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CONTACT INFORMATION • Jenee Andreev International Trade Manager Northern Virginia Office; Tysons Corner [email protected] Cell: 703-424-3887 VIRGINIA ECONOMIC DEVELOPMENT PARTNERSHIP DIVISION OF INTERNATIONAL TRADE Winner of the President’s “E-Star” Award Delivering Virginia’s Products and Services to the World • Since post-9/11 recession, VA merchandise exports have increased 56% • 95 % of world’s consumers live outside the US • The 2010 value of VA merchandise exports is at its highest level in history - $16.88 billion. • From 2006-2012, VA’s merchandise exports increased at the fastest rate in history – 19.2% • Increased need for diversification in times of global recessions U.S. & Virginia Growth (2003 – 2007) 20 18 16 14 % Growth 12 U.S. GDP % Growth 10 VA GDP % Growth 8 VA Export % Growth 6 U.S. & VA 2007 Consensus Forecasts 4 2 0 2003 2004 2005 2006 2007 Historical Data: U.S. Bureau of Economic Analysis World Trade Atlas. U.S. State Export Edition. Annual 2007. Global Trade Information Services. Virginia Exports 2002 - 2007 Total Exports ‘07: $23.4 Billion Goods: -Manufactured: -Tobacco, coal & agriculture $16.9 Billion ($13.6 Billion) Services: $ 6.5 Billion (from a 2004 data study) ($3.3 Billion) Virginia’s Export Partners Virginia’s Top Merchandise Export Markets 2007 Rank Country Total to World US$ Millions 16,885 % Change + 19.72 1 2 3 Canada China United Kingdom Germany Portugal Singapore Japan Mexico Brazil Taiwan 2,729 1,104 1,099 +3.55 +17.11 +35.82 962 897 823 784 616 528 504 -39.42 +344.06 +50.66 -4.54 +26.58 +28.11 +231.26 4 5 6 7 8 9 10 International Trade Offices Our Services & Programs • Local trade counseling from seven Trade Managers with internationla business experience across Virginia • Accelerated international sales via Virginia Leaders In Export Trade (VALET) Grant Program • In-country, market research in 50 countries via Virginia’s Global Network including partner identification, market entry strategies, and vetting • Special Resources • Matchmaking via global Trade Missions (roughly 10 per year) • Host of annual Virginia Conference on World Trade – In-house, Custom, tailored market macro-level research – FastFacts on countries and critical topics – Beyond Virginia – ExportVirginia.org – Beyond Virginia Calendar HOW TO SELL OVERSEAS • Directly to your clients/end-user • Sales Representative: an agency in the US or in the foreign country working on your behalf, usually success-fee based • Agent: a rep working on your behalf with some authority to make decisions • Distributor: an organization that buys from you at a discount and resells • JV/subsidiary legal entity in-country FACTORS TO CONSIDER • • • • • • • Distance Time Language Sales Cycle Local Customer support Client relationship development and management Selling through an agent is always easier HOW TO FIND A LOCAL PARTNER • Online trade databases • Via our consultants and foreign offices on the ground • Trade missions and trade shows • Independent country visits • MAKE SURE YOU DO DUE DILIGENCE ON YOUR PARTNERS and limit exclusivity in a piecemeal approach FACTORS TO CONSIDER • Make sure you know the local laws • Evaluate partner’s technical and capabilities and market share • Understand the cultural differences, how they translate into business decisions and cycles • Be wary of competitive products • Product promotion/advertising—roles? • Geographical location—examine territory assignment NEXT STEPS • VEDP International Trade will work with you through the entire process to analyze where to look to sell your products or services, and then work through a logical, transparent process to find you the right sales’ pathways that make sense for you. • We take on the bulk of the work, risk, and costs, so this is an excellent way to increase and diversify your sales base while taking advantage of your tax dollars ANY QUESTIONS—MAKE AN APPOINTMENT! • Jenee Andreev International Trade Manager Northern Virginia Office; Tysons Corner [email protected] Cell: 703-424-3887