Whether you are approaching the Import/Export (IMEX) game as an export management company (EMC), export trading company (ETC), or trade merchant... a market research plan and execution of it is mission critical to your success and sustainability.
Knowing what the key relevant factors are is the difference between being properly informed to make the best decision or deciding your companies commitments off of guesswork and irrelevant factors.
5 Key Market Research Factors are:
GLOBAL COMPETITORS
- Which other companies (if any) with similar product(s) are targeting the same market?
- Do they have any advantages? If so, what (political ties, personnel from the market, etc,.)?
- Keep asking questions...
LOCAL COMPETITORS
- Are there any existing local companies in your target market with similar product(s)? If so, how many?
- How long have they been operating?
- Keep asking questions...
SOCIAL CHANGES
- What kind of social changes are occurring in your target market that would affect your product(s) success?
- Which changes are trends and which are new models of living?
- Keep asking questions...
SUPPLIERS
- How many potential suppliers do you have currently compiled for your product(s)?
- How strong is your supply chain (fiscally, historically, logistics, ability to meet future demand, etc,.)?
- Keep asking questions...
GOVERNMENT REGULATIONS
- Compile a list of freight forwarders with successful track records in your target market to be called upon.
- Does your home government have any special regulations involving trade with your target country? If so, what?
- Keep asking questions...
(Click here for 5 More Market Research Factors)
Be relentlessly thorough in pursuit of all facts and relevant data to your potential venture. Leave no stone unturned. What may seem insignificant may (and usually does) lead to something that will make you adjust your entire market entry strategy.
Being detail oriented in this step of your due diligence will reap large rewards in the near future and facilitate the development of a platform for long-term sustainability. Ask questions, ask some more questions, and then add a few questions to that for good measure... and that doesn't mean that you should stop asking questions at a certain point. Always seek new information so that you can stay lean and flexible and harness the directions of today's volatile markets instead of being caught flat footed by them.
Being well informed allows you to make educated decisions and thereby ensuring your companies competitiveness, sustainability, and profitability.
