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THE Export Support Team Executing Cost-Effective Strategies That Grow Profitability with Sales in Europe The European-American Business Organization, Inc. (EABO). Contact Information. Sven C. Oehme President and CEO oehme@eabo.biz John M. Zindar Partner zindar@eabo.biz.
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THE Export Support Team Executing Cost-Effective Strategies That Grow Profitability with Sales in Europe The European-American Business Organization, Inc. (EABO)
Contact Information Sven C. OehmePresident and CEOoehme@eabo.biz John M. ZindarPartner zindar@eabo.biz 405 Lexington AvenueThe Chrysler Building, 37th FloorNew York, NY 10174 Phone: 212-972-3035 www.eabo.biz
EABO Export Services Export Faster with Lower Up-Front Investment • EABO can help you export without the costs of building up your own international business development team. • We bolster your export efforts, providing you with step-by-step assistance in the entire process. • Outsourcing your export development to EABO is a low-cost solution for ramping up overseas business. European-American Business Organization, Inc.
Why Export? • 95% of the world’s consumers live outside the U.S. • The spending power of the EU is equal to the one of U.S.A. Exporting to Europe can double your market potential. • Sales abroad can more than make up for slow domestic demand. • The dollar has depreciated against many currencies, making your products/services very price competitive. • Improve your company’s success & profitability. • Join the growing number of U.S. Small & Medium-Sized Enterprises (SMEs), which increased by 10% since 2002. • EABO can give you the right assistance by minimizing costs and speeding up results. European-American Business Organization, Inc.
President Obama in the State of the Union Address on January 27, 2010 • “We need to export more of our goods.” • “We will double our exports over the next five years.” • “To help meet this goal, we’re launching a National Export Initiative.” • “We have to seek new markets aggressively, just as our competitors are.”* *Source: New York Times European-American Business Organization, Inc.
Three Pieces of Legislation Already in Progress • Small Business Lending Fund: $30 billion • Limited to community and smaller banks which devote a higher share of lending to small businesses. • A core function of the fund would be offering capital with incentives to increase small business lending. • Small Business Export Opportunity Act of 2009 • The bill would create a new Office of Small Business Export Development and Promotion at the Small Business Administration, increase the maximum export loan amount and create a grant program that matches funds for expenses incurred by small businesses that are actively working to start or expand export activities. • Small Business International Trade Enhancements Act of 2009 • This bill would increase the total amount of available trade financing, adjust collateral requirements, and encourage better collaboration on small business export assistance among federal government agencies.
SMEs & U.S. Exports • 97% of U.S. exporting firms are small and medium-sized businesses. • Room for Growth: Only 1% of the 27 million businesses in the United States sell overseas. • 30% of non-exporting SMEs would sell abroad if they knew how to do it. • The EABO team has the knowledge and expertise to provide assistance in each aspect of selling your products overseas. Exports European-American Business Organization, Inc.
Europe at a Glance The European Union (EU) Single Market: • 27 countries with nearly 500 million consumers. • Free movement of people, goods, services and capital creates great opportunities. • The Single Currency Euro-Zone: • 17 countries with no exchange rate risk. • Lower transaction costs. • Price transparency. • Increased competition. European-American Business Organization, Inc.
The EU Market for U.S. Exports • An integrated, open, & competitive market with strong legal & financial structures – like the United States. • Diverse markets – wealthy mature & fast emerging. • Europeans have disposable income totaling $12 trillion to spend on consumer goods. • Favorable Dollar-Euro (€) exchange rate: • Example: 2002: 1,000 units x €1 = €1,000 = $880 TODAY: 1,000 units x €1 = €1,000 = $1,410 • Gain market share while the dollar is weak and your products are cheaper for Europeans. Profitability 60%↑ European-American Business Organization, Inc.
United States – EU Trade Relations • World’s most important commercial relationship. • 3% average growth rate for the last 3 years. • Europe accounts for 50% of U.S. global profits. • EU merchandise imports from USA: $260 billion in 2008.* • Chemicals: $47 billion • Machinery: $35 billion • Agriculture: $14 billion • Energy: $14 billion • Textiles/Clothing: $3 billion • EU services imports from USA: $180 billion in 2008.* *Source: EUROSTAT European-American Business Organization, Inc.
Market Case Study: GERMANY • The largest national economy in Europe, the fourth-largest in the world. • 88 million people in an area the size of Montana. • High demand for electronics, machinery and vehicles, farm equipment, chemicals, foodstuffs, textiles & metals. • Germans possess a strong affinity for U.S. products ($41 billion of U.S. goods purchased in 2008). • In the middle of Europe with world-class logistics and transportation. • Strategy Example:Germans are responsive to innovation and high technology. The most successful market entrants offer those products. • Market Highlight:Germany is by far the world’s premier trade fair location. Of special interest to U.S. firms: Medica, Hannover Industrial Fair, CeBIT (computer expo), Automechanika, ITB Tourism Show. European-American Business Organization, Inc.
Market Case Study: POLAND • A very pro-American, open market & fast growing economy. • Beneficiary of EU principle of harmonizing standards of living. • Fast rising purchasing power since joined EU in 2004. • Recent investment in infrastructure: $75+ billion from EU. • Strategy Example:partner with Polish firms and participate in EU-funded projects. • Market Highlight: 2012 European Soccer Championship (Poland, neighboring Ukraine) – Europe’s # 1 sports event creating wide variety of significant business opportunities for U.S. firms. European-American Business Organization, Inc.
Jumpstarting Export SalesEABO Services • Preliminary market & competitive analysis to evaluate the suitability of your products or services. • Facilitating the understanding of EU markets, supply chains, business procedures, negotiation techniques, etc. • Strategic Partnership Search – finding best-fit buyers, distributors, wholesalers before traveling to Europe. • Facilitate trade event attendance with pre-fixed meetings. • Assistance with EU directives, import-export regulations, product certification, legal and tax concerns, etc. • Customized marketing designed to fit the cultural preferences and consumption patterns of your target markets. European-American Business Organization, Inc.
Benefits of Outsourcing Your Export Activities to EABO • Keep focused on your core business. • Access skill sets not available internally: • Knowledge of local languages, cultures & business customs in foreign markets. • Local contacts with distributors, customers & government. • Highly specialized sales and marketing experience • Gain outside perspective with objective analysis. = Save Time, Reduce Costs, Achieve Profitability Quicker. European-American Business Organization, Inc.
Client Case Study: Fruit Drink Mixes Examples of Client Needs EABO Results Arrange at short-notice meetings with potential partners in Sweden & Finland. 8 meetings with large-scale distributors and importers arranged within 1 week. 20 best-fit meetings with potential partners from 10 countries during ANUGA. Trade show strategy for ANUGA 2009 (Germany) & targeting of attendees. Adaptation & translation of product literature for various European markets. Material for 6 European markets fitted to cultural & consumption preferences. Arrange at short-notice meetings with potential distributors in Belize. 4 strong leads within 3 days, incl. food service suppliers to key resorts. Comparative market information & analysis to support 2010 marketing strategy in the Caribbean Basin. Comprehensive report on 22 countries analyzing relevant market & economic indicators as well as political risk. European-American Business Organization, Inc.
Client Case Study: Emergency Rescue Kit Examples of Client Needs EABO Results Provide EU country with emergency resource products. Identified product compliance requirements for the EU country. Design best cost-effective strategy toward goals. Identified similar products, already in compliance with EU regulations. Identify, contact and obtain information on potential suppliers of EU-compliant emergency resource products. List of 2 manufacturers and suppliers for each of 33 items including product info and price quotes. Qualified and introduced best-fit suppliers from 3 countries. Outsource the supply of products for kits. European-American Business Organization, Inc.
Contact Information Sven C. OehmePresident and CEOoehme@eabo.biz John M. ZindarPartner zindar@eabo.biz 405 Lexington AvenueThe Chrysler Building, 37th FloorNew York, NY 10174 Phone: 212-972-3035 www.eabo.biz