Riding off yesterday's post, "The Importance of Small Businesses Exporting," and questioning U.S. Secretary of Commerce Gary Locke's example of Caterpillar Inc. as a successful small business exporter, you must read this article by Emilia Istrate for The New Republic:
Why do I feel like the whole world is catching up to us on the importance of entrepreneurs and small businesses taking their business global?
Take this special report on America's economy entitled, "Export or Die," published by The Economist (3/31/10). It drives home the point that with demand dwindling or in some instances totally disappearing on a local level, American firms are looking abroad to grow their business.
A quick snippet from the report:
More American companies will have to look abroad. They are the least likely to export out of 15 big economies, according to the National Association of Manufacturers, a trade group. Matthew Slaughter of Dartmouth College notes that only 4% of all American firms and 15% of American manufacturers do any exporting at all. And 80% of America’s total trade is conducted by just 1% of firms that export or import. This does not mean there is something wrong with American firms.Let me take you back in time (2004), when I wrote a manifesto for ChangeThis.com -- that has been read more than 16,000 times by folks interested in international trade -- called "Global Guru: Shaking Things Up. Making Things Happen." One of my key quotes within it was:
There's Doctors Without Borders, Teachers Without Borders and Scientists Without Borders, to name just a few of the many borderless initiatives that exist. Why there's even Mothers Without Borders! And of course, there's us: SMBs that operate without borders.
But did you know? There are lawyers that see a borderless world when it comes to offering free, or pro bono, work on global legal troubles. Guess what they are called? Lawyers Without Borders.
Read about this new twist here.
Photo credit: Peter Max "Without Borders" painting
Posted by: Global Small Business
Happy St. Patrick's Day -- my favorite day of the year! We'll start with a little bit of history and add an Irish Blessing:
With or without the United States, the global economy is surging forward.
MEXICO CITY (AP) – Mexican telecom tycoon Carlos Slim (pictured) is the first man from a developing nation to become the world’s richest person – a shift that underlines the loosening of America and Europe’s stranglehold on the top spots in the billionaires’ club.Find out how there was a time when Americans held top spots in the world and how that is changing here.
Pepsi wants to help you out.
This year, the Pepsi Refresh Project is giving millions of dollars to fund ideas across six different categories (e.g., The Planet), that will refresh the world.
Submit your idea and vote for what you care about most:
How mobile are you? What kind of global tech user are you?
Is Facebook your window to your social world? Is your mobile device the last thing you put aside before shutting the light out at night? Or does the deluge of digital information leave you flat and the ring of your cell phone leave you cranky?Find out what kind of user you are at Pew Internet by taking a quick quiz here. The range is:
May the Year of the Tiger bring you good health, much happiness and great prosperity.
Posted by: Laurel Delaney, The Global Small Business Blog
Technology is shrinking our world into a smaller, easier place to do business and is fundamentally reshaping our lives. Here are ten reasons why going global is advantageous to your company.
1. Increases sales and profits (especially if fixed costs are tied to domestic operations) = bigger chunk of growth gain.
2. Earns a greater return from a set of core competencies.
3. Generates economies of scale in production.
4. Enhances local competitiveness and paves the way to larger, more lucrative customers.
5. Create jobs, productivity growth, and wealth.
6. Enlarges the pie of potential investors.
7. Insulates seasonal domestic (local) sales by finding new foreign markets and selling excess production capacity.
8. Cuts costs through global outsourcing.
9. Reduces dependence on existing markets.
10. Capitalizes on tax advantages.
The knowledge you gain from learning the ropes of international business will make you open to new ideas, new approaches, new marketing techniques, new customers and new confidence to take on the world!
Posted by: Laurel Delaney, The Global Small Business Blog
As the global economy mends, business spending on technology goods and services is returning -- at least that is what Ben Worthen and Don Clark claim in "Tech Spending Bounces Back as Profits Rise," published in the Wall Street Journal.
The tech world according to Cisco:
The economy has entered a new "phase of the recovery," said John Chambers, Cisco's chief executive, in a call with analysts, adding that he planned to hire up to 3,000 workers in coming quarters. "This is one of the most robust positive turnarounds I've seen in my career," he added.The tech world according to Google:
Before he (Google CEO Eric Schmidt) got into the nitty-gritty of this year’s outlook, Google announced that revenue was up 17 percent in Q4 2009 ($6.7 billion) and up $23.65 billion for all of 2009 (for a net income of $6.5 billion).The tech world according to NetSuite:
Having had a dreadful start to 2009, NetSuite announced record earning for the fourth quarter and year ended 31st December, 2009. From the release:“Total revenue for the year was $166.5 million, a year-over-year increase of 9%. Total revenue for the fourth quarter was $43.0 million. Revenue from the Americas for the fourth quarter of 2009 was $35.0 million, while revenue from international regions was $8.0 million. NetSuite added approximately 295 new customers in the fourth quarter.
The tech world according to IBM:
Moreover, IBM's full-year 2009 earnings of $10.01 per share were up 13% year over year, and net income of $13.4 billion rose 9% from fiscal year 2008. Earnings for the year were a record, despite the worldwide recession. Full-year earnings surpassed the Zacks Consensus Estimate of $9.88 per share, as well as the company's own guidance of $9.85 per share.
The company's spectacular amount of new services contract signings and a pick up in corporate IT spending figured into the improved guidance for fiscal 2010. Historically, IBM has raised its guidance for almost every quarter in the last two years. For fiscal year 2010, the company again raised its EPS guidance to $11 per share, up from a previously expected $10-$11 per share range last month.
The tech world according to Microsoft:
Microsoft posted a bigger-than-expected 60 percent increase in quarterly profit on Thursday, helped by strong sales of Windows 7, and said it expected business technology spending to recover this year.
The company said net profit came to $6.7 billion, or 74 cents a share, up from $4.2 billion, or 47 cents a share, a year earlier.
The tech world according to Apple:
TechTip2U Powered by: VerioFor the three-month period ending Dec. 29, 2009, Apple posted earnings of $3.4 billion, on a revenue of $15.7. Compared to the year-ago figures of $11.9 billion, that amounts to $2.3 billion in net quarterly profit.
Apple shipped 8.7 million iPhones — more than double compared to the year-ago quarter — and 3.4 million Macintosh computers, up 33% from a year earlier.
Apple's new iPad (pictured) is here and we most certainly will have to wait to see if it becomes another global game changer. Read more here.
Apple's motto which we can all learn from: Think DiFfeRent.
About Steve Jobs. One more here.
Our post about the much anticipated new product launch here. And another post October 9, 2009 on: "Who Has The Global Edge On Wireless Readers?"
Related topic wise ... watch for upcoming post to the American Express OPEN Forum on "bold innovation." Follow us on Twitter to capture it @LaurelDelaney.
If you are in the process of expanding abroad, avoid cultural gaffes by learning local business etiquette in the country you are about to do business.
This article offers some good tips by business owners and experts in the trenches on how to immerse yourself in a country's culture to better understand the people, respect their ways and be sensitive about never offending.
Expanding Abroad? Avoid Cultural Gaffes
You might also check out our 8 Global Marketing Gaffes.
The media coverage is extraordinary on the powerful earthquake (measuring 7.0 on the Richter scale) that struck near Port Au Prince, Haiti on January 12. Our heartfelt thoughts and prayers go out to everyone who is suffering right now in Haiti.
To offer your own help with a donation of any size, go here for guidance (straight from the United States Whitehouse Blog):
The President has been receiving updates on the urgent situation in Haiti late into last night and throughout the day, and top members of his team have been convening to formulate the government response.You can also help immediately by donating to the Red Cross to assist the relief effort. Contribute online to the Red Cross, or donate $10 to be charged to your cell phone bill by texting "HAITI" to "90999." Find more ways to help through the Center for International Disaster Information.
Families of Americans living in Haiti are encouraged to contact the State Department at 888-407-4747.
Haiti Earthquake Relief (video)
Interesting post by Elison Elliott for the Foreign Policy "Global Markets" Blog Network (launched February, 2009):
Don't Bet Against China
It's running in line with our predictions No. 4 and 5 here. Elison and I have been in touch via email. I hope to interview him soon on this topic at The Global Small Business Blog.
Also make note of prediction No. 4 in our report talking about China "borrowing our ideas ..." Looks like Google has a short fuse on this. Read more here.
Fascinating. Another interesting piece here.
Our Global Small Business World 2010 trend piece is ready for viewing over at our favorite trend hub: Small Business Trends!
Read every word here:
strategy+business gives its list of Best Business Books 2009 and five of them offer insights into the changing topology of global trade and influence.
The best books on globalization this year offer insights into three directional trends that are changing the topology of global trade and influence: the deepening of regional ties across emerging markets; the continuing rise of powerful new global players; and, finally, the intractability of risk factors inherent in emerging markets and regional networks, and how best to analyze them.Get ready to feed your global mindset and chart your business course. The five featured are:
An unmistakable conclusion that we share with all the books featured in this essay is the assertion that the U.S. has lost its status as the preeminent driver of globalization. Thus, we predict that two trends will typify the next phase of globalization: First, stronger regionalism in terms of deepening economic integration in areas such as East Asia, Latin America, and the Arab world will be driven by local powers such as China, Brazil, and Saudi Arabia. Second, the global playing field for firms, capital, and strategies will become much more level as Western companies lose the automatic edge they once held in trust and credibility. (See “Capturing the Asian Opportunity,” by Andrew Cainey, Suvojoy Sengupta, and Steven Veldhoen, s+b, Winter 2009.) Companies in emerging and frontier markets may not become global leaders in their own right, but they will surely be powerful players in their own domains and beyond.Care to share other enlightening books you read on globalization in 2009? We'll highlight them here on The Global Small Business Blog.
No matter how tough the global economic environment, it is a time to repair (from what's been harmed), rebuild (from what's been weakened), return (to what matters) and rejoice (to what's yet to come) for a brand new year and decade.
Looking forward to it!
Photo credit: Laurel J. Delaney, Pratt Beach, Rogers Park, Illinois, The Global Small Business Blog
"Christmas is a time when you get homesick -- even when you're home." ~ Carol Nelson
Photo credit: Laurel J. Delaney (12/26/09), The Global Small Business Blog
"I will honor Christmas in my heart, and try to keep it all the year." ~ Charles Dickens, A Christmas Carol
Photo credit: Laurel Delaney, The Global Small Business Blog, Chicago lake front
