Without a doubt most locally-made products can be described as being of a high quality. A reputation that has been earned out of a need to keep the discerning Barbadian public happy. It doesn’t matter the sector, you can find some of the best products the world-over in Barbados. whether it is Construction Materials, Garment Manufacturing or Food Manufacturing. There is one thing that can generally be said “They often have the Midas Touch…….. a touch of gold”.

Since this is true the association had very few naming options when it came to hosting the upcoming Members’ Meeting. This meeting which features the members of the Manufacturing Sector is entitled an “Evening of Gold”. A fitting theme that highlights the winning characteristics of the products to be featured. Exhibiting businesses will include the makers of the Eezee Kricket game which is the inspiration behind the increasingly popular TV show by the same name; Eden’s Pride a manufacturer of extra virgin coconut oil and Bird’s Nest. The latter is the manufacturer of a line of 14 Barbadian sauces.

Also present at the meeting will be Mr. Adrian Kirton, Food Technologist of the Barbados Agricultural Development and Marketing Corporation (BADMC). Mr Kirton will be discussing a collaborative initiative to be introduced between the association and BADMC. The meeting takes in the Harcourt Lewis Training Room, Barbados Public Workers’ Cooperative Credit Union, Belmont Road, St. Michael on Tuesday the 27th April, 2010. It commences at 6:00 p.m.

Come out to touch, see and taste some of the finest products in Barbados at our Evening of Gold.

Setting prices 

Strategic pricing is one of the most important factors in achieving financial success in your export business. Part of setting a realistic export price, and therefore an appropriate profit margin, is to examine production, delivery costs, competition and market demand. You should also understand the variables of your target market and other export-related expenses such as:

• currency exchange rates;
• market research and credit checks;
• receivables/risk insurance;
• business travel;
• international postage, cable and telephone rates;
• translation;
• commissions, training charges and other costs involving foreign representatives;
• consultants and freight forwarders; and
• product or service modification and special packaging. 

Market demand

As in domestic markets, demand in foreign markets can affect your price. In other words, what will the market bear?

After the export plan, market research is the most important contributor to international success. With 190 countries to choose from, you want to pick the right market for your product or service. To do this you need to get a clear picture of the political, economic and cultural factors that can affect how you operate. You may need specific information to take advantage of an opportunity you already know about or may have a target market for which you need more detailed information on demand. The key to understanding these opportunities, confirming that they insist and developing market successfully lies in market research. There are three basic steps to international market research:

Market screening

To screen potential markets start by collecting statistics on exports to third countries within your sector. Identify between five and ten large, growing markets and see whether they have experienced consistent growth over the past three to five years. See how recession has affected growth. Check for opportunities in smaller emerging markets where you may have less competition. Then select three to five of the most promising markets for further study. 

Assess target markets

With those markets, look at trends that could influence demand of your product or service. Work out overall consumption and identify how much has been imported. Study the competition and look at each competitor's market share. Examine the channels of distribution, cultural differences and business practices that affect the marketing and use of a product or service in a particular market. Check for export controls and tariff or non-tariff barriers to imports. Look for government incentives which will help with export promotion. 

Draw conclusions

Once you have completed your analysis, you may decide to limit your marketing efforts to a few countries. If you are new to exporting, it's best to concentrate on fewer than ten markets -- one or two countries are usually enough. 

Market types

When you are screening markets it is important to understand the three types of markets exist. These are:

Why Plan?

If you plan your export venture with care and thoroughness, you have a better chance of success in your target markets and the opposite is also true. Financial institutions and other lending agencies know this and will not provide funds to a business that lacks a well-developed export plan. Before you can develop your export plan you need of course a current and comprehensive business plan that re- flects your domestic operation. If you have one but it’s out of date you have to review and renew it. If you don’t have one you need to create one. 

You can then move to create your export plan. It identifies your target markets, export goals, necessary resources and anticipated results. In the introduction, you should provide information on the history, location and facilities of the business, its vision and mission statements. In addition, the goals and objectives of the organization, an overview of the international market and the purpose of the export plan should be included.   

As to organisational issues, ensure that you have buy-in from management and that your employees know what they need to do to meet your exporting objectives. Take into account how the relationship between exporting and other operations will work in harmony and include any company experience in or knowledge of exporting, strategic alliances and labour market issues. 

Products and services: When describing the key features of your products and services, pay attention to the needs and wants of your export target markets. For example, consider adaptation and redesign required to address cultural differences and foreign consumers’ needs, how language barriers may impact on labelling requirements, and buyers’ preferences, such as colours and packaging that appeal to foreign buyers. In addition, you should also consider how your product may be impacted by engineering standards and measurements, geographic and climactic conditions - such as topography, sea level and humidity - that may affect the performance of your product, and the comparative advantage of your product over domestic brands in your target market. 

Market overview: This shows that you understand your market and do adequate research. Keep in mind that commerce is a very “cultural” activity; customs such as religion and language have a major impact on how people do business. You should therefore focus on the factors such as the political and economic environment, competitors, the size of the market and key market segments, purchasing processes and buying criteria, descriptions of industry participants, tariff and non-tariff barriers, industry trends and other market factors, and market outlook. 

Why Export?

Benefits of Exporting

Companies must recognise that exporting can be more complicated, risky and expensive than selling in the domestic market. So why do companies export?

• Increased sales: exporting is a way to expand your market and take advantage of demand in foreign markets. You may also find foreign niche markets where your product is rare or unique.

• Higher profits: if you can cover fixed costs through domestic operations – your export profits can grow quickly

• Diversified markets: if you diversify into regional/ international markets you avoid depending on a single marketplace

• Global competitiveness: foreign companies are entering the Barbados market and Barbadian companies are going foreign. The experience your company gains internationally/regionally will help keep your company and country competitive in the global marketplace. And of course if your product can compete with the best the world has to offer this helps you to succeed at home and ensures your resilience when faced with foreign competition in your respective market.

Potential Challenges

Of course there will be challenges to your business in accessing the foreign market. Some of these include:

86% of the 70 persons that participated in BSBA's entrepreneurial training courses (2009)successfully completed the courses.

The courses- Quickbooks, Introduction to Internet/Computer Awareness and Introduction to Microsoft 2007 -were held for two terms during 2009. And on 25th January, 2010 the Barbados Small Business Association held a formal graduation to celebrate the achievement of the students.

Present at the graduation cermony were the Hon. Patrick Todd, Minister of  State in the Ministry of Education & Human Resource Development; the President of the BSBA, Mrs. Celeste Foster; CEO BSBA, Ms. Lynette Holder and members of the Board of the BSBA. 

70% of the graduates did Quickbooks, 7% did Introduction to the Internet/Computer Awareness and 23% completed  Introduction to Microsoft 2007. Additionally 39% of the graduates were business owners and 16% indicated their intent to start a business. 

And in continued recognition of the value in training, BSBA is currently offering these courses to members as well as the general public and have  expanded the course offerings to include Strategic Planning and Customer Service Training.