Clay
I frequently hear people say that small companies, especially entrepreneurial ventures, should not be thinking about the global market place. After all, they’re just a local company and need to be focusing on the home market, right?
Well, maybe, but in this age of globalization not considering the opportunities of international business could very well mean the difference between growth and stagnation.
Almost half of US businesses are predicted be involved in international trade by the year 2020, and US Department of Commerce data indicates that large companies currently sell only about 4% of US exports. That means that 96% of exports are sold by smaller companies!
International business can be an important strategic option for small businesses. It can open many new doors for success, but the key is determining why you want to get involved in international business.
Do you want to go global to:
- Expand customer networks?
- Gain exposure to new ideas and technology?
- Find new ideas for global sourcing?
- Or, just because everyone else is doing it?
A company’s motivation for pursuing international business can be very telling and help determine the likelihood of success. Programs that are most likely to succeed are those that are planned for the long-term, and include market research, international relationships, and logistics arrangements.
International business can contribute to long-term growth of a small business, and also can enhance competitiveness. By buying and selling internationally, a company can gain insights on customer requirements, competitor activity, and different ways of doing business. Companies also may acquire new technologies, ideas, and partnerships from the process.
Once a company decides to go global, commitment from the management team is the number one determining factor of success. Management can show their commitment to an international program by setting aside funding, allotting time to manage the program, and assigning personnel to perform its tasks.
Taking advantage of international opportunities now is easier then it’s ever been. The Internet and other modern communications technologies make the buying and selling of all types of products, services, inputs, and components a viable option for many businesses of all sizes, almost anywhere in the world.
For information on how TowsonGlobal can help your business take advantage of international opportunities, check out www.towsonglobal.com.
Photo Credit: Barun Patro
Guest Blogger
Bobbie Laur
Sharyn Kuczka
Jeremy Monn
Raquel Frye
Clay Hickson
Dawn Bott
Lindsey Meyer
Allie Pyzik
Daraius Irani
Past Bloggers
Jenn Lake
Kelsey Beckett
Timothy Brooks
Ashley Buzzeo
