Stop blaming globalization

From: GREDA chief says economic struggles part of healing – Galesburg, IL – The Register-Mail

…stop blaming globalization and start figuring out how to compete by tapping into the growing worldwide consumer market.

It’s encouraging to hear these types of words from Economic Development Organizations in the US – the country needs more of it. My perception of US based small and medium sized has for many years been, that basically they don’t care about exporting, it’s too hard when compared with doing business domestically. With a population of 300 million, businesses can sustain growth as long as there is a dynamic domestic economy. But now what?

In contrast, Australia with a mere 20 million people doesn’t provide the same kind of opportunities domestically for companies that are capable of exporting. From the 1980’s and beyond, Australian companies have been conceived on a mentality of export or perish. Of course most businesses have built a strong domestic base before they start exporting, but their goals from the outset are set on achieving export sales.

So now, in a flat US economy, lack of domestic spending and extended cutbacks are taking their toll, not only on manufacturers but many other sectors, and US small business is caught flat footed with little or no experience in export markets with the rest of the world embracing globalization, not complaining about it.

Export Culture and Mindset

The presidents National Export Initiative is a good start but US small and medium business is playing catch-up to the rest of the world. We need more voices like Tom Schmidt, president of the Galesburg Regional Economic Development Association to not only heal the wounds, but to engender an export culture into small and medium sized business and stop blaming others for the problems.

I urge other Economic Development Organizations to take a similar stance and help to wake-up American business innovators, reach out to other markets through international partnerships and build export markets. The opportunities of a low US dollar make this an ideal time to start.