As we finish 2010 and head to 2011, many people ask me what I think the
prospects are for 2011. My opinion is that sales growth in domestic US
markets will be very low, but the opportunities will be very good in
international markets. Not only do the international markets represent
more than 70% of world purchasing power, but the value of the US dollar
compared with the Euro, the British pound, the Chinese yuan, and most
other currencies makes US goods relatively less expensive. For example,
the US$ is currently worth approximately 0.77 Euros. What does that mean?
A business in the Euro zone can buy one US$ for 0.77 Euros, or US$1.3 is
worth 1 Euro. In other words, a European buyer can buy a lot of equipment
and goods at this exchange rate. This more importantly means that US
products are very competitive against products produced elsewhere in the
world.
Kiplinger's Personal Finance expects US manufacturers to export 12% more
goods in 2010 compared with 2009, and are recommending US investors to
invest in companies in 2011 who export. If you are a manufacturing
company, and are new to export or young to export, now may be the best
time to consider a new emphasis on developing international markets to
expand your sales in 2011.
Mark Evans
If you want read the KPF article, you can find it here:
http://www.kiplinger.com/columns/picks/archive/tap-into-global-growth-through-emerging-markets.html?si=1
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