Corporations seem to be rethinking their offshoring strategies. Thirty years ago, North American corporations decided that the best way to cut costs was to move their manufacturing to Asian and other developing countries. Now they’re rethinking the relevance of this strategy for various reasons, including rising production costs in China and India, increasingly volatile transportation costs, the higher risk of supply chain disruptions when doing business in faraway locations, and issues concerning quality control and intellectual property protection in poorly regulated markets. But there are also positive aspects to consider when contemplating whether to repatriate your manufacturing to North America such as access to skilled labour, easy adoption of automated manufacturing and access to a large transportation network. These factors are making business leaders rethink their “Invented here, made there” strategy. Read the rest of this entry »
October 12th, 2011
The role and impact of regional trade promotion organizations (ORPEX)
In June, the Quebec export commissioners network (RECOMEX) made up of 16 regional trade promotion organizations (ORPEX) across Quebec, such as the LAVAL TECHNOPOLE International Business Centre, published its annual report. Born of its members’ desire to share their expertise and networks of international contacts, RECOMEX has become “a regional force for SMEs that want to go global.” Here are a few of the 2010-2011 results presented by RECOMEX for ORPEXs: Read the rest of this entry »
October 7th, 2011
Are the EU’s 12 new members a gateway to Europe?
The guest speaker at our last LTIBC Export Network meeting was Martin Lampron, president of Xpand Group, an international business consulting firm with offices in San José (Costa Rica), Montreal and Paris. In keeping with the theme of business opportunities in Europe, Lampron presented the results of a study he conducted for the Costa Rican government on emerging European markets, adapted to Laval companies’ reality. Read the rest of this entry »
September 26th, 2011
Interesting report on private and public assistance available to SME exporters
A report in last April’s issue of Québec Inc. magazine, available online free of charge when you register, offers a good summary of the public and private assistance available to SMEs interested in exporting or growing their business abroad. The articles are based on interviews with Isabelle Limoges, Managing Director of Société de développement international de Lanaudière (SODIL), the Trade Promotion Organization (TPO) for the Lanaudiere region, who discusses the resources offered in the public and parapublic sectors, and Jean-Paul David, President and CEO of Mercadex International, a consulting firm specializing in international business development. Read the rest of this entry »
September 20th, 2011
Logistics: a key part of the value chain and how it affects the bottom line
The “value chain” concept has been around a long time. As a matter of fact, I recently dug out of my library a book published in 1987 for the Council of Logistics Management by Ernst & Whinney (now Ernst & Young) where I was a partner in the ‘90s. This book discusses the value chain concept from the perspective of profitability. Back in 1987, there was already talk of the logistics revolution that had occurred in the previous 10 years. Since then, with globalization and the speed of technology developments, logistics has become even more important. While it may not have the same impact on the bottom line as the discovery and launch of a new product (PCs, online sales, tablets), it is nevertheless critical for the success of any new product, service or strategic initiative.
Fortunately, successful companies were quick to understand the importance of including logistics in their strategies. The 1987 study identified 10 principles of excellence that top companies incorporate in their daily operations to ensure their success and long-term survival. Read the rest of this entry »
