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Thursday, April 24, 2014
News Making Money

Over half of manufacturers hit a UK growth ceiling within five years in business

24/10/2013 11:32 (181 Day 23:21 minutes ago)


The FINANCIAL -- Over half (56%) of UK manufacturers hit their UK growth ceiling – a limit to the growth they can achieve by trading only within the UK – in under just five years in business, according to Barclays.


The research, which surveyed 500 UK businesses which export, including 100 manufacturers, also provides points of encouragement for those companies who are currently only focused on the UK market and are unsure about whether they should branch out and start trading internationally.

Looking back on their experiences of trading internationally, 44% of manufacturers said they found the experience to be as easy as they had hoped, or even easier than they had expected. Half of manufacturers who already export say they wish they’d started sooner, according to Barclays.

When looking at barriers for not exporting sooner, 52% of manufacturers said finding contacts for potential customers and partners had been their chief concern. Meanwhile, 32% of those who said they wish they’d started exporting sooner cited at least one psychological reason for not doing so, including that they ‘didn’t know where to start’, thought it would be ‘too complicated’, ‘didn’t think it would work’ or ‘didn’t think to do it.’

The top two key factors cited which made manufacturers start exporting and attracting overseas customers were increasing or changing their products and services which were better suited to other markets (49%) and in order to grow their businesses (46%).

When asked what advice they would give to other manufacturers thinking of exporting, the key pieces of wisdom included regularly liaising with customers and export agents (31%), knowing the most effective transport methods (28%) and taking a phased approach to new markets (23%), the report says.


The research also provided interesting insight into which markets offer manufacturers the best exporting opportunity. While perceived wisdom points towards the emerging BRIC countries, in fact only 27% of manufacturers would choose Brazil, Russia, India or China in their top five countries if they were starting to export again; based on their experience 75% would choose somewhere in Europe in their top five places of where to begin.

“What is clear from this research is what a positive experience the sector is finding exporting to be, often in the absence of a lot of planning. Under a third of manufacturers (31%) reported that they had a formal plan together when they moved into exporting; 60% either just fell into it or got into it reactively when an overseas customer got in touch. If such a large number of manufacturers are experiencing the benefits of exporting on this kind of reactive basis, imagine what could be achieved if they had a comprehensive plan in place on how to best achieve growth. In light of these findings we’re suggesting manufacturers progress their thoughts around opening up new export markets sooner rather than later and take a more global outlook," Mike Rigby, Head of Manufacturing, Transport and Logistics at Barclays said.



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“The former Yugoslav Republic of Macedonia”: presidential election and early parliamentary elections

23/04/2014 16:38 (18:15 minutes ago)

The FINANCIAL -- A 14-member delegation of the Parliamentary Assembly of the Council of Europe (PACE), led by Stefan Schennach (Austria, SOC), will travel to “the former Yugoslav Republic of Macedonia” from 25 to 28 April to observe the conduct of the presidential election (2nd round) and the early parliamentary elections, alongside observers from the OSCE’s Parliamentary Assembly and Office for Democratic Institutions and Human Rights (ODIHR), according to PACE.



Zurich identifies seven cyber risks that threaten systemic shock

23/04/2014 17:00 (17:53 minutes ago)

The FINANCIAL -- The recently published Zurich Cyber Risk Report, created in collaboration with the international think tank Atlantic Council, argues that cyber-risk management professionals need to look beyond their internal information technology safeguards to interconnected risks which can build up relating to counterparties, outsourced suppliers, supply chains, disruptive technologies, upstream infrastructure and external shocks, according to Zurich Insurance Company.


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