Some years ago I was asked to come up with reasons why companies should export their goods. I recently came across my article that I had written back then as I had conversations regarding the subject matter, and it is worth sharing as it still remains valid.

My List Is:

  1. More Customers. As of today, there are 313 million people in the USA and 7 billion in the world. More people and more opportunities await in world markets.
  2. More Profit. More customers lead to more sales and increased profits.
  3. Improve your cash flow. Many USA exporters are paid by wire transfers in advance or under letters of credit resulting in a drastically improved cash flow versus domestic sales.
  4. Desire Internationally for USA goods and services. USA goods and services are perceived as high quality and are much sought after. You and your company can take advantage of the strong USA “brand” to win big in global markets.
  5. Lengthen your product lifecycle. If your product is losing market share due to technology or other factors that limit product lifecycle, exporting could lengthen the product’s lifecycle by developing new customers in emerging markets.
  6. Broaden your customer base. Exporting can reduce your business risks by developing alternative markets, should a slow down or disruption occur in your domestic market.
  7. Manage seasonal slowdowns. Exporting allows you to sell to other markets that are complementary to your domestic customers’ seasons. 
  8. Increase your productivity and economies of scale. Extending your product life cycles, growing your customer base, and avoiding seasonal downturns (reasons 5, 6, and 7 above) via exporting allows you to staff and schedule in a manner that not only increases productivity but allows for greater economies of scale. 
  9. Benefits your firm and others. Exporting benefits you and your company, and also the local markets that you operate in, your region, and the nation. Exports are a well-known driver of many positive economic indicators—most importantly, job growth. Many things that are learned and developed internationally can further serve your domestic clients with improved products and services.
  10. Free Trade Agreements. The USA has signed Free Trade Agreements with 20 countries. FTAs offer better access and lower tariffs, to American exporters. For a list of FTAs see

Some further thoughts to consider if you will. Why not export? What are the risks of exporting your goods? For some companies, there could be a learning curve, but even keeping up with the new technology in everything is a learning curve. Do you have enough people on staff to handle the workload? Maybe you can outsource and work with a service driven company that can help your staff work through or do the work. Even payments can easily be handled, and cash can sometimes be paid in advance. Again, we can work with you in all these areas.

Give us a call if you are not exporting and want to consider expanding your sales.

Written by: Scott Hoffman, President of Jade International

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