to circumvent the standard rules for businesses that require a rigorous analysis of the market. Only after doing thorough due diligence can develop a range of services or products and marketing programs to support.
4. Effective Marketing Design
All markets have in common. However, effective international marketing begins with the realization that markets are also different ways that are not immediately apparent. The key is to understand consumers and identify their needs through culturally specific market research. Focus groups can be particularly effective in identifying international needs and desires of the consumer. The advertising agency used in the development of an offer must be local representation or local. Employees with extensive knowledge of market characteristics and particularities will be particularly effective at conveying the desired message, and create and strengthen brand image. Language skills and an affinity for different cultures are key assets for international business.