Plan to achieve sustainable economic
Member of cabinet measures undertaken to
make sure U.S SME can actively participate in international markets by snowballing
their exports of goods, services and farm products. To increase exports they
should indulge in;
Trade facilitation: this is the way of assessing the dogmas and
procedures that govern the altercation of goods and services amongst countries
with the need to increase efficiency and effectiveness in international trade
(Grainger, 2011). The fact that the concept is embedded in international trade
will offer a good starting point for the initiative since it will lay the right
foundation by improving customs procedures, mutual recognition of certification
and standard harmonisation. This will also work towards smoothening trade
barriers (Grainger, 2011).
Reduced duties: this is considered as a cost
factor amongst SMEs and its reduction will be levelling the playing field in
the export market making exports more competitive.
Reduced regulatory environment: due to diseconomies
of scale this as with other overhead costs are more cumbersome amongst SME than
larger organisations. Trade fair participation will offer a platform for
exposure amongst SME as they will be allowed the opportunity to show case their
products to the potential market. Also, work hand in hand with foreign market
representation that will be tasked with vouching for the home products and
services (Grainger, 2011).
Information is fundamental to any kind
of engagement; information asymmetry has been a major misgiving limiting the
SME from fully participating in the export market. The following programmes can
be applied to improve the current situation.
The traders can be facilitated by the department
of commerce into the formation of industry informal consortia and trade unions
allowing presence of agents in the foreign markets and undertaking of foreign
market research at a reduced cost.
of online platform to allow SME access and share relevant information as well
as enabling professionals from diverse fields to share intuitions and prospects
after market research.
First time exporters need the
following technical assistance: training programs on the nitty-gritty of
exportation such as documentation and standard operation procedures. The
success or failure will depended on the access to the right market which can be
facilitated for newbies to avoid initial disappointments leading to giving up.
Formulation of an export business plan while incorporating all the necessary
factors in the global market which are dynamic and include but not limited to different
legislation and major currencies involved trade (Grainger, 2011).
Ways that the government can assist new
exporters with new opportunities in international markets will include. Financing;
the government can provide finances by way of debt or grant to facilitate
export upon establishment of a proven potential market.
and events organisation can be done effectively by the government on a large
scale on behalf of traders thus creating the right environment for information
access and sharing.
Working towards removal of trade
barriers; government through various agencies can enforce international trade
laws to level the playing ground which can be achieved through entering bilateral
and multilateral trade agreements, vouching for free trade area (FTA) and
mutual recognition agreements (Grainger, 2011).
U.S embassies and consulate are
government representatives in the foreign states and they have fundamental
country-specific insight on markets, legislation and commercial and investment dispute
resolution. A vibrant representation will open up more opportunities for
exports thus the need to have one. Enabling access to export assistance centres
indiscriminately which provides help in finding partners and promotes the
products internationally among other functions commensurate to international
trade facilitation (Grainger, 2011).
Consumers’ role in promoting SME
export trade will include the following
export trade will include the following