This document provides information and recommendations for suppliers participating in trade missions:
1) Trade missions can benefit both communities through new investment and suppliers through export sales and collaborations. The goal is to create or retain jobs in the region.
2) Participating in a trade mission provides structure and support that prevents being overwhelmed in foreign markets. Organizers identify good prospects and provide intelligence not available otherwise.
3) Objectives for suppliers include generating sales through direct customers, distributors, or new offices. Missions also allow scouting new markets and networking with other participants.
4) Missions provide an inexpensive way to evaluate markets through the selection process, briefings, and meetings. A 2008 example found
14 Export Research Tools and Solutions Bernard Swiecki
1. Maximizing the Benefits of Trade
Mission Participation
- Lessons for suppliers
Bernard Swiecki
Assistant Director, Automotive Communities Partnership
Center for Automotive Research
2. Two Constituencies
Communities
– New investment
– Purchase of existing facilities
Suppliers
– Export sales
– Collaborative agreements
• Marketing
• Distribution
• Joint product development
In all cases, CAR seeks to create or retain jobs –
thereby economically benefitting the region.
3. Why Participate in a Trade Mission?
Trade missions provide structure that prevents participants
from being overwhelmed by unfamiliar
– Business practices
– Language barriers
– Industry structure
Mission organizers weed out low-probability prospects, saving
participants many potential wrong turns
Supporting organizations (U.S. Commercial Service,
consultants, marketing firms) provide intelligence not available
to firms who are not part of a mission – or available at a cost
In spite of the emergence of email, teleconferencing, and cheap
international phone calls, there is still no substitute for going
4. Mission Objectives for Suppliers
Generate sales by
– Selling directly to foreign customer firms
– Securing an agreement with a marketing/distribution firm
– Opening an overseas sales office
Scout a potential new market
Make connections with other mission participants
and exhibitors
5. The Trade Mission as a Scouting Trip
Inexpensive but effective way to evaluate a country
as a potential market through
– Mission participant selection process
– Market briefings from local experts
– One-on-one meetings with potential customers
2008 Russia mission example: participant decided
Russia was not yet mature enough a market for their
high-tech product and postponed market entry – an
inexpensive and informed decision
6. Anatomy of a Typical International Trade Mission
Pre-mission selection process and preparation
Market briefing from local experts
One-on-one meetings with potential customers
Attendance of a trade show or parts expo
Attendance of concurrent events
– Receptions
– Conferences
Visits to key local suppliers
– Meetings
– Facility tours
Potential to add visits and meetings of your own before/after the
mission
Mission follow-up
8. Recommendations to Suppliers
Participating in Trade Missions
Pre-mission homework
– Destination country
– Companies of interest
Prepare appropriate marketing materials
– Focused on products likely to sell in destination country
– Most effective if translated
“Work” the expo (if applicable)
– CAR usually provides each company with a “target list” of expo participants
to visit
Prepare as well as possible for one-on-one meetings – they are the
heart of the mission
After coming home
– Follow up with companies from one-on-one meetings
– Maintain contact with other mission participants (their experiences may hold
useful lessons for you)
– Some meetings yield fruit soon, others take time
10. Living History in India
- Some facilities are world class, some not. But emerging market consumers are
increasingly less willing to tolerate obsolete product and government regulations grow
increasingly more stringent. American suppliers can help.