Success in starting export business is also determined by the appropriate product selection. International market is very dynamic. For that, your export business must adapt to global market needs.
Non-primary product based on local raw materials such as interior products, textiles and batik, its can be your choice. Compared to primary products, namely agricultural and plantation, non-primary product is lower risk and more easily in terms of production processes. Moreover, recently Indonesian products of this type increasingly popular in foreign countries.
Here are some other reasons you can consider to select the non-primary products as a your business product (Jurus Menembus Pasar Ekspor Book):
• Availability of Raw Materials. Indonesia has natural resources are abundant as raw materials for non-primary products. For recommended, do not import raw materials from abroad because it has two weaknesses. First, you become dependent on imports to get raw materials. Second, imports of raw materials susceptible to price changes influence from the exchange currency value. In addition to the tax imposed was also quite high.
• Ease of manufacture. The process of making products non-primary are more easily, flexible, more needs the persistence than creativity factors. So, does not require higher education level for worker skill.
• Intense Creativity. International markets like the non-primary products from Indonesia because it has diversity of a unique model and design. For example the U.S. market, sales of US market are seasonal because adjusted with the momentum such as Valentine days.
• Durability. Non-primary products are durable making suitable for export markets. Durability factor is also about design and function. Means that this product can be used in future years when the trend re-emerged.
To strengthen the choice of export products, you need to explore and test the product benefits. For that, you need to create a profile of your product. Here are some questions that suggested from Keegen (1992) to describe your product benefits (Jurus Menembus Pasar Ekspor Book):
1. Who is buying and not buying your product?
2. When, where and why your product purchased?
3. Function or what the needs are or can be filled with your product?
4. Are products provide solutions for the consumer problem?
5. What a difference your product compared with similar products that already exist?
6. What price the consumer issued for similar products that already exist?
These questions will provide you in setting export strategy. So that your product can compete in export markets.
Do not miss the next article will discuss about the strategy of export shipments.(WTD/MZ)
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