Exporting is rarely free from hiccups. Shipping internationally can be a logistical nightmare, getting paid can cause headaches, partners and suppliers can at times be unreliable, and currency fluctuation can end up costing you money.
When these issues come up, and they will, you need to be able to roll with the punches. New developments will call for new plans, contingencies and outside-the-box thinking.
To run a successful export operation, you need the financial and human resources to deal with problems, and solid connections in your target market help too:
More information on getting paid by your customers can be found in section 5.3.
Making the Right Decisions
Everything you do as an exporter will have an element of risk to it, and it’s your job to assess those risks based on the information you have at hand and make the best decision available. Decisions which prioritizes long-term growth and business welfare, as opposed to short-term profit or a knee-jerk response to a crisis, will always serve you well.
With that in mind, it’s crucial to understand that not everything in international markets is black and white, and there is often no right or wrong decision.
It can also be difficult to think about what’s best for your long-term goals when immediate problems are popping up everywhere, but it’s important in all situations to take a step back and think about how each decision will impact your business in that market for better or worse.
As part of CanadianManufacturing.com’s Export Insights report, Canadian businesses were asked how they manage risk when trading internationally, the nature of their exporting failures and how they mitigate risk. Study conducted by RK Insights
Check out this video of Export Development Canada’s experts breaking down country risks for Canada’s top trading partners:
Challenges and risks also exist in emerging mid-sized markets:
HSBC’s international banking professionals assert that they are well-equipped to help exporters manage risks abroad:
Experts at investment firm Franklin Templeton have their own take on how to assess risks and opportunities in emerging markets:
