vfb2012 exporting for growth ukti john rubidge
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Venturefest Business Masterclasses Exporting for GrowthTRANSCRIPT
UK Trade & Investment | Exporting for Growth 1
Maximise your global growthInternational business can help you survive and grow. There are real opportunities to trade internationally; UK products, services and expertise continue to be in demand across the world.
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UK Trade & InvestmentOpportunities for British firms around the world
UK Trade & Investment | Exporting for Growth
Foreign Direct
Investment
Export
UK Trade & Investment helps UK-based companies succeed globally and assists overseas companies to bring high quality investment to the UK.
UK Trade & Investment | Exporting for Growth 3
Why exporting is good for businessBecome more dynamic, innovative and successful
60%UK companies that export are responsible for 60% of national productivity growth
Companies that export:
More productive and innovative than non-exporters
More resilient to an economic downturn
Improve their financial performance
Boost their international profile and brand recognition / value
Are more likely to stay in businessSource: Nottingham University / UK Trade & Investment
UK Trade & Investment | Exporting for Growth 4
What gets people into export?Some common methods of how companies become exporters
Unsolicited enquiry or order
Enquiry from a prospective agent
Follow up suggestion of colleagues, suppliers or friends
Attended an international trade event
Relatives live there
Evidence shows that new exporters are likely to improve their productivity by a third in their first year
33%Source: British Chambers of Commerce
Or....it forms part of a strategic plan for growth
UK Trade & Investment | Exporting for Growth 5
What type of exporter?The different types of current UK exporters
20%
37%17%
26%
Strategic - Plan based upon market research
Passive - Unplanned
Reactive - Informal plan in place
Adaptive - Formal plan that considers external influ-ences
Source: UK Trade & Investment
Strategic – Plan based upon market research
Adaptive – Formal Plan that considers external influence
Reactive – Informal plan in place
Passive – Unplanned
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The world awaitsEconomic growth forecast
UK Trade & Investment | Exporting for Growth
Russia144 m
China1.3bn
India1.2bn
Brazil200 m
Population
Three Billion
UK Trade & Investment | Exporting for Growth 7
The world awaitsChoosing your market(s)
Mature Markets
• US (£33bn)
• Germany (£24.8bn)
• France (£17.4bn)
• Netherlands (£17.9bn)
• Ireland (£15.3bn)
• Belgium (£10.5bn)
• Spain (£8.9bn)
• Italy (£8.2bn)
Rapid Growth Markets
• Brazil (£2.2bn)
• Russia (£3.6bn)
• India (£2.9bn)
• China (£5.3bn)
Fast Emerging Markets
• Africa
• Asia Pacific
• Saudi Arabia
• UAE
• Latin America
• Turkey
Dominant export
markets forSouth West,
Germany, France and
US45%
IrelandPop
4.5m£15.3b
n
UK Trade & Investment | Exporting for Growth 8
Changing world ?The world is converging
Demographics
Western World Long lives, small families
Developing World Short lives, large families
For example...
• 1.3bn population in China
• 314m middle class in next 5 yrs
• Shenzhen 12m population
• 100m urban residents since 2006
‘The Asian Tilt’ - The move from West to East
Emerging markets are drivers for recovery
Rapid growth in internet access
UK Trade & Investment | Exporting for Growth
Changing world ?The world is converging
Source: Hans Rosling - Gapminder Foundation
Children per Woman (Fertility)
Life
Exp
ecta
ncy
1 2 3 4 5 6 7 8
15
80
70
60
50
30
2008
USA
1964
Vietnam
Developing world
Healthier
Living longer
Wealthier
Spending power
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The world awaitsBuying from British Firms
UK Trade & Investment | Exporting for Growth
TransportationPharma/MedicalScientific InstrumentsPumps & CompressorsEarth Moving Equip
TelecomsConstructionEnergy TechnologiesFinancial ServicesFood & Drink
Power GenerationIndustrial MachineryAdvanced EngineeringPharma/MedicalAutomotive
Power GenerationTelecomsTransportationIndustrial EquipmentPharma/Medical
Type your title and date here 00/00/0000 11
6th Largest economy 4.5% growth3rd Largest road network on earthTop producer of crude oil$60bn in ports, urban mobility and rail$560bn in infrastructure & housingRio World Cup 2014 & Olympics 2016
“ We go in to markets where there’s strong economic growth and the government is committed to environmental considerations”
That approach has certainly worked for E&E in Brazil, where the company has enjoyed 15-20% growth over the last five years.
Go where there’s growth
UK Trade & Investment | Exporting for Growth 12
Rising to the challengeCommon hurdles to doing business internationally
Resource Costs
Legal, regulatory and IP issues
Managing overseas risk
Language and cultural barriers
Logistics
Financing and funding export drive
Getting paid
UK Trade & Investment | Exporting for Growth 13
Access new and existing marketsPackage of support to help companies grow exports
Our goal is to help companies overcome barriers and export more
Intense programme of support
Support based on readiness,
competence, capability and
desire to grow export sales
UK Trade & Investment | Exporting for Growth 14
Global reachThere are opportunities for UK exporters in all areas of the world
British Embassies and Diplomatic offices based in 96 markets, with 2,400 UKTI staff that offer local, in-market knowledge and expertise.
Access new and existing marketsPackage of support to help companies grow exports
TradeShow Access
Business Language & CultureSupport
Market Visit Support
Export Market ResearchScheme
Overseas MarketIntroService
Overseas BusinessTraining
Develop Export Strategy
Tactical
Strategic
UKTI provides both tactical and strategic support
Intense Support for Growth
Valu
e
Ad
d
With intense assistance from International Trade Advisers to provide customised export support solutions
UK Trade & Investment | Exporting for Growth
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EEN Capability
Operate across Europe
Covering 21m businesses
Over 700m population
600 host organisations
51 countries
5000+ staff
Also includes non EU countries Russia, Israel, USA, Japan S.Korea and Chile
How UKTI support can help youWorking with European Partners
Enterprise Europe Network
UK Trade & Investment | Exporting for Growth
UK Trade & Investment | Exporting for Growth 17
How UKTI support can help youERDF funded support to assist on your journey into export
Internationalisation Programme
- Enhanced support for eligible companies
• Grants (match funded)
• Research
• Intellectual Property
• Fast track to new markets
• Language and Culture
• Network Clusters
• Inspirational and informational workshops
Intensive Support
£
UK Trade & Investment | Exporting for Growth 18
Helping South West exportersAcross sectors, markets and across the world
UK Trade & Investment | Exporting for Growth 19
How we have helped exportersHear how our clients have benefited from our services
“UKTI not only helped shape my export strategy, but really opened doors, putting me in contact with the right people in the right countries.“
Parminder Kalsi, Managing DirectorBBC Pharmaceutical Services
UK Trade & Investment | Exporting for Growth 20
Getting it rightTen key steps to successful exporting with help at hand from UKTI
1. Research your market
2. Export strategy and review
capabilities
3. Construct an export plan
4. Choose and develop a
sales presence
5. Promote your product
6. Get the customs side right
7. Choose your distribution
model
8. Transport goods effectively
9. Getting paid on time
10.After-sales policy
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UK Trade & Investment | Exporting for Growth 21
Partnership and CollaborationWorking together to reach your export potential
• Your Bank
• Your Accountant
• Your Lawyer
• Professional Intermediaries
• Higher Education
• Freight Forwarding
• Intellectual Property Office
• British Embassies and Diplomats
UK Trade & Investment | Exporting for Growth 22
Export Week 12-16 November
Events across Britain
15 in the South West
Five Master Classes
Gloucester, Bath, Swindon, Ilminster , Torbay
Bristol Explore Export
Contact UK Trade & InvestmentFor help, advice, access to UKTI support programmes
0845 60 60 969
Call
www.ukti.gov.uk/southwest
www.exportweek.ukti.gov.uk