Industry Trend No. 1: Exporting & Global Trade
According to HBCS in 2012, the gap between global and domestic companies has been widening, with global companies earning 13% more revenue on average over the previous five years. In a survey by McGladrey Manufacturing and Distribution Monitor, 60% of companies that reported increased export activity stated that their companies were thriving and growing.
As a means of identifying new customers and competing, increased exporting activity is allowing U.S. companies to tap into new markets and grow sales. This opportunity has opened up thanks to U.S. competitiveness in operating costs, productivity, and business environment as compared with other advanced global economies. In addition, the gap in operating cost competitiveness between the U.S. and developing economies is also narrowing.
The export of U.S. manufactured goods overseas has also increased thanks to new technologies and trade agreements. This globalization has provided access to customer bases that U.S. manufacturers could not reach previously. With trade rebalancing and supportive government policies, U.S. manufacturing should continue to experience growth in export activity and diversification of its customer base.
To find out more, read about industry trend number 2.