The world is your oyster, so the old saying goes. For manufacturers, that has never been truer. Manufacturing technology products and services are in demand everywhere with opportunities around the globe—from Latin America to Asia to Europe. While opportunities abound, it will still take some work to get the pearl. Kick start or accelerate your global business with advice from industry veterans who have been engaged in global trade for decades. These leaders have tapped into the in-country expertise offered through AMT – The Association For Manufacturing Technology’s Global Tech Centers. Centers and offices in Mexico, India, China, Southeast Asia, and Europe help AMT members explore new markets and establish additional revenue streams.
International business will make your company stronger. Beyond the obvious market diversification, international business can strengthen your company by making you more competitive, flexible, and resilient. Brian Reh, CEO at Gorbel, Inc. emphasized that his company gains expertise with each international venture. Perhaps most importantly for American-based manufacturers, engaging in global trade will quickly help you realize that America is not the center of the universe and that there are thriving manufacturing industries around the globe. “We learn so much from the creativity of competition around the globe. The focus areas and the intensity are just different in certain countries. We are able to repatriate so much of what we learn from doing business overseas to make us stronger in the U.S. as well,” Reh said.
International business will make YOU a stronger businessperson. The veteran businesspeople AMT spoke with all agreed: working overseas will make you a better businessperson. By venturing into new markets, you will learn more about different cultures and approaches to business. You’ll also develop innovative strategies for maintaining resilience to counteract market changes. “It can be challenging to keep up with all the geopolitical and regulatory issues that impact international business,” explained R. Stephen Flynn, president of Optical Gaging Products. “But engaging in international business helps you improve your business overall. If you can be successful in major industrial markets, you can be successful anywhere in the world.”
Expect the unexpected. Business is unpredictable. When you are doing business in multiple countries, the level of unpredictability only increases. Before initiating business in a particular region, research the geopolitical forces at work in that area, but understand that unexpected events can require rapid pivots in your business plan. From shifting tariffs in China to traffic jams in the Red Sea, there are always changing conditions that impact international business. Be sure you are following international news, consulting with experts on the ground, and using resources like those available through AMT’s Global Tech Centers.
Brand recognition is important overseas as well. Building a global brand makes your business stronger—both domestically and globally. For this reason, the Vice President and General Manager at Jergens, Inc. Matt Schron cautions against private labeling. “We did a lot of private labeling of our products in the beginning, but we have stopped doing that in the last few years, and we certainly wouldn’t do it again,” he said. “When you have global brand recognition, you get opportunities that others don’t. Being a global company enhances customer perception.”
Follow your customers. Don’t be afraid to follow your customers into international markets. “We launched our international business to follow our customers. We wanted to be there for our customers who trusted us,” Reh said. “It takes a long time to get a customer, so if they ask you to go global with them, you don’t say no, you say yes, and then you figure it out.” For Gorbel, what started out as good customer service has been excellent for business. They have now been in China for 18 years and have developed a strong local presence and dedicated customer base.
Get started. There is no time like the present to launch your international business. According to Steve Stokey, Executive Vice President and Principal at Allied Machine and Engineering Corp., the most important lesson he learned from international business is to get started sooner rather than later. “The world is a big place, and each market has its own challenges and opportunities. Pick a market you feel comfortable in and begin doing your homework,” he said.
Start in person. Whether you sign up for one of AMT’s international trade missions or head to an international trade show, the best way to get started overseas is in person. While researching local economics and hearing from partners on the ground is valuable, you have to see these markets for yourself. “Get on a plane. Go to international trade shows. Get a sense for local customs and business practices. Live in the space for more than a day or two. Go for a few weeks and listen and learn. I am guessing you will find potential opportunities and come home with your eyes wide open,” said Reh.
Use resources. From supportive peers to dedicated organizations, international trade veterans use established resources to make global trade easier.
AMT’s Global Tech Centers offer everything from market access and proxy hires to field service support and warehousing options to make your global business ventures easier. In-country experts can also help AMT members handle human resources and develop distribution channels. “We initially struggled with getting started in Mexico, South America, and Asia. We needed clear answers to our business questions to feel comfortable jumping into new markets. AMT offered turnkey solutions to our international needs,” explained Stokey. Learn more about all of AMT’s Global Resources and attend the members-only International Briefing Breakfast at IMTS 2024 on Wednesday, September 11, 7:30-9:30 a.m. for the latest industry intelligence in foreign markets. Register here. For more details, contact Achilles Arbex at AArbex@amtonline.org.
