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McGladrey Manufacturing and Distribution Monitor® Shows Business Accelerating Despite Concerns About Government Gridlock
Date:11/21/2011

close look at exporting was a relevant area of focus for the fall Monitor," said Karen Kurek, national manufacturing leader for RSM McGladrey. "The majority (52 percent) of the 511 respondents reported increases in exporting activities within the past year."

Additional findings show that:

  • The most common reason for exporting is customer and/or key client demand.
  • There is a rising level of interest in exporting to various locations, notably Brazil, and Central and South America. Brazil, in particular, appears to be the country in which middle market manufacturers see the greatest growth potential.
  • A company's first foray into an offshore market tends to focus heavily on transactional issues, while subsequent moves into additional foreign markets focus more on strategic issues such as foreign competition and market acceptability.

"Since Free Trade Agreements with Colombia, Panama and South Korea were signed in late October – after the fall Monitor response window was closed – it will be worth watching to see if exporting plans for the industry are directed toward these countries moving forward, particularly for South Korea, where distance and the difficulty of penetrating the market appears to have kept plans for exporting low," said Kurek. "Growth appears to be slowing for China, where the market is getting increasingly sophisticated and, as a result, harder to penetrate."

The trend toward exporting is echoed by findings from recent research done by RSM International, one of the world's largest global audit, tax and consulting networks of which McGladrey is the U.S. member, and the European Business Awards. It shows that European business leaders are also pursuing growth opportunities abroad, with more than two-thirds of them planning to enter new markets in the next year, despite the difficult post-recession climate.

An item of note from the fall Monitor re
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