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Exporting Basics: My Export Plan

Exporting Basics: My Export Plan


[ Music ]>>A well-thought-out export
plan can make the difference between generating a
few international sales and achieving real
business growth. To begin, first determine
your potential markets by researching the countries where there may be
demand for your products. You’ll want to check out the
competitive environment and see where your product fits in. You’ll also want to know if
your product needs special registration or licenses. Keep in mind that the United
States has free trade agreements with Canada, Mexico,
and 18 other countries. Free trade agreements
provide lower tariff rates for qualifying products and generally make
doing business easier for U.S. companies. These countries are often a
first stop for new exporters. Next, identify your
potential customers. Will you sell to
wholesalers, retailers, a foreign government agency, direct to consumers,
or a combination? Your plan may include marketing
and distribution channels that are different from
each country or region. Pricing your product for
sale abroad is critical and should be in your plan. Your cost estimates should
include duties, taxes, shipping and marketing. All of these factors will
impact your profit margin. You’ll also want to
consider production. Do you have the ability to produce more if
demand increases? Will increased production allow
you to lower your cost of goods? Also, your plan should state how
you will finance your exports, including cost of
inventory and marketing. Will you insist on prepayment,
or can you offer terms? If you’re not sure,
you might want to investigate financing
or insurance options. These resources include your
local banking institution, EXIM Bank, and the Small
Business Administration. Finally, your plan should
identify the resources you need, both at your export destination
and here at home, to connect you with buyers, freight
forwarders, legal advice and other service providers. Reach out to your local U.S.
Commercial Service office to learn about resources
in your community. Putting the work into a written
export plan will open new markets to you worldwide
and help grow your business. For more information
on the export process, you can watch another video in the Exporting Basics
Video Series, register online at export.gov to receive
valuable export information, and explore our Export Guides
and Trade Events calendar on the export.gov website. [ Music ]

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