There are a lot of misconceptions about exporting. Many domestic business owners falsely believe that only large businesses have the ability to sell to a global market. This is an incorrect and unfortunate perception that has prevented many New Jersey manufactures from reaching their full sales growth potential.
According to the US Small Business Association, small businesses account for 97 percent of all US exporters. The problem is that while the largest pool of exporting companies comprise of small businesses, very few of them proactively seek out the global market! If you only focus on domestic markets, you’re missing out.
What the Numbers Say…
What’s your guess…what’s the percent of US customers that comprise of international market? The US accounts for only a mere five percent of the potential consumers in the world. Manufacturers who fail to see the importance of exporting will only have access to this five percent. If you aren’t embracing exporting, you’re practically ignoring the other 95 percent of the consumers around the world. Additionally, think about the cyclical cycle of our economy. If the U.S. experiences an economic downfall, you have to weather the ship along with the U.S. economy. Other countries may or may not be impacted by the domestic economy and issues.
A World of Opportunity
US exports have increased more than five percent in recent years. Our largest growth has been with exports to China, Canada and Mexico. The Free Trade Agreement has given US manufacturing exporting companies that ability to trade with at least 20 different countries around the world, including Australia, Canada, Mexico, Morocco, Honduras, Panama, and Peru. Furthermore, technology and the Internet have facilitated communication and trade. With less than one percent of US manufacturers currently selling their products overseas, now is the perfect time for any size company to join the market.
ExporTech™ Initiative
ExporTech™ is a collaboration between the MEPs, U.S. Export Assistance Centers, and other partners including District Export Councils, State Trade Economic and Development, Ex-Im Bank and SBA. The program is intended for C level executives and helps New Jersey manufacturers strategically enter foreign markets. If you believe your product as international potential but don’t know where to get started, ExporTech™ can help! For more information, click here.
US manufacturers have the ability to greatly increase their clientele and their overall sales by expanding into the global market and reaching the other 95 percent of the consumers in the world. US manufacturing exporting companies not only grow their own personal sales but they help to increase the presence of the United States in the worldwide market.
This, in turn, will help to grow the US economy and keep the US dollar strong. As US exports continue to grow and more US manufacturing exporting companies are created, the US can expect to see a surge in new manufacturing jobs across the country to meet this demand. This will also help to stabilize and improve the domestic economy, by creating job growth and increasing revenue!
Reference: http://www.sba.gov/sites/default/files/SBA%20Export%20Business%20Planner.pdf
For more information about how ExporTech™ can help you drive sales, click here!