Any company, before committing its resources to venture in the export business, must carefully assess the advantages and disadvantages of exporting into a new market. While some companies enter the export business unintentionally after receiving order to purchase from foreign buyer that found their product. Others make a deliberate move and conduct thorough research before entering new market. Whether it is unintentional or deliberate move companies need to evaluate and carefully assess the advantages and challenges of exporting before committing resources.

ADVANTAGES OF EXPORTING
The reason for your company to consider exporting is quite compelling; the following are few of the major advantages of exporting:

Increased Sales and Profits: Selling goods and services to a market the company never had before boost sales and increases revenues. Additional foreign sales over the long term, once export development costs have been covered, increase overall profitability.

Enhance Domestic Competitiveness: Most companies become competitive in the domestic market before they venture in the international arena. Being competitive in the domestic market helps companies to acquire some strategies that can help them in the international arena.

Gain Global Market Shares: By going international companies will participate in the global market and gain a piece of their share from the huge international marketplace.

Diversification: Selling to multiple markets allows companies to diversify their business and spread their risk. Companies will not be tied to the changes of the business cycle of domestic market or of one specific country.

Lower Per Unit Costs: Capturing an additional foreign market will usually expand production to meet foreign demand. Increased production can often lower per unit costs and lead to greater use of existing capacities.

Compensate for Seasonal Demands: Companies whose products or services are only used at certain seasons domestically may be able to sell their products or services in foreign markets during different seasons.

Create Potential for Company Expansion: Companies who venture into the exporting business usually have to have a presence or representation in the foreign market. This might require additional personnel and thus lead to expansion.

Sell Excess Product: Companies who have excess production for any reason can probably sell their products in a foreign market and not be forced to give deep discounts or even dispose of their excess production.

Gain New Knowledge and Experience: Going international can yield valuable ideas and information about new technologies, new marketing techniques and foreign competitors. The gains can help a company’s domestic as well as foreign businesses.

Expand Life Cycle of Product: Many products go through various cycles namely introduction, growth, maturity and declining stage that is the end of their usefulness in a specific market. Once the product reaches the final stage, maturity in a given market, the same product can be introduced in a different market where the product was never marketed before.

For Haulage, Dispatch ride, Import and Export matters contact us today:
Send an email to sales@chibykeglobal.com
Call us on +2348023980783
Visit our web www.chibykeglobal.com

ok

Very good writeup. I will contact you soon.

The challenges the exporters face are many. The exporters need to be encouraged because international deals are profitable. the following are the major challenges:

Getting reliable buyers for international deals
– Products sourcing and quality
– Source Financing the export contracts
– Payment solutions with the international buyers
– Issues with trade terms
– Transportation systems in Nigeria
– Documentation and licenses

get more insight on http://freightdrive.info/blog/challenges-exportation-goods-nigeria/

or call/whatsapp on 07053630607

email: business@freightdrive.info

CHIBYKEGLOBAL:
Any company, before committing its resources to venture in the export business, must carefully assess the advantages and disadvantages of exporting into a new market. While some companies enter the export business unintentionally after receiving order to purchase from foreign buyer that found their product. Others make a deliberate move and conduct thorough research before entering new market. Whether it is unintentional or deliberate move companies need to evaluate and carefully assess the advantages and challenges of exporting before committing resources.

ADVANTAGES OF EXPORTING
The reason for your company to consider exporting is quite compelling; the following are few of the major advantages of exporting:

Increased Sales and Profits: Selling goods and services to a market the company never had before boost sales and increases revenues. Additional foreign sales over the long term, once export development costs have been covered, increase overall profitability.

Enhance Domestic Competitiveness: Most companies become competitive in the domestic market before they venture in the international arena. Being competitive in the domestic market helps companies to acquire some strategies that can help them in the international arena.

Gain Global Market Shares: By going international companies will participate in the global market and gain a piece of their share from the huge international marketplace.

Diversification: Selling to multiple markets allows companies to diversify their business and spread their risk. Companies will not be tied to the changes of the business cycle of domestic market or of one specific country.

Lower Per Unit Costs: Capturing an additional foreign market will usually expand production to meet foreign demand. Increased production can often lower per unit costs and lead to greater use of existing capacities.

Compensate for Seasonal Demands: Companies whose products or services are only used at certain seasons domestically may be able to sell their products or services in foreign markets during different seasons.

Create Potential for Company Expansion: Companies who venture into the exporting business usually have to have a presence or representation in the foreign market. This might require additional personnel and thus lead to expansion.

Sell Excess Product: Companies who have excess production for any reason can probably sell their products in a foreign market and not be forced to give deep discounts or even dispose of their excess production.

Gain New Knowledge and Experience: Going international can yield valuable ideas and information about new technologies, new marketing techniques and foreign competitors. The gains can help a company’s domestic as well as foreign businesses.

Expand Life Cycle of Product: Many products go through various cycles namely introduction, growth, maturity and declining stage that is the end of their usefulness in a specific market. Once the product reaches the final stage, maturity in a given market, the same product can be introduced in a different market where the product was never marketed before.

For Haulage, Dispatch ride, Import and Export matters contact us today:
Send an email to sales@chibykeglobal.com
Call us on +2348023980783
Visit our web www.chibykeglobal.com

A click on the first link on my signature will tell you all you need to know about exporting products from Nigeria to foreign countries.