Globalism is such a dirty word amongst many workers in America. It signals lost jobs, lower wages, and being shut out of a familiar work place. Evidently the word sends shudders down the spines of most American small businesses too. They see it as the enemy instead of just the new reality to be exploited. And that’s to their detriment.
Via Jeff Cornwall
A new survey released by UPS finds that most of America’s small and mid-sized businesses have failed to explore the significant growth opportunities offered by an increasingly global economy. Specifically, 67 percent of the nation’s small-to-mid-sized enterprises (SMEs) are still relying solely on the U.S. economy. This figure is surprisingly low given the increasing ease of importing and exporting in today’s economy.
Of the 33 percent reported participating in any cross-border trade, 15 percent are importers, nine percent exporters, and nine percent do both.
Survey respondents cite many reasons for not engaging in international trade, including a perception that it is too risky, a lack of knowledge about international markets, unfamiliarity with customs regulations and disinterest in expanding business beyond U.S. borders.
Among businesses that either import or export, 45 percent perceive global trade as a benefit while 18 percent see it as a disadvantage. 52 percent say global expansion will help them remain competitive or create an opportunity to increase profits. One out of every four believes that global expansion could lead to competition that will cut into profits.
The results regarding global trade represent the initial findings of a survey that will be released in full later this fall.
Related Link: Import Export Help Center
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