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INTRODUCTION SMALL BUSINESSES:

INTRODUCTION SMALL BUSINESSES:. Europe, N. American, & Japan, over 98% of businesses are small Employ more than 50% Produce nearly 50% of the countries' GNPs Create more than 2/3 of new jobs. THE SMALL BUSINESS STAGE MODEL. Stage 1--passive exporting Stage 2--export management

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INTRODUCTION SMALL BUSINESSES:

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  1. INTRODUCTION SMALL BUSINESSES: • Europe, N. American, & Japan, over 98% of businesses are small • Employ more than 50% • Produce nearly 50% of the countries' GNPs • Create more than 2/3 of new jobs

  2. THE SMALL BUSINESS STAGE MODEL • Stage 1--passive exporting • Stage 2--export management • Stage 3--export department • Stage 4--sales branches • Stage 5--production abroad • Stage 6--the transnational

  3. THE SOLUTION A Global Culture • Values that view strategic opportunities as global • A common language to describe international operations • Owners have a global mind-set • Thinking globally

  4. EX 1 ATTITUDES CONCERNING INTERNATIONALIZATION

  5. EX 2 TRAINING & KNOWLEDGE NEEDS OF SMALL FIRM CEOs

  6. THE SMALL BUSINESS ADVANTAGE • Faster innovation • Can change products and internal operations faster • Speed can overcome size disadvantages

  7. SHOULD A SMALL BUSINESS GO INTERNATIONAL: the questions • Does the company have: • A global product or service? • The managerial, financial, and organizational resources? • The willingness to face the risks of internationalization?

  8. Is there a country in which we feel comfortable doing business? • Is there a profitable market for our product or service? • Which country should we enter?

  9. Do we have a unique product or service that is not easily copied by larger companies or local entrepreneurs? • Do location advantages exist upstream in the value chain? • Can we afford not to go global?

  10. FINDING CUSTOMERS AND PARTNERS • Trade shows • Catalogue expositions • International advertising agencies and consulting firms • Govt.-sponsored trade missions • Direct contact

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