Being small and succeeding in Export

Succeeding in export as a small business: Yes, It’s possible

Exporting is not solely the domain of large corporations. Many small and medium-sized enterprises (SMEs), and even very small businesses, have achieved significant success internationally, as evidenced by the wine industry. Typically, these companies leverage the strengths associated with their small size while mitigating their weaknesses.

Capitalizing on Internal Strengths

The identity of the company and its leader, its history, image, and local roots are all important elements to highlight on the international stage. The authenticity and artisanal dimension of the product can also be perceived as marks of quality.

The commitment of the leader and their team to exporting is another key success factor, as is the experience with foreign markets that the company gradually acquires. Focusing on product quality and innovation (including digitizing the offering) also helps to win markets.

Defining a Strategy and Professionalizing

However, without preparation, strategy, and export skills, the intrinsic strengths of the company may only lead to one-off successes. To sustain and develop export activities, it is crucial to define an internationalization strategy (choosing countries, partners, timing, etc.), and initially to identify and promote its competitive advantage. The company must also develop its export skills through training, hiring, or by seeking assistance from a specialized firm. Exporting should be seen first and foremost as an investment if it is to become a medium-term source of profitability.

Cultivating Business Relationship

The company’s ability to interact with its environment, develop business relationships, and manage risks and regulatory constraints is also a decisive factor for success. This involves maintaining good relations with foreign importers, agents, and distributors, as well as with customers, taking advantage of institutional support from trade associations and regions, or the dynamics of a cluster, forming partnerships with other companies to share certain services (such as a booth at a trade show or a sales representative), and managing constraints and ensuring against key risks (non-payment, currency fluctuations, etc.).

To fully benefit from the advantages of its small size in terms of identity and image when exporting, a company must therefore not neglect either strategy or relationships with its partners.

This recommendation was published by La Fabrique de l'Exportation, the innovative think tank. It brings together business leaders, academics, representatives of the French administration, heads of institutions dedicated to the international development of businesses, representatives of professional organisations, competitiveness clusters and journalists.

Learn how to succeed in exporting, even as a small business