World Blazer : Run Your international Division like it is a Start-up (Even if it isn’t)

Here’s a deep dive into World Blazer Consulting LLC ( http://www.worldblazer.com ) founder Alison Larson’ s way of thinking, and a look at insights from her 26 years of international business experience in the apparel industry. Larson served as vice president, Global Business Development for Carter ’s, the No. 1 children’s wear brand in the USA, where she was instrumental in taking Carter’s from a label with little international recognition to a brand exceeding 20 percent international growth per year.

Prior to Carter’s, Alison worked as managing director, international for OshKosh B’Gosh, where, for 15 years, she helped build the brand from its international infancy to a premier children’s brand selling apparel, accessories, and other related product categories in top retail locations around the world.

I interviewed Larson to find out what it takes to be successful developing an international brand.

Laurel Delaney: To put things in perspective, give us an idea of what annual sales for OshKosh were at the time you started, and what percent was international? What countries were you selling to?

Alison Larson: In 1990, OshKosh company sales were approximately $323M (wholesale and retail). International was about $22M (wholesale and licensed) or 6 percent of company sales. At the time, OshKosh was doing a small amount of export and licensed business in Europe, Asia/Pacific, the Caribbean, Mexico, Canada, and the Middle East. The business had been managed by the US sales team until about a year before I joined. When I came on board, there was only the general manager of international and a customer service rep out of Wisconsin.

Delaney: What were some of the first initiatives you took to develop an international presence for OshKosh?

Larson: One of the first things we did was create brand development manuals so we could ensure that we established a high-quality, consistent brand image for OshKosh around the world. We developed an international retail concept for freestanding stores and shops and a corresponding do-it-yourself manual so our international partners could implement the concept locally under our specifications. Along with that, we developed a merchandising manual and video that showed our partners exactly how to present and merchandise our products at retail. We also created an international marketing manual that outlined specific guidelines for implementing our advertising layouts, images, and message around the world. The ads were adapted slightly for international markets and were updated every season. We also put together approval procedures in marketing, product development, retail, and quality control in order to make sure that we protected our brand image and were consistent in all markets.

Delaney: What was the single greatest challenge you faced in getting the OshKosh brand accepted, recognized, and established on a global scale? What was your greatest success while building the OshKosh brand globally?

Larson: In the early nineties, the US was behind many of the major markets in terms of fashion trends and quality standards. Our US designers would often go to Europe for design inspiration, so the trends that we incorporated were typically a year behind Europe. Therefore, international buyers, especially those in Europe, would complain that our designs were out of trend. We also were offering poly/cotton tops when many of the international markets wanted 100 percent cotton. As a result, we found that certain aspects of the Oshkosh line had to be adapted in order to meet the high standards of the European and often Asian consumer.

I believe that our greatest success in building the OshKosh brand globally was being able to position it at a more premium level as compared to our business in the United States. The international consumer was looking for brands that were more upscale and could be sold in higher-end department stores. In the US, we were selling to a few mid-level department stores, but much of our business was being done in outlet centers. This meant that we had to upgrade everything we did: product, store design, marketing materials, etc. As a result, our brand image around the world was higher than that in the US, and our stores and shops internationally looked better than any of the stores we had in the United States.

Delaney: Can you share a failure and how you turned it into a powerful learning lesson going forward?

Larson: At the very beginning of my career, OshKosh wanted to explode its European business and decided to enter into a joint venture (JV) with a company in France. In Europe, OshKosh's bib overall was very well-known, as both Princes William and Harry of the UK were photographed often wearing the overalls when they were children. At the time, OshKosh was exporting a modest amount of product throughout Europe but recognized that adaptations to the product, marketing, and retail concept would have to be made in order to better satisfy the needs and requirements of the European consumer. The JV company opened subsidiaries in Germany, the UK, and France and serviced the rest of Europe through the Paris headquarters. To make a long story short, OshKosh ended up having to buy out the JV partner a couple of years later and formed a wholly owned subsidiary.

The venture was a disaster from the beginning. The organization that was established was for a company with an international business the size of Levi's, not for a medium-sized company like OshKosh with a small international business. Also, the general manager of Europe was not experienced enough to run such a complicated business. Moreover, we adapted the product so much for Europe that it lost much of its midwestern American heritage and became a very upscale European brand. The product costs and corresponding retail prices were so high that the company had difficulties selling everything but the bib overall and couldn't make enough profit to cover the high overhead of the company.

Unfortunately, millions of dollars later, when the decision was finally made to close down the company, many people lost their jobs, including my boss at the time. I was very fortunate, as I had been able to spend a great deal of time in Europe, working in the offices and the stores and at trade shows. The European experience I gained and the lessons I learned were invaluable and shaped my career for years to come.

Delaney: Did you have a companywide commitment to grow the international business for Carter’s?

Larson: In the beginning, there was not a real companywide commitment to grow the international business at Carter's. The CEO at that time really wanted to focus on the US business. It was very difficult because we had the lowest priority in the company when it came to resources and visibility. If the company was short product, it came from international orders. If there were delays, international was shipped last. There was a very small budget allocated to international development. We had a skeleton staff and had to develop most of our materials ourselves. Our partners suffered the most because, although they were investing heavily in beautiful stores, their voices were never heard. Compared to the size of the US business, their businesses were too small to matter.

The great thing was that it forced us to be very resourceful and creative and focus on building a strong foundation for the Carter's brand and great relationships with our international partners. We were left alone by corporate and could develop what we felt the business really needed.

When the next CEO took over, things began to change. The company realized that international would be an important growth vehicle for the company and therefore decided to give our division more visibility, more priority, and more resources.

Delaney: Based on your global business experience, what are some critical errors that companies make when going global?

Larson: A common mistake that companies make is going with the first company that approaches them. There usually is little to no research done, no strategy developed, and no other partners considered. They quickly launch in a foreign market and then eventually pull out when the business fails to make money and becomes a big distraction to the team. They then spend the next year or two cleaning up the market and trying to rebuild their reputation.

Another common error I see is companies going global before they are ready. When things are difficult in their home market and they need to increase sales, they look to international for growth. This is a bad approach, as problems typically get magnified when entering a new market. A company that is financially strong with a solid business in its home market almost always has a much greater chance of success in international expansion than a company that is struggling at home.

Delaney: When developing an international strategy and conducting competitive assessments on a brand, how much focus should be placed on competitors who appear to be successful?

Larson: I believe that a thorough competitive analysis is one of the most important parts of the market assessment process and the company's ultimate success in the country. It is critical that a company look at competitors in their industry and specific category in order to succeed internationally. And, while I feel that it is important to look at brands or companies that have been successful in that particular country, it is probably equally if not more important to look at those that have been unsuccessful. After all, why repeat the same mistakes that others have made before you if you don't have to?

Delaney: Many companies talk about the importance of forming partnerships to grow their business internationally. What’s the best way to decipher a good partner from a bad partner?

Larson: In my opinion, the partner that you choose will be the most important determinant of whether you will be successful in a foreign market. This is not a process that should be rushed through, yet the majority of companies that I come across enter international markets by accident, not by design. They often go with the first company that approaches them without doing significant research on the market or the partner. Choosing the wrong partner can damage your company or brand's reputation, cost you significant amounts of money, and set you back years in a market.

In the vetting process, I typically use the following criteria in evaluating a company. First, you should look at the quality of the other brands they carry. The best brands get the best partners, but there are also good companies that carry lesser known but quality brands as well. The company’s reputation in the market is also very important. If possible, one should check a company’s references by calling one or two of the brands that the company represents.

Good partners must be strong financially so they can invest in the business. Make sure that you always do a credit check on the company before signing a contract to make sure that they are financially sound. Having a strong distribution network is key in getting your brand placed with the right retailers. Many companies will list a bunch of retailers that they will sell your product to, but often they have no idea whether the retailer will even take your brand, especially if they are not already doing business with them.

A product and cultural fit with your company is critical when selecting a good partner. The company’s brands and product lines should be complementary to yours and not compete directly. When determining cultural fit, you want to make sure that your two companies have the same values and vision for the future of your brand or product. You also need to establish mutual trust. If you do not fully trust the company or seem to have a lot of disagreements during the negotiating process, chances are this company is a bad cultural fit. And lastly, make sure that the business plan the company submits to you is realistic and well thought out. Aggressive business plans with big numbers look great on paper but often do not get executed.

Delaney: Is there such a thing as an inability to adapt a product for an international market?

Larson: Yes. For smaller brands, localizing can be particularly difficult, if not impossible, due to an inability to reach production minimums. Often, a brand must wait until it has developed a significant volume in its core business before it can realistically begin to adapt any of its products for international markets. With that said, design, spec, and other product adaptations can put a lot of pressure on the supply chain, so it is critical that there is enough need and demand for the new product. Minimums need to be met and product costs, margins, and pricing must make financial and commercial sense.

I also see brands that refuse to adapt their product for international markets due to ego or the desire to keep the authenticity of the brand. Sometimes, when a brand is very strong in its home market, it assumes that the product will work around the world without any tweaks. The problem is that fashion can be especially difficult to cross borders because consumers' preferences vary considerably in terms of design, color, silhouettes, and fit.

While I do believe that localizing products for certain international markets may be necessary, the decision to do so should not be taken lightly. Not every trend works for every brand, and not every style works in every country. The most successful brands are those that can tweak their offering without the consumer ever really knowing that changes have been made because the product looks and feels like the original.

Philip Pittsford, Chairman of the National District Export Council : Learn the Rules of the Export Road

What is the key to success in cracking open an international market? What are the challenges? Have trade agreements fueled export opportunity for businesses? These are among some of the questions I asked Philip Pittsford, chairman of the National District Export Council ( http://districtexportcouncil.org ). Pittsford served as Vice President of International Sales for Corr-Jensen for one year, and prior to that he spent 15 years as International Sales Manager at NOW Health Group, where he oversaw operational issues, including a network of in-country distributors active in more than 60 countries. Pittsford has won numerous awards for exporting excellence, namely the President’s E-Award for Export Excellence, and the Illinois Governor’s Export Awards.

Laurel Delaney: What is the key to success in cracking open international markets?

Philip Pittsford: Commitment. Determination. Focus. Patience. There must be a true commitment in pursuit of international markets. This commitment should include being open to making changes to your products so that they comply with local and/or regional requirements in your targeted market(s). Have a determination to follow through on the commitment to ensure that your products can be legally imported and sold into the market. Focus on providing the documents needed for market entry and/or compliance. A great deal of international commerce succeeds or fails on the documents available. Whether they are related to product registration, a specific certification, or customs entry, much of the difficulty in exporting is due to having the proper documentation. Paper drives a lot of international commerce, and the fact that a company is willing and able to produce the required documents or pursue a license needed to enter a market is what separates it from the rest. In the case of nutritional supplements, these documents will pertain to registrations, product specifications, and certain product licenses for the import and/or export of the item. For industrial goods, they could include specific product certifications. Without these licenses or certifications, your product will not enter the market. These behind-the-border obstacles can keep you from entering the market. Patience comes into play because gathering the necessary documents takes time, and submitting for review for a license or registration in a foreign market also takes time.

Delaney: On the opposite side of the spectrum, what is the single greatest international growth expansion challenge for companies and how is it overcome?

Pittsford: The biggest challenge is getting the full commitment of the owner and senior management to what is needed to fully take advantage of the opportunities that international markets offer. Oftentimes there need to be changes in formulations and label text, for example. Not all small- to medium-sized businesses (SMEs) are in a position to offer these product adaptations.

Delaney: Have trade agreements fueled new overseas market entries for companies?

Pittsford: The Trans-Pacific Partnership (TPP) offers great promise for many SMEs in that it will bring down many of the behind-the-border obstacles that can keep companies from gaining access to new markets. TPP addresses product standards and it offers a unique opportunity for the US to contribute the establishment of many of the standards that will be used for years to come. This would do away with much of the additional testing and applications that many companies must go through as they are trying to enter new markets. These add significantly to the cost of doing business overseas, adding to the price at which companies must sell their products in order to be profitable. TPP also brings down tariffs. Imagine having an additional duty of 20%, 30%, or 60% added to the cost of your products upon clearing customs in a foreign market. In many cases, your product just went from being competitive to becoming more expensive and possibly no longer competitive. TPP will be good for American manufacturers and exporters in opening up a large and growing market for American companies. There are currently about 350 million middle-class consumers, and it is believed that this number will exceed 3 billion by the year 2030.

Delaney: What action should a business owner take when international sales stall as a result of a strong dollar or competitive pressure?

Pittsford: In the industries in which I have been working, raw materials are sourced from all over the world, and as a result exchange rates have an impact on costs, whether they go up or down. However, with few exceptions, the impact is not enough to lead to a change in prices. The cost of labor and packaging can far outweigh the cost of the actual product itself. A strong dollar has had the biggest impact on product prices at retail. I refrain from offering discounts based on the strength of the dollar, based on the above reasons. In the past I have worked to offer smaller package sizes—in this way you are offering a less expensive product to meet certain market conditions without having to lower your prices.

Delaney: Is there a lesson you have learned the hard way on international sales expansion?

Pittsford: Take a hard look in the mirror and ask yourself if you are ready to go international. Export sales should not be approached as a last desperate act to save your company, nor should international markets be considered as the dumping ground for excess inventory or sub-standard product. Consumers overseas are sophisticated and they read labels. If you are successful in your home market, your business is solid, and you have excess capacity, you should consider exports with the understanding that it is a long-term commitment. Do not just jump in. Take a hard look at what will be required for you to enter targeted markets and choose your targets carefully. Most exporters are “accidental” in that they were approached by a foreign buyer and took the order. This can work for a while, but it is not the way to build an export business.

Delaney: Any major trend you see around the corner that will impact how all of us will conduct business globally?

Pittsford: The Internet has already changed the face of retail in terms of how, when, and where consumers shop and what they expect as customers. Companies today must have an online presence at all levels. They also need to have a web strategy so that they have some control of over pricing. We can suggest retail prices, but we cannot dictate what companies charge their customers. As a result, you should carefully consider your pricing when looking at a multi-channel strategy. A well-planned and executed strategy should allow you to pursue both online and brick and mortar sales. Be sure that your web site is mobile friendly, as a lot of consumers now buy from their mobile devices.

Paulson Manufacturing : Listen to Your Customers and Take the Long View

Think that the face shields for firefighters’ helmets, the riot shields for police helmets, and the body shields worn by police are difficult to export? Not for Roy Paulson , president of California-based Paulson Manufacturing ( http://www.paulsonmfg.com ) and director of Paulson International in Germany, who makes these trademarked products and exports them all across the planet. Paulson Manufacturing’s total sales for 2017 are projected to be $20 million, with international sales at 25 percent.

Paulson’s business is very similar to that of the millions of small businesses in the United States that are eager to export. I spoke with him to find out how he’s become successful and what tips he can offer newcomers to the export industry.

Laurel Delaney: What’s the secret sauce to your international success?

Roy Paulson: What’s set us apart is that we have concentrated on developing our exports and rechanneling the innovations from all the international contacts into products for our domestic markets. We build our products in California, prioritize the use of domestic materials and, hence, we are able to successfully sell all around the world.

Delaney: Are you globally competitive on everything you manufacture?

Paulson: It is selected product items that sell the best internationally. We find that the most innovative products sell the best internationally, and it is very important to listen to what the customer wants. Don’t shove what you have down their throats; your business will not grow and you will be resented.

Delaney: How do you gauge what new product or new market to take on next?

Paulson: The feedback from our international sales team is very important to developing our international product line and business plans. We consider the feedback precious, good or bad news—does not matter—we take it all in and use it to our advantage. In the end it is to the advantage and benefit of our customers.

Delaney: Where can a small business owner get blindsided in his export activities?

Paulson: It is very important to make sure that everyone is making money in the entire supply chain. Otherwise, the business will be short term. This is the responsibility of the US exporter.

Delaney: What about the product side of pricing at a profit?

Paulson: Price rarely comes up, unless there is a large Request for Quotation (RFQ) or a competitive situation. My position is to not sell on price, but rather to sell on innovation.

Delaney: Where are you putting your energy these days to squeeze out or fuel growth for your business?

Paulson: We have placed tremendous efforts on developing new markets. We now have ten distributors in India. We are taking the long view, as we all know that it takes time to develop these advanced export markets. By taking this point of view and avoiding getting distracted with short-term, one-time sales, we are building for the future.

Delaney: What factors have been challenging for you at Paulson Manufacturing?

Paulson: While we have continued to grow our sales, the value of the US dollar has created a significant headwind. Along with the value of the dollar, the drop in the price of oil created a loss of sales in many areas of the world.

Delaney: What’s the work-around, or how do you navigate through such trying times?

Paulson: We have lowered prices, increased inventories for faster delivery, and hired additional salespeople to visit our customers on a regular basis.

Delaney: What’s helped you sleep at night? In other words, tell me what export solutions you have put into play that have worked.

Paulson: In general, we are making a physical visit to every customer four times per year. These efforts have kept the exports sales growing, and we are continuously looking for more customers and new markets to counter the next headwind that may blow in at any time.

Delaney: What other advice can you provide relative to what you’ve learned on the road to exporting success?

Paulson: I have two more critical points: First, visiting customers in their own country is one of the keys to exporting success. These visits must be on a regular basis and within the time frame expected of the customer. We have the tendency to rush in and out. This will not work in export development. When you visit your customers, take your time and stay a while. You will get more business simply because of your attitude.

Second, I have traveled the world, selling our products and developing relationships with my customers, and discovered the key to achieving export sales is relationship selling. There is a simple formula I use related to developing exports. In domestic sales, for example, we cherish and defend a transactional selling method where the prioritization is on price, quality, and delivery. Domestic sales are typically 75 percent transactional and only 25 percent relational. With export sales, relational selling is 75 percent of the equation with 25 percent being transactional. This is the key to developing export sales and achieving long-term export success.

Roberts & Company : Get Things in Writing

Taking companies global helped Barbara Roberts ⁱ increase her revenue. Before it was sold to Getty Images , FPG (Freelance Photographers Guild) International, the company that Roberts was formerly the president of, was already one of the largest stock photography companies. The company sold the rights to use its photographs in local advertising and editorial products internationally. It did this by finding a local stock photography company and contracting with it to allow the company exclusive licenses of FPG’s photographs in its country.

The other company that Roberts served as president of, Acoustiguide, is the supplier of audio tours, equipment, and staff for museums and historical sites around the world. At the time she was president, Acoustiguide supplied these audio tours through direct sales, joint ventures in a specific country, and wholly owned subsidiaries.

With both of these companies, international business grew to account for between 30 and 40 percent of revenues . I talked with Roberts (Roberts & Company [ http://www.brobertsco.com ]) to find out what she learned when she took these products global.

Laurel Delaney: What did you learn from your exporting experience that you can share?

Barbara Roberts: First, you cannot go international without having a lot of things in writing. In both of these companies, the product that we were selling was intellectual property . Accordingly, legal work and documents were a critical part of our process and success or failure. For successfully selling this type of product, putting all details, expectations, rules, and obligations in a contract was necessary for success. This was of course important doing business in the US, but if there are language barriers in verbal discussions, it is even more critical to have very detailed written documents that can be translated into any necessary language.

Second, you will be more successful in international sales if you have the right local partner or employee. In my experience, people who found me often worked out better than people I actively sourced. Potential international partners who had found me typically had done research on me and our company and had carefully thought through how we fit into their strategy and market. They had a much better understanding of how we fit than we ever could have understood as an outsider. The process to come to an agreement often went faster and more smoothly. You also need to be easy to find, so the development of a strong web presence and attending and speaking at international conferences in one’s industry are good starting steps to developing an international business. You want to be known and easy to find.

Third, when going global, you may find that collecting money is easier than firing [overseas] staff. Many business people are hesitant to go global because of the fear of collecting money. In my experience, if one sets up the right legal structure, this is not a common problem. A bigger learning point for me was the fact that many countries have much more stringent rules and financial penalties for firing people or closing unsuccessful operations than we experience in the US. If you hire local people or start a local operation, it is critical to learn up front what the local rules and financial penalties are for firing someone or closing an operation.

Lastly and most important, you should see going international as an exciting learning adventure . One cannot be successful internationally without a willingness to suspend judgment and be open to accepting that everyone carries a cultural bias. Licensing photographs internationally and developing audio content to explain local cultural institutions particularly demanded the willingness to always assume one could get something very wrong. For instance, simple things like the number of golf balls in a photo or the color of the scarf someone wore could instantly make a photograph that earned thousands of dollars in the American market worthless in another country. One had to learn different numbers mean bad luck in different countries and the color red in particular has very different connotations worldwide.

However, I do want to comment on the fact of increased personal risk for business people who internationally travel. I experienced a kidnapping attempt in Venezuela and do recommend that if one does international business travel that you are thoughtful and deliberate about your personal security.

Marlin Steel : Translate Your Web Site to be Foreign Friendly

“We were once a company nearly felled by cheap steel from China. We’re now a thriving busines s that exports to thirty-six countries,” says Drew Greenblatt , president of Marlin Steel ( http://www.marlinsteel.com ), about his company’s explosion into exporting. Exports constitute about one-fifth of the company’s sales. Marlin Steel exports steel products to Argentina, Australia, Austria, Belarus, Belgium, Brazil, Canada, China, Columbia, Costa Rica, the Czech Republic, Denmark, Estonia, Finland, France, Germany, Guinea, Hungary, Iraq, Ireland, Israel, Italy, Japan, Mexico, the Netherlands, New Zealand, Norway, the Philippines, Poland, Puerto Rico, Saint Thomas, Singapore, Sweden, Switzerland, Taiwan, the United Kingdom, and Uruguay.

I asked Greenblatt his thoughts on why exporting is a valuable business decision for American companies.

Laurel Delaney: Why should American small business owners look to export?

Drew Greenblatt: Free trade agreements get some bad publicity—that they’ll cost American jobs—but export businesses create a lot of jobs. About 95 percent of the world’s potential clients live outside the United States. That market is becoming wealthier and will require services and products. There’s a growing world of customers beyond our borders. And the waves of activity that occur in your niche in America may have nothing to do with the same niche in Japan or Canada or Germany. Your local economy could be in the doldrums, while your prospects halfway around the world could be good. Export jobs typically also pay better—20 percent more on average.

Delaney: What’s been challenging or troublesome for you since we last connected?

Greenblatt: Since 2014, exports to Europe have taken a beating due to the strength of the U.S. dollar, which is up 25 percent and makes our products way too pricey in that market right now. However, to make up for that sales shortfall, sales in Canada and Mexico, markets close in proximity to the United States, have been strong and showing an appreciable savings on freight. Further, companies in these markets are seeking high-quality products.

Delaney: What’s been an “aha” or awakening for you on export growth avenues?

Greenblatt: American-based companies that we do business with are referring new potential export business to Marlin Steel. For example, Toyota, Ford, and General Motors, due to operating on a global scale, refer new business to Marlin Steel on an as-needed basis. They begin to serve as an evangelist for Marlin Steel. We no longer have to sell ourselves.

Delaney: Have you changed any of your payment methods as a result of tightening your belt?

Greenblatt: In addition to Exim bank, we now pursue the path of cash in advance where it works so we don’t rely so heavily on financing organizations. We extend credit where we can but prefer the cash in advance payment method.

Delaney: What tips can you provide to help a small business get started with exporting?

Greenblatt: After receiving initial expressions of interest from overseas and a major order from Asia several years ago, Marlin Steel expanded its export business plan with help from the Baltimore Export Assistance Center. The US Department of Commerce International Trade Administration runs similar centers around the country. It helps connect businesses with trade promotion events, trade missions, and other programs.

Our state of Maryland is very helpful in opening doors to trade for our organization. For example, Maryland Economic Development Corporation (MEDCO; http://www.medco-corp.com ) pays fifty percent of overseas expenses for pre-qualifying export companies ($10,000, for example, to translate a web site) and the Baltimore Development Corporation (BDC) in Baltimore, Maryland ( http://baltimoredevelopment.com ) helps businesses grow.

That said, we’ve done several things to grow in the international marketplace . We translated our Web site to be friendlier to foreign customers. We now have versions in Japanese, German, Spanish, and Korean. You have to make it easier for those customers to find you.

We’ve also tapped several government programs that have been helpful. One of those is, as mentioned earlier, the Export-Import Bank of the United States’ guarantee of receivables. When we shipped wire forms to an electronics maker in Singapore, the Export-Import Bank provided the guarantee for a small insurance premium. I’d never heard of the electronics company and neither had my banker, but we were both able to sleep at night because the transaction was covered. The government kept 0.5 percent of the deal for the coverage; I got the other 99.5 percent. Not to be overlooked, my employees got some overtime out of the contract and a local producer received my steel order. Many manufacturers are probably not aware of the program. It could help lessen some of their anxiety about exporting.

Another helpful program is the Gold Key Matching Service by the US Commercial Service of the Department of Commerce. For a nominal fee, the service prequalifies prospective companies to meet with overseas and provides a translator and a driver (important in places where you can’t read the street signs). The service covers about seventy nations that constitute most export markets for US business. I used the service when I visited Korea on a trade mission with the governor of Maryland in 2011 and I intend to do another trip to Spain and Germany in 2016 through the help of the Gold Key Program.

Delaney: What other insights are we overlooking or missing that might help small businesses get started with exporting?

Greenblatt: Nurture and cultivate your key accounts, for you never know where your re-orders might come from, and the only way to find out is to stay on top of your game. Learn about other projects from customers or key people in your supply chain. Expand the relationship, visit customers, and get your customers to serve as evangelists for your business so you never have to do the selling yourself.

Delaney: What did you learn the hard way?

Greenblatt: The paperwork thicket can still be frustrating. While we need only a few minutes to fill out the requisite forms when we ship to Canada or Mexico, it takes twenty minutes per form when shipping to a non-NAFTA country. A few years ago, we took a photograph of two Marlin Steel employees standing beside the cartons that held our files to respond to regulations; the stack was three feet taller than they were.

There are cultural issues to recognize as well. The exchange of a business card with Japanese and other Asian prospects requires more formality and procedure, for example, than that same act between American businesspeople.

Although some folks have gotten cynical and don’t always give it its due, “Made in the USA” remains a coveted brand worldwide. American businesses are missing opportunities by not taking more advantage of that.