Dear M & M: Why should I bother to export or sell beyond the borders of the US? -Janet
A question all small businesses should ask themselves is why should I export? This is particularly true for those whose domestic sales are strong. If your products and services are selling well here, maybe it will work in other markets across the US or internationally. It is a valid question given the costs, time and commitment required to be successful internationally.
The benefits of exporting can be well worth your efforts. Why ignore the other 95% of the population beyond our borders? The prospect of increasing sales and revenue should always be one of the main priorities of any business. There are many rapidly growing economies in the world ready to buy your goods and services, which can help you, expand your market potential.
Exporting can also increase your ability to compete domestically. The experience you will gain of working in different markets, such as an increased awareness of other products and services and exposure of new ways to market, will enhance your existing business. Exporting can and will allow you to diversify your markets so you are no longer dependent on any one market for your success.
By using the domestic sales you already have, to expand capacity, to cover many costs you are already occurring from accounting to plant building or equipment the better use of various company assets can also increase your profitability. For example, if you have excess capacity domestically, international markets can use that capacity, to lower your per unit costs; therefore helping your bottom line.
According to export.gov, it’s easier than ever for companies to sell goods and services across the globe. Small and medium-sized companies in the United States are exporting more than ever before. In 2013, more than 300,000 small and medium-sized U.S. companies exported to at least one international market—nearly 28 percent more than in 2005.
In 2013, the value of goods and services exports was an impressive $2.28 trillion, nearly a 25 percent increase since 2010. And 2014 topped the previous year, with exports valued at $2.34 trillion. Globalization and selling worldwide is a trend that should not be overlooked. Do not be left behind the companies that see this as an opportunity and take advantage of more people wanting your goods and services across planet Earth.