You may be thinking that exporting is something that only large companies can afford, but small and medium sized businesses in the U.S. represent almost 98 percent of U.S. exporters*. What is more, 98% of these companies have fewer than 500 employees.

 

Why all these companies dare to engage in this adventure?

 

Because they are aware of the potential benefits that it could bring

 

More Exposure

• Let us put it like this: When you limit your activities to just one country, you are also limiting the number of potential customers you could get by expanding your business globally (or in some specific markets).

Increased Lifetime of Product

• In case your products are not being received with the enthusiasm you were expecting from your local market, you can introduce them to new markets in different parts of the world.

Reduces risk and balances growth

• Maybe you are doing very well in your local market and you are not really thinking about diversifying it. But what happens if at some point your local economy goes through a fluctuation or recession? Exporting could minimize the risk because your investment wouldn’t be in just one place.

Increases profits

• This is directly associated with our first point; since you’ll be reaching a larger base of customers, you’ll get more profits. However, you’ll have to be aware that in some markets you could generate higher profit margins, while in other markets your profit margins could be considerably lower.

Higher Demand

• Your country's reputation can really help when trading around the globe. The fact that a product was made abroad, can give certain types of product an edge over similar items made elsewhere.

Government assistance

• The economy of a country greatly benefits from exports. So, it’s only natural that the government offers attractive financing assistance through loan guarantees that can help fund your exporting initiatives.

Infinitus can help you

We concentrate in developing specific strategies that will allow the introduction of your product or service to different markets around the world. Contact us to start this new adventure!

 

*According to export.gov

Sources:

https://www.thehartford.com/business-playbook/in-depth/benefits-export-business

http://www.ceintelligence.com/content_manager/contentPages/view/the-pros-and-cons-of-exporting