While following up on a trade lead recently, I was reminded of how American products and services are viewed by most countries in the world as being of first-rate quality and consistency. A buyer submitted a request to purchase baking ovens in the next two to six months. The manufacturer who I procured to fulfill the order needed clarification on how the ovens will be used and where in the world the items will be shipped.
I called the buyer to verify the kind ovens, how many shipments per year, etc. After providing the requested information, the buyer went on to say that while their company often imports from China, shipments can be unreliable, delayed, or of poor quality. In contrast, the buyer says that American products are known for their dependability, performance, and consistent delivery of their products and often meets or exceeds expected quality. I don’t know about you, but I was very proud to hear that. So I challenge all America small businesses to: Compete Globally. This one phone call was an affirmation of American products and skills – at least in my eyes – on the global market place. As a matter of fact, when it comes to exporting quality services overseas, America is second to none. The service sector is where many small businesses seeking to expand its market base, may find success.
While exporting your company’s service maybe more difficult than exporting a product, America is known for its leadership in technological advancement, banking and insurance, as well as broadcasting and entertainment. Exporting a service is more difficult due to services being an intangible product. It’s more difficult because overseas buyers may find it more challenging to secure loans to purchase services. But difficult or challenging in this context means doable, it does not mean impossible. If you have a website, then your service is already available to global customers. A website gives you the possibility to take and process orders from customers in Canada, Australia and the United Kingdom, to name a few. Translating your website to another language nowadays is easy, making it possible to enable your webstore to interact with customers’ in their native language.
Here is Five Service Exports with Potential for Success
•Green and Environmental Services: Green goods and services have taken off here in the US, and therefore, there will be an increase in demand abroad for services related to renewable energy and energy efficiency (RE&EE). Providing your technological know-how and expertise to global economies is a great way to broaden your horizons, and at the same time increase your customer base, which of course increases your company’s bottom line.
•Banking, Financial and Insurance Services: According to the A Basic Guide to Exporting, companies operating in this market segment exported $52 billion in 2006. Some of the areas where your company can provide services and compete effectively are account management, credit collections, underwriting, risk evaluation, and insurance.
•Travel and Tourism: Is the largest market for the United States service sector, with earnings of $86 billion in 2006. Your company can provide recreational services, lodging, transportation, and refreshments to tourist.
•Education and Training Services: If your company provides management training, then you can provide these services to overseas companies. English Language training services should also do well due to the English being the International Language of businesses world-wide.
•Professional and Technical Services: Globally, American companies are looked at as pioneers and leaders in this sector. Services such as: Accounting, management consulting, legal should be able to expand their services successfully to a global market place.
In conclusion, competing globally puts your business at an advantage, not only domestically, but internationally as well. Forcing overseas companies to compete in their own backyard, translates into less competition from them here in the U.S. But also, be proud of your expertise and knowledge, export your talent; your small business is still the standard barer of excellence and quality world wide.