Want Specific Information on Growing Building and Construction Markets Overseas?
Update for the Caribbean and Southern United State Construction Sector
The Caribbean marketplace has been a region of focus for iMEP and it’s clientele for a number of years. We are working with contractors and developers on some large-scale projects and connecting companies like yours into the supply chain….(contact us at firstname.lastname@example.org to read more)
The Southern United States market is on an upswing with the resurgence of the Construction sector and we have been meeting and building relationships with key Market contacts to help you be a part of it. There are a number of projects……(contact us at email@example.com to read more)
Looking for export sales in all the wrong places? We break down finding sales channels in your target market (SOURCE: US DEPT. OF COMMERCE)
Let iMEP help you choose the right one, and begin your journey toward international sales today!
Exporting your product is not rocket science but its not 3rd grade algebra either! Indirect selling and Direct selling are the most common methods.
For indirect selling an Export Management Company (EMC) such as iMEP or an export trading company (ETC) assumes responsibility for finding overseas buyers, shipping products, etc.
In direct selling, the producer works directly with a foreign buyer. Before deciding on whether to market directly or indirectly, decided on the level of resources you company is willing to expend. Direct export requires as much, if not more, attention than your local sales effort requires so consider hiring additional staff, marketing budget, travel, etc. if you are planning to pursue the market directly. Other factors to consider when deciding whether to market indirectly or directly include the following:
• The size of your firm
• Tolerance for risk
• Resources available to develop the market
• The nature of your products or services
• Previous export experience and expertise
• Business conditions in the selected overseas markets
The choice of marketing directly or indirectly has a major effect on your export plan and specific marketing strategies. The various approaches to exporting relate to your company’s level of involvement in the export process. There are at least four approaches that may be used alone or in combination:
1. Filling orders from domestic buyers, who then export the product.
These sales are indistinguishable from other domestic sales as far as the original seller is concerned. Another party has decided that the product in question meets foreign demand. That party assumes all the risks and handles all the exporting details, in some cases even without the awareness of the original seller. (Many companies take a stronger interest in exporting when they discover that their product is already being sold overseas.)
2. Finding domestic buyers who represent foreign end users or customers.
Many corporations, general contractors, foreign trading companies, foreign government agencies, foreign distributors, retailers, and others in the United States purchase for export. These buyers constitute a large market for a wide variety of goods and services. In this approach, your company may know that its product is being exported, but the domestic buyer still assumes the risks and handles the details of exporting.
3. Using intermediaries to export indirectly.
With this approach, your company engages the services of an intermediary firm that is capable of finding foreign markets and buyers for your products. EMCs, ETCs, international trade consultants, and other intermediaries can give you access to well-established expertise and trade contacts, but you retain considerable control over the process and can realize some of the other benefits of exporting, such as learning more about foreign competitors, new technologies, and other market opportunities.
4. Exporting directly.
Handling every aspect of the export process is very ambitious – especially if you are just entering the foreign market. In this example your company will handle every aspect of the exporting process from market research and planning to foreign distribution and payment collections. A significant commitment of management time and attention is required to achieve good results. However, this approach may also be the best way to achieve maximum profits and long-term growth. With appropriate help and guidance from the U.S. Department of Commerce, state trade offices, freight forwarders, shipping companies, international banks, and others, even small or medium-sized firms can export directly. The exporting process today is easier and has fewer steps than ever before. For those who cannot make that commitment, the services of an EMC, ETC, trade consultant, or other qualified intermediary can be of great value.
The first two approaches do not, involve the firm in the export process. If the nature of your company’s goals and resources makes an indirect method of exporting the best choice, little further planning may be needed. In such a case, the main task is to find a suitable intermediary firm that can handle most export details. Firms that are new to exporting or are unable to commit staff and funds to more complex export activities may find indirect methods of exporting more appropriate.
However, using an EMC like iMEP or other intermediary does not exclude the possibility of direct exporting for your firm. For example, your company may try exporting directly to nearby markets such as the Bahamas, Canada, or Mexico, while letting an EMC handle more challenging sales to Egypt or Japan. You may also choose to gradually increase the level of direct exporting once you have gained enough experience and sales volume to justify added investment.
Here are some points to consider when distributing your product:
• Which channels of distribution should your company use to market its products abroad?
• Where should your company produce its products, and how should it distribute them in the foreign market?
• What types of representatives, brokers, wholesalers, dealers, distributors, or end-use customers should you use?
• What are the characteristics and capabilities of the available intermediaries?
• Should you obtain the assistance of an EMC or an ETC?
COUTESY OF Commerce Department Releases Reports Ranking Top Export Markets
Reports Provide U.S. Companies with Latest Assessment of Export Opportunities
U.S. Secretary of Commerce Penny Pritzker today released the second set of Top Markets Reports that provides the latest assessment of export opportunities for U.S. companies in 19 sectors. As part of the International Trade Administration’s (ITA) Top Markets Series launched in 2015, the report ranks future export markets within a particular industry, delivering in-depth commentary on key opportunities, trends, and challenges facing U.S. companies looking to expand their businesses and export globally.
“The Department of Commerce is committed to providing exporters with unique, data-driven market intelligence needed to increase their competitiveness in the global economy,” said Secretary Pritzker. “By combining data with our specialized industry knowledge in more than 75 international markets, we have created an important resource to help businesses increase exports, grow our economy, and create American jobs.”
The 2016 Top Markets Reports provide updated country rankings and analysis reflecting the latest industry, trade policy, and global economic developments. This year, the series includes seven new reports for industries including franchising, manufacturing technology, and pharmaceuticals. Each report ranks future export opportunities within a particular industry based on a sector-specific methodology. Twelve of the reports have been updated to provide the most up-to-date analysis and insights from our experts, as well as incorporate information about how key developments in 2015 affect opportunities for U.S. exporters.
From medical devices exports to financial technologies, to automotive parts, cloud computing, and smart grid, the Top Markets Reports include an overview of the industry, the global landscape, country case studies and sector snapshots. The reports’ lead authors are members of ITA’s Industry & Analysis team, which provides unique sector expertise for export promotion, trade policy, and foreign direct investment strategies that strengthen the global competitiveness of U.S. businesses. The reports combine the unique expertise of ITA’s sector leads with economic data and the views of ITA’s staff stationed around the world.
“The Top Markets Reports have become a signature product through which ITA’s Industry & Analysis team can deliver its sector-specific expertise to help U.S. businesses better understand export opportunities,” said Assistant Secretary of Commerce for Industry and Analysis Marcus D. Jadotte. “We are pleased to be able to provide updated analysis, insights, and case studies with our 2016 reports, as well as expand our reach by offering seven new reports. The Top Markets series features reports that are designed to help U.S. exporters compare markets across borders, using market intelligence and data to inform decision-making.”
Reports found in this year’s Top Markets Series are:
Building Products and Sustainable Construction
Oil and Gas Equipment
To download a full report or view individual case studies within each report, visit http://www.trade.gov/topmarkets. Additional 2016 Top Markets Reports will be made available later this year.