Global Expansion Simplified

©iStock/peshkov

“Internationalization” can seem an overwhelming concept for SMEs, but the relationship between the two has never been so significant. In the face of worldwide economic disruptions, SMEs’ role in the global trade ecosystem has remained resilient, contributing significantly to economic growth, innovation, and job creation.

In this article, find out:

• How to develop a structured pathway for business growth
• Nine key building blocks for international expansion
• Free whitepaper: Global Expansion Simplified: The Ultimate Guide for SMEs

It's all here.

Benefits of Internationalization for SMEs

©iStock/xu bing

One of the primary benefits of internationalization for SMEs is the access it provides to new markets. By expanding beyond domestic borders, you can tap into larger customer bases and diversify your revenue streams. You also challenge your own business to improve and excel in order to compete in this broader market", says Michiel Greeven, EVP Global Commercial at DHL Express. 

With DHL's latest white paper, they offer SMEs a practical, easy-to-use toolset to prepare for global expansion.  Check it out here.

Global Trade Surprisingly Strong Despite Recent Shocks

©iStock/oatawa

The recent DHL Trade Growth Atlas, which maps the most important trends and prospects of global trade in goods, is published by DHL and NYU Stern School of Business.  The report covers 173 countries, providing valuable business intelligence for policymakers and industry leaders. It shines a positive light on the resilience of global trade – despite recent shocks and market pessimism.

Read more to better understand global trade and its opportunities. 

Despite a Cloudy Outlook, Global Trade Is Still Resilient

©iStock/RusianShevchenko

According to DHL and the NYU Stern School of Business, forecasts for global trade indicate:

• Trade is expected to grow slightly faster in 2022 and 2023 than it did over the previous decade.
• Many companies backed away from reshoring and nearshoring plans, leading trade to grow faster in emerging economies close to China.
• Vietnam, India, and Philippines are benefitting, with Vietnam the biggest winner.

Trade is expected to grow slightly faster in 2022 and 2023 than it did in the previous decade, despite the headwinds of Covid, a global economic slowdown and the war in Ukraine.

Read on about how globalization of trade isn’t ending, despite Covid, war and inflation.

When Will We See Relief on Overseas Shipping Challenges?

©iStock/Tryaging

Tim Scharwath, CEO of DHL Global Forwarding says that shippers should expect higher freight rates, long-term – and also not expect much easing in the market until Chinese New Year 2022 and ‘normality’ in 2023. 

Ouch.  Read on to deal with reality  – that it may get worse before it gets better.

New Global Shipping App

©iStock/Lux_D

International express delivery services provider DHL unveils MyDHL+, an app aimed at the UAE to bring new levels of speed and simplicity to the cross-border shipping process.

Shippers ranging from small businesses to large global corporations will be able to benefit from MyDHL.

Read more about how and why DHL picked the UAE market to launch its new app.

Dubai Discounts Freight Rates for SMEs

©iStock/aksphoto

The agency of Dubai Economy mandated to develop the small and medium enterprise (SME) sector, Dubai SME, has signed an agreement with DHL to launch the ‘Global Expansion Initiative for Small and Medium Enterprises’ program.

As per the new initiative, DHL will offer discounted freight charges and also provide access to workshops and training programmes on international expansion to Dubai SME members and companies rated under the SME RATE Framework.

This initiative instrumental to achieving the goals of the UAE Vision 2021 goal to building a diversified and sustainable economy, and aligns with the Dubai Plan 2021 goal of increasing the share of SMEs in the emirate’s GDP.

Read more ...

Is Amazon Competing With FedEx, UPS and DHL in the Package-Delivery Market?

©iStock/killerbayer

When it comes to online activities, Amazon changed the way we shop, especially on books.  Just look at the state of Borders who turned over its online keys to Amazon back in the early days and Barnes and Noble who seems to operate only in big cities.  How are they fairing?  Now Amazon is not only opening brick and mortar bookstores but is changing the way we ship, or at least the choices we make when we buy from Amazon and have our merchandise delivered.

... Amazon has moved openly and aggressively to increase its reach, capabilities and capacity in the logistics and distribution arena. The Seattle-based company purchased thousands of trailers blazoned with Amazon logos in the U.S., registered as a non-vessel-operating common carrier to better manage the flow of goods from China to the U.S. and leased 20 U.S. domestic cargo planes from Air Transport Services Group.

Are we in for market disruption in the logistics industry?

Read more:  E-tailer Amazon reshaping logistics as we know it

Today in Global Small Business: DHL Spurs Entrepreneurial Exports

©iStock/aprott

What's affecting me, my clients, my colleagues and other global small business owners:

• Home office import/export -- some drawbacks (part III of III-part series).
• The debate over trade and the future of the working class.
• Why you should use Google Apps for work.
• Is there a global slowdown in the UK?
• Growth in global e-commerce logistics may approach 10 percent in 2016-2020 period.
• DHL spurs entrepreneurial exports.

Adopt Globalization As a Key Driver For Business Growth

©iStock/Onishenko-Galina

According to findings of an in-depth study conducted by the Economist Intelligence Unit (EIU) on behalf of DHL Express, the majority of SMEs see growth opportunities internationally and expect to derive up to 50 percent of their revenues internationally in five years’ time.

What else was discovered?  Those SMEs that trade internationally are likely to perform better than their single market counterparts.

The study also reveals that severe obstacles remain for smaller businesses with global aspirations, these challenges include political instability, cultural factors, different market environments and inadequate infrastructures.

Learn more:  The importance of global connectedness for SMEs

Download report:  Most SMEs planning to be global by 2019

What Is Global Distance Selling?

iStock/Thinkstock

DHL recently launched a survey with 11,000 consumers in 20 countries to better understand consumer attitudes toward global distance selling (better known as shopping the world or cross-border commerce) – and the study shows significant differences between countries.

... the study suggests that businesses must understand their customers’ decision-making processes and align their business accordingly. Being aware of cultural and structural differences is a key success factor, particularly for cross-border commerce.

In the study, you will find out:

• Who is participating in cross-border shipping and in/with what countries are they most likely to engage?
• How are consumers finding retailers?
• How are consumers buying online? 
• How are consumers' returns handled?

Download the study (requires quick registration):  "Shop the World: DHL Charts the Journey of the Online Consumer."

5 Reasons to Go Global

iStock/Thinkstock

Small and medium sized businesses that are looking to get an edge over the competition should be setting their sights globally.  So what does it take to expand your business overseas and what are the potential pitfalls and opportunities? Eugene Laney, Head of International Trade Affairs for DHL Express USA, has answers.  Here are his top five reasons to going global:

1.       Everyone else is doing it – Of the companies exporting annually 98 percent were SMEs

2.       Go where the people are – 95 percent of the world’s population live outside the US

3.       Think outside the box -  A recent study by DHL found that small and medium sized businesses selling in international markets are twice as likely to be successful than those that only operate within the U.S.

4.       Jobs, jobs, jobs – SMEs generate about half of the US’s workforce and that number can only grow

5.       Financing – Encouraging trade the US government is seeking to double the nation’s exports by 2014 by increasing funding

DHL Express recently released a research study (requires registration) that assesses the feasibility of small and medium size businesses expanding their business to the international marketplace that may be of interest to all you.  It's authored by Dr. Donald R. Lessard, Epoch Foundation Professor International Management at the MIT Sloan School of Management.

The White Paper, "Ready to Take Your Business Global?" can be accessed here.

Note:  In my new book, Exporting, DHL is referenced on several occasions.

DHL: The State of Globalization Around the World

iStock/Thinkstock

Surprise, surprise.  DHL has released its second edition of the DHL Global Connectedness Index (GCI), a comprehensive analysis of the state of globalization around the world.

The report draws on over one million data points from 2005 to 2011, concluding that the world today is less globally connected than it was in 2007.

Learn more here.

Key finding:

Since the onset of the global financial crisis in 2007, however, global connectedness has been faltering and has even suffered reversals, according to the DHL Global Connectedness Index 2012.  This is an alarming finding given the huge gains that global connectedness has brought to the world's citizens.

 GCI Study (immediately download PDF file; size 17.4 MB)