We've been looking at small business globalization and have been following Laurel Delaney's Global Small Business Blog. She recently posted on the the National Export Strategy report produced by the US international Trade Administration. Some interesting data from the report:
- Only about 4% of US companies are exporters and the US has the lowest level of exports as a % of GNP of the G7 countries - roughly 10%. The highest is Germany at almost 45% and the 2nd lowest is Japan at a bit over 15%
- SME's (defined as less than 500 employees) accounted for 29% of US export value in 2005.
- While the number of exporting businesses in the US grew rapidly in 90's, it has stayed relatively flat since 2000. In 2005 there were roughly 239,000 exporting companies, 97% of which are SMEs.
- 58% of exporting companies traded in only one export market.
With 95% of world's consumers and 80% of world's economic activity (2006 purchasing power parity - source CIA Fact Book) are located outside of the US. Clearly there are huge export opportunities for US small businesses, and these numbers show that we are just at beginning stages of small business globalization.