Helping States Encourage Exporting (cont.)

3. Engage in trade education.

Trade education has two primary audiences: leadership and small businesses. Education for the leadership audience – elected and private sector – should focus on explaining the value of trade and U.S. policy issues to their communities. Programs should include information about an area’s export statistics, the benefits of exporting to local workers, lists of local exporters, and resources to help local business succeed internationally.

Trade education for small businesses requires outreach that allows those businesses to ask face-to-face questions of credible and knowledgeable local experts who can answer the “whys” and “hows” of expanding internationally. Small firms need help to understand their growth potential in foreign markets and the basics of how to explore and enter those markets.

The benefits of educational programs can be increased by establishing them as part of a high-profile series that puts trade on the media and political priority lists. In Texas, for instance, Governor Rick Perry’s participation in the Texas Small Business Summits bestowed enormous attention and prestige on the educational events. The series of summits, held around the state, consisted of a full day of discussion and education on a variety of common concerns to small businesses, including financing, workforce, taxes and business development. Governor Perry personally gave the keynote speeches.

Lessons learned

Our grassroots work across the country has led to a handful of lessons learned. These include:

• If an event does not have a direct application to local businesses, they will not attend. Be prepared for low turnout in some areas, but take quality over quantity at all times. After all, a small group is easier for follow-up!
  
  
• Always use a local partner, as it is often difficult for the state to market to the local community. An equally important payoff is the chance to educate a local entity to become an active trade advocate.
  
  
• Assess other activities in the area to avoid market saturation. For most areas in need of economic development, a limited number of potential exporters exists.
  
  
• Use both “outside” and local speakers. Outside experts impress in communicating the big messages but the local success stories make international opportunities real and credible to other local companies.
  
  
• Always invite the press, always! Have a local success story readily available for the press to profile.
  
  
• Always invite the local member of Congress and legislative representatives and put them on the agenda if they attend. Elected leaders gain new perspectives from one another and become more engaged if they know others are heeding their input.
  
  
• Encourage leadership to help motivate interest in trade. West Virginia’s governor, for example, strongly believes in trade. The state now provides incentives, such as covering 50 percent (up to $2,500) of the cost for a small business’s participation in a first-time trade mission, at times also covering matchmaking and interpretation services.

The existence of a self-sustaining, statewide network of trade development professionals is essential to helping SMEs increase their market share abroad, thereby improving local economies at home. The old idea of “trade development” that considered only manufacturing and agriculture must be expanded to include today’s highly promising opportunities in services, high technology and specialized knowledge. Developing these possibilities depends on long-term relationships, expert marketing efforts and joint ventures more than ever before.

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