fitt webinar - market selection

Global Business Essentials (Part 1 of Global Business Essentials (Part 1 of 3):3):

Market SelectionMarket SelectionUnderstanding the processUnderstanding the process

© 2010 Copyright FITTFor PERSONAL use only.

Your Panel TodayYour Panel Today

Mr. Malaket is an internationally recognized expert in trade finance, co-author of two FITTskills textbooks, and member of the Trade Finance Experts Panels at the World Bank and the EBRD. Alexander has advised blue-chip public and private sector clients, and delivered training seminars in Asia, Europe and the Middle East, in addition to undertaking trade policy & capacity analysis in Africa, related to ACP/EU trade negotiations.He is a frequent feature writer for leading industry publications, from London to Hong Kong and Bahrain.A.R. Malaket, CITP, President,

OPUS Advisory Services International Inc.

Mr. Gnaedinger is a Project Management Professional (PMP) and Certified International Trade Professional (CITP), and is currently the Director of International Trade Resources for FITT - one of the world's leading providers of international trade training. As part of his current position, Rob's main focus has been on planning and overseeing the implementation of an internal management system for FITT's Body of Knowledge in international trade.

PHOTO

Rob Gnaedinger – PMP, CITPDirector,

International Trade ResourcesFITT

© 2010 Copyright FITT. For PERSONAL use only.

FITT: FITT: The Professional Path to Global The Professional Path to Global MarketsMarkets

• A Canadian, non-profit organization established by industry and government

• World-class programs including Going Global Seminar Series & FITTskills courses leading to CITP/FIBP Professional Designation

• Close to 900 members in Canada and internationally• 400+ CITP’s in leadership positions in government,

corporate and entrepreneurial contexts• Annual Conference attended by the elite of the

international trade community


FITT: Related ResourcesFITT: Related Resources

FITTskills – International Trade Research

Going Global – An Introduction to International Trade Research

CITP Competency Profile


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Webinar OutlineWebinar Outline

Common Views Market Selection Selection as a Process In Practice The Canada Brand Resources Questions


Sound Familiar?Sound Familiar?“Canadian businesses

need to focus

primarily on the U.S.”

“Going Global is

for the few at the top…”

“The tough markets are for the pro’s: better

to gain experience first!”

“Market selection is

pointless: they will find us!”“A global

recession is no time to

look at new markets”


Sound Familiar?Sound Familiar?“Canadian businesses

need to focus

primarily on the U.S.”

“Going global is for the few at the top”

“The tough markets are for the pro’s: better

to gain experience first!”

“Market selection is

pointless: they will find us!”“A global

recession is no time to

look at new markets”

IGNORE ALL

OF THIS!


……Less Familiar?Less Familiar?

Going Global is no longer a luxury or an option: it is an IMPERATIVE, the basis of good stewardship of a

business, and the reality of a web-enabled, globally sourced, twenty-first century.

And YES, that goes for SME’s in Canada: it CAN be done!

- Alexander R. Malaket, CITPFITT Webinar, March 2010


What is “Market What is “Market Selection”?Selection”?

• Do we define geographically, by country or region?

• A trading bloc? A new industry segment?• A new client segment?• What qualifies as “Selection”?• How does a web presence factor in?


Market SelectionMarket Selection• Link Sourcing/Selling Strategy• Primary Target or Access/Re-export• Drill down into sectors & segments

• Does selecting Dubai actually mean UAE or GCC?• Is it about targeting non-core sectors (non-oil)?• How does Dubai differ from Abu Dhabi? Qatar?


Market SelectionMarket Selection

• “Market” is ultimately about country/region, industry sector and customer segment

• International activities can be initiated proactively or can evolve from a reactive response to an unplanned trigger (like an unsolicited order)

• Receptiveness to opportunity can be global in scope or limited/targeted, by segment, country or region

• Selection can be motivated by defensive strategies (post-crisis expansion beyond the U.S., as one example)


Market SelectionMarket Selection

Is it as simple as having country-specific and product/segment-targeted web presence?

For some companies, even a basic web-driven process can be a start!

.com


Market Selection is NOT:Market Selection is NOT:

• Following the crowd to the “Market of the Month”• Driven solely by macro-figures such as trade

balances and GDP growth rates• Ruled out by macro-figures such as import growth,

segment growth rates, disposable income • A pure “Gut-Feel” decision

+


……but it COULD be:but it COULD be:

• Influenced by a personal interest in, or connection to, the market

• Shaped by the experience and connections of company staff

• Influenced by a “Gut Feel” about the potential of a market

• These factors may not be “textbook”, but they are very real, and can offer significant advantage!

• Trade is part art, part science.• Intangibles matter!


Could it be…?Could it be…?“Advisory

work from/at a beach…

well, wherever!”


Selection ProcessSelection Process

• Selection assumes readiness has been determined• Intangibles ought to be part of a process of selection• Fundamentals are important• Due diligence and sound business practice are vital• Focus on Opportunity, but do not ignore Risk• Use credible sources - primary and secondary - to

conduct research• Eliminating markets, or postponing activity is a

legitimate outcome of a selection process


Selection ProcessSelection Process

By Product By Country By Region Globally

• Selection can start by product or by target market

• Match product to need, or market need to product

• Devise research plan accordingly

Market 1

Market 2© 2010 Copyright FITT. For PERSONAL use only.

In Practice…In Practice…

…there are different ways to put the pieces together


In Practice…In Practice…

There are many sources to assist in Market Selection:

• ITC Geneva TradeMap and related sources• CIA World Factbook and others for macro-data• Chambers of Commerce for product/sector data• World Trade Centres & Matching Services for buyer

and demand data• Embassies & Consulates for in-market insight• Countless credible and effective Internet sources to

enable every form of research required

This is not Business 101: What questions do YOU need answered?


In PracticeIn Practice

• Leverage the Internet for research

• Business networks can be valuable complements

• Validate sources and data


The Canada BrandThe Canada Brand

• Canada remains a strong brand in the international environment

• Market selection can be influenced by the power of the national brand, all else being equal

• Just as intangibles have a role in the process, Canada’s relationship with the target market is an important element with direct commercial implications

Market Selection could (and should) be influenced by the “Canada Brand”


ResourcesResources

• FITT Resources: www.fitt.ca/resources

• DFAIT: International Tradewww.international.gc.ca/commerce/index

• Canada’s Priority Marketswww.international.gc.ca/commerce/strategy-strategie/r

• Federation of International Trade Associationswww.fita.org/

• World Trade Centres Association (Incl. Trade Opportunities Database)www.wtca.org


Questions?Feedback?

Rob Gnaedinger – PMP, CITPFITT

[email protected]: +1 613 230-3553 ext. 110

Alexander R. Malaket, CITP, PresidentOPUS Advisory Services International Inc.

[email protected]: +1 647 680-6787www.opus-advisory.com www.opus-seminars.com


fitt webinar - market selection

Documents

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