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VALET VIRGINIA LEADERS IN EXPORT TRADE ORIENTATION JULY 19, 2012
VALETVIRGINIA LEADERS IN EXPORT TRADE
ORIENTATION
JULY 19, 2012
VALET CLASS OF JULY 2012
VALET PROGRAM GOAL
The VALET Program’s goal is to accelerate a company’s
international strategy through Planning, Expert Guidance, and Export Expense Reimbursement
IMPACT OF THE VALET PROGRAM
• Intended Results– Increase volume (sales) of Virginia exports
– Increase number of Virginia exporters
• Collateral Benefits– Continued international sales post graduation
– Continued engagement with VEDP
– Identification of growth companies
– Identification of expansion projects
– Interaction with other Virginia companies
– Broader support from the program partners
– Three national awards reflect favorably on VEDP
DAY AT A GLANCE JULY 19, 2012
DAY AT A GLANCE JULY 19, 2012
TABLE DISCUSSION
What do you want us to say about
your company at your graduation?
VALET PROGRAM
Companies and VEDP Team
VALET PARTICIPANTS AND ALUMNI
CURRENT VALET PARTICIPANTS
VALET CLASS OF JULY 2012
• Virginia Employees– Total Employees 1244
– Average 113
• Virginia Sales – Total $573 million
– Average $52 million (3 companies above, 8 below)
• Export Sales – Total $52 million
– Average $5 million (2 companies above, 9 below)
• Average Years in Business 33 years
Roger Porter,
International Trade Manager
Northwest Region
30 Ladd Road
Fishersville, Virginia 22939
Phone: : (540) 213-0267
Fax: (540) 213-0268
Email: [email protected]
Jenee Andreev,
International Trade Manager
Northern Region
8300 Boone Boulevard, Suite 450
Vienna, Virginia 22182
Phone: (703) 506-1031
Fax: (703) 506-1033
Email: [email protected]
Jordan Watkins,
International Trade Manager
Eastern Region
500 East Main Street, Suite 1220
Norfolk, Virginia 23510
Phone: (757) 314-2358
Fax: (757) 314-2360
Email: [email protected]
Michael Howley,
International Trade Manager
Northern Region
8300 Boone Boulevard, Suite 450
Vienna, Virginia 22182
Phone: (703) 506-1030
Fax: (703) 506-1033
Email: [email protected]
Diane Thomas,
International Trade Manager
Southwest Region
16325 Taylor Place, Suite 300
Abingdon, Virginia 24211
Phone: (276) 623-1536
Fax: (276) 623-1542
Email: [email protected]
Trade Managers
Stephanie Robinson,
International Trade Manager
Central Region
PO Box 798/901 East Byrd Street
Richmond, Virginia 23218
Phone: (804) 545-5755
Fax: (804) 545-5751
Email: [email protected]
Paul Ehrich,
International Trade Manager
South Central Region
4502 Starkey Road, SW, Suite 100
Roanoke, Virginia 24018
Phone: (540) 772-3905
Fax: (540) 772-3906
Email: [email protected]
Caitlin ClarkVALET Research Manager P.O. Box 798 / 901 East Byrd Street
Richmond, Virginia 23218-0798
Phone: (804) 545-5765
Fax: (804) 545-5751
Email: [email protected]
Monica Stautner NicholsVALET Program ManagerPO Box 798 / 901 East Byrd Street
Richmond, Virginia 23218-0798
Phone: (804) 545-5753
Fax: (804) 545-5751
Email: [email protected]
(Serving Northern and Tidewater regions)
VALET Team
Oscar RuizVALET Program ManagerPO Box 798 / 901 East Byrd Street
Richmond, Virginia 23218-0798
Phone: (804) 545-5768
Fax: (804) 545-5751
Email: [email protected]
(Serving Southwest, South Central, Northwest and Central regions)
VALET PROGRAM
Program Components
VALET PROGRAM COMPONENTS
• Strategic Planning
– VALET Program Calendar
– Plan of Action
• Research
• Travel
• Networking and Education
• Capital Resources
– Reimbursements
• Expert Guidance
– Program Partners
VALET PROGRAM
Strategic Planning
VALET CALENDAR
Event Date and Location
Year 1 2012-2013Orientation July 19, 2012
Richmond
Plan of Action Meeting with
Program Manager
July/August 2012
Draft of Plan of Action From Program Manager to Participant
no later than August 31, 2012
Revisions to Plan of Action
Follow-up meetings as needed
September 2012
Signed Plan of Action Due to Program Manager
no later October 1, 2012
VALET Program Meeting* October 18, 2012 –
In conjunction with the Virginia Conference on World
Trade in Roanoke
Held Oct. 17-18, 2012
Meeting with Research Manager Fall or Winter 2012
Participants’ offices
VALET Program Meeting* April 2013 in Richmond, VA
Each participating company will be expected to send a representative to both of the VALET Program Meetings during the year (these meetings are marked above with an asterisk*).
VALET CALENDAR
Event Date & Location
Year 2 2013-2014
Annual Review Meeting with
Program Manager
July/August 2013
Participants’ offices
VALET Program Meeting* October 2013 in conjunction with the Virginia
Conference on World Trade
Location TBD
Meeting or Conference call with
Program Manager or Research Manager
Fall or Winter 2013
Participants’ offices
VALET Program Meeting* April 2014 – Richmond
Exit Interview with Program Manager May/June 2014
Participants’ offices
Graduation Luncheon July 2014 – Richmond
Each participating company will be expected to send a representative to both of the VALET Program Meetings during the year (these meetings are marked above with an asterisk*).
STRATEGIC PLANNING
STRATEGIC PLANNING
STRATEGIC PLANNING
STRATEGIC PLANNING
STRATEGIC PLANNING
VALET PROGRAM
Break and Photos
VALET PROGRAM
Research
SECONDARY RESEARCH
VALET Program Research Manager
Caitlin Clark
SECONDARY RESEARCH
RESEARCH
SERVICES
Please keep in mind that secondary resources are not as extensive as those of our in-country consultants, so results may be limited.
Product Classification
Assistance with determining HS/Schedule B codes
Export Compliance
Provide information on export license requirements and procedures
Estimate ECCN (based on what other companies are using)
Documentation
US documentation required to export American products to foreign market- sample documents
Foreign documentation required to import American products into foreign market- sample documents
Market Selection
Determine top markets (destinations of US/VA exports and importers of specific products and services)
Market overview (demographics, economic and political environments, trade statistics and agreements, etc.)
Verify market demand (industry overview, trends, practices, and competitive landscape)
Barriers to trade (import tariffs, etc.)
Market Entry
Relevant regulations, standards, and certifications (IPR, tax, RoHS, CC mark, etc.)
Assistance on determining necessary product modifications (translation, measurements, etc.)
Sales options (distributor, representative, direct, etc.)
Identify Partners
Industry associations, Trade shows
Identify potential importers/sales companies as customers/distributors/representatives
Due Diligence
Denied Entities List, Company databases and internet search for company information, Company registration
Shipping
Incoterms
US and foreign shipping security regulations (CTPAT, FAST, ACE, PARS, etc.)
Landed cost analysis- final price estimate of client's product in foreign market
Marketing Opportunities
Trade shows, publications, and web portals, RFP/Tender procedures and announcements in foreign market
Other
Available information on competitors
Travel preparations (cultural overviews, etc.)
US government initiatives
Financing and payment considerations (country and currency risk, financing resources)
SECONDARY RESEARCH
Competitor
analysisLook at competitors' export destinations,
identify competitors’ HS codes
Due diligence Checking denied parties list, company
registrations in-country
Forward -
information
Best practices for distributor and agent
agreements, IP protection in China; relevant
articles from industry publications
Forward -
opportunity
USTDA reverse trade missions, industry and
market stakeholder meetings
Market research Identifying top markets, analyzing sectors in
potential target markets, assistance
determining target regions in selected
markets
Partner search Identify potential retailers, current
importers of product
Technical
assistance
Technical assistance on HS codes, export
license requirements, national government
procurement requirements, operations
research
Trade shows Determining relevant trade shows,
requirements for trade show participation
Research ExamplesFREQUENT REQUESTS
SECONDARY RESEARCH
RESOURCESSubscriptions to databases and publications Company profiles
Trade and economic statisticsBills of ladingTrade events
US and foreign government websites’ and trade promotion agenciesInternational institutionsMarket and industry news
Trade Resources to ExploreVEDP Fast Facts – CountriesVEDP Fast Facts - TopicsExport.gov – Maintained by the Department of Commerce, check out the FAQ page and market research library (must set up a free account in order to access most market research)GlobalEDGE - This website has everything, country and industry profiles, a global resource directory, online course modules, and tons of other tools.GlobalTrade.net – Aggregates market research and industry news from numerous international resources. Check out the market analyses and business tips sections. The website also provides a database of foreign trade service providers.Business without Borders “Global Opportunity Tool” – Developed by The Economist Intelligence Unit, the tool allows exploration different international markets (55 countries) based on data from specific industries (385 products or services).The Federation of International Trade Associations (FITA) - Provides international import export trade leads, events, and links to more than 8,000 international trade (export import) related websites.Global Small Business Blog – Updated daily with trade-related news articles and perspectives
These links and more found on our International Resources page.
Also check out the ExportVirginia blog!
SECONDARY RESEARCH
WEBINARS
Upcoming Webinars (tentative)• International government procurement proposals (late August)
• Employment contracts vs. vendor contracts in international markets (September 20th)
• Jon Ritzdorf, in-house globalization architect at Acclaro, an international
translation and localization company with expertise in software and
mobile app localization.
• Mark Yohai, vice president of global business development for Avectra.
Software & Mobile App Localization: Preparing Your Product for Global Markets
Check out slides from webinars on the
VALET members only
Opportunities & Resources page
(username: valet; password: participant) CE Marking: Preparing your product for the EU market•Louis Hodges of TUV Rheinland, a Nationally Recognized Testing Laboratory (NRTL) and
a leader in regulatory compliance, international testing and certification services
•Bobby Anderson, vice president of R&D for Lighthouse Instruments
•Mark Flanagan, president of Shibuya Hoppmann
SECONDARY RESEARCH
Assessing Export Readiness•In evaluating export readiness, a service company should consider its industry from international clients’ perspectives, understand the need for modifications to its service, and examine the objectives, tradeoffs, and commitments required for international trade.
Understanding Export Regulations•Complying with export regulations requires that a company consider what type of service it is exporting, to where it is exporting, who will receive its services, and how they will be used.
Selecting an International Market•Conducting research and weighing alternatives to determine a target international market is a critical step in the export process. A company should evaluate the costs and risks of doing business in a country against the sales potential of its service there. Depending on a company’s service, situation, and objectives, the components that play into that evaluation include market potential, legal characteristics, political environment, economy, and culture.
Intellectual Property Protection•It is important for a service company to consider which intellectual property protections might apply to its services in a foreign market and develop an appropriate intellectual property strategy there. In addition to protecting intellectual property legally, a company should also make an effort to protect it operationally.
Work Permits, Certifications, and Standards•A service company must have an understanding of a target market’s work permit and visa requirements, professional certifications, and relevant standards should employees need to travel there to meet clients or stay for an extended period of time to execute projects.
Market Entry•When entering an international market, a service company should have in mind an ideal client profile and a basic plan for reaching those clients – both in terms of entry strategy and marketing initiatives.
Financing and PaymentsTerms of payment and means of project finance are key elements of service negotiations and contracts. Understanding the financial risks and burdens associated with exporting and how to mitigate them is imperative for a service company.
Exporting Services
A Guide for New
Exporters
SECONDARY RESEARCH
ORIENTATION RESEARCHGeneral
•A Basic Guide to Exporting (Department of Commerce)•Compliance Guidelines: How to Develop an Effective Export Management and Compliance Program and Manual (Bureau of Industry and Security)•Do's and Don'ts of International Distribution/Agency Agreements (Kaufman & Canoles)•Trade Finance Guide (Department of Commerce)•Executive Survey on Emerging Markets (Deloitte)
Customized
•Hoover’s, Onesource company database profiles•Trade statistics•Competitors’ trade profiles•Sector/market reports•Resources (industry associations, publications, etc.)•Service exports report
I've sent you a presentation
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Global Network ResearchPRIMARY RESEARCH
GLOBAL NETWORK
17. Hungary18. India19. Indonesia20. Ireland21. Israel22. Italy23. Japan24. Jordan25. Latvia26. Lithuania27. Malaysia28. Mexico29. The Netherlands30. New Zealand31. Norway32. Philippines33. Poland
The Global Network is a comprehensive group of pre-screened in-country consultants who work with the Division of International Trade on behalf of Virginia companies. These consultants deliver top-notch market research specific to your industry and your target market. Some fees do apply.
1. Argentina2. Australia3. Belgium4. Brazil5. Bulgaria6. Canada7. Chile8. China and Hong Kong9. Colombia10. Costa Rica11. Czech Republic12. Denmark 13. Estonia14. Finland15. France16. Germany
34. Qatar35. Romania36. Russia37. Saudi Arabia38. Singapore39. Slovakia40. South Africa41. South Korea42. Spain43. Sweden44. Thailand45. Turkey46. UAE47. Ukraine48. United Kingdom49. Vietnam
IN-COUNTRY CONSULTANTS
China Joyce Hua
MexicoMargo Galvan
There is no cost to VALET companies for research projects completed by Joyce or Margo
PRIMARY RESEARCH TASKS
Market Entry – Market research; market entry strategy; information on how to
establish your company in the market; competition analysis; summary of current
trends
Finding a Local Partner – List of private sector, and/or government, contacts;
survey of private sector and/or government contacts to gauge their interest in
partnering with your company; summary of procurement procedures and
information on securing bids; due diligence
Market Visit – Logistical services; consultant assistance & participation in
meetings; 3-day independent visit; trade show support; in-country promotion or
symposium
Legal, Shipping and Payment Issues – Identify in-country service providers
including lawyers, accountants, realtors, etc.; explain and list warehousing
opportunities and/or FTX or custom bonded warehouses for distribution of your
products; identify likely tariffs and duties and calculate the landed cost for your
product; explain packaging requirements; provide information on relevant local
legislation and regulations; assistance with extracting cargo stuck in customs
ROUND TABLE DISCUSSION
ROUND TABLE DISCUSSION QUESTIONS
1. The answer to what question could help
you develop your international strategy?
2. What piece of information would help
you make the decision to enter a new
market?
3. What would you like to know about an
international market?
VALET PROGRAM
Travel
VALET PROGRAM TRAVEL REQUIREMENT
• Participate in one VEDP trade event over the course of your two years in the program
• Reimbursements
– Final $2500 will be held until company commits to or participates in a VEDP trade event
• Options
– Group Market Visit
– Independent Market Visit
– Add-on to previously planned trip or trade show
GROUP MARKET VISITS
2012
•Colombia October 22 - 26
•Costa Rica October 29 - Nov 1
•Australia October 29 – Nov 2
•Poland/Czech Republic November 5 - 9
2013
•India February 25 – Mar 1
•Canada (West) March 18 - 22
•South Korea April 15 -19
•United Kingdom April 29 – May 3
•Brazil June 3 - 7
•Paris Airshow June 17 – 23
Register online at
http://exportvirginia.org/programs/trade-missions/visits-schedule/
“VEDP market visits are organized, well planned, and achieve great results. The matchmaking program allows Virginia companies to directly connect with pre-screened clients and potential partners, matched and selected in advance. As a result, the market visits are less stressful, more productive and allow us to concentrate on why we came: business.”
INCREASE SALES….DECREASE RISK !
MARKET VISITS
“All the meetings went extremely well and I couldn’t be happier with the reception of the companies in Germany and the UK…. Thanks to all of the VEDP staff for following through, this trip has already paid for itself and continues to add major highlights to our development in the world market.”
Private meetings with potential distributors and customers
MARKET VISITS
INDEPENDENT MARKET VISITS
• If you would like to visit a county outside of the VEDP’s Group Market Visit schedule, you may consider organizing an independent market visit through the VEDP’s Global Network
• 49 countries
• 3 days of meetings for $3000-$4000 (depending on the country)
– China and Mexico are $500 a day, if you require on the ground assistance
• VEDP will connect you with in-country consultants who identify, screen and set appointments with qualified distributors, agents, or partners
INDEPENDENT MARKET VISIT COUNTRIES
17. Hungary18. India19. Indonesia20. Ireland21. Israel22. Italy23. Japan24. Jordan25. Latvia26. Lithuania27. Malaysia28. Mexico29. The Netherlands30. New Zealand31. Norway32. Philippines33. Poland
1. Argentina2. Australia3. Belgium4. Brazil5. Bulgaria6. Canada7. Chile8. China and Hong Kong9. Colombia10. Costa Rica11. Czech Republic12. Denmark 13. Estonia14. Finland15. France16. Germany
34. Qatar35. Romania36. Russia37. Saudi Arabia38. Singapore39. Slovakia40. South Africa41. South Korea42. Spain43. Sweden44. Thailand45. Turkey46. UAE47. Ukraine48. United Kingdom49. Vietnam
VALET PROGRAM
Networking and Education
NETWORKING AND EDUCATION -
PROGRAM MEETINGS
• Recent Content:
– April 2012 • Cloud computing & data security
• E-commerce & taxation
– October 2011• Focus: Managing Risk (legal, financial, accounting)
• Virginia Conference on World Trade – Getting to Yes
– April 2011• Focus: Marketing and Translation
NETWORKING AND EDUCATION -
PROGRAM MEETINGS
• Upcoming Program Meeting: October 17 - 18, 2012 in conjunction with the 64th Virginia Conference on World Trade in Roanoke. www.vacwt.org
– Network with hundreds of people from manufacturing, service, and logistics sectors
– Get caught up on international trade issues with industry experts
• Brazil, China, Canada, UK, India or Korea
– Hear high-caliber speakers discuss how Virginia is positioning itself for the future of international trade
• 20% Discount offered to VALET Companies
– VALET Discount Code: VALET64
• Webinars
– Website and Software Localization (March 2012)
– International government procurement proposals (August 2012)
– Employment vs. vendor contracts in foreign markets (Sept 2012)
• Global Defense & Security Seminar & Networking Event (Feb 2012)
• Other Recommendations?
NETWORKING AND EDUCATION -
ADDITIONAL OPPORTUNITIES
VALET PROGRAM
Expense Reimbursement
EXPENSE REIMBURSEMENT
• Guidelines
• Reimbursable and non-reimbursable expenses
• Time period
– July 1, 2012 – May 31, 2014
• Reimbursement form
– Unique project code for each company
– Relevance, paid invoice are required
Expense Reimbursement
$15,000!!!
EXPENSE REIMBURSEMENT - FORM
EXPENSE REIMBURSEMENT - INVOICE
EXPENSE REIMBURSEMENT – PROOF OF PAYMENT
CLIENT IMPACT STATEMENTS,
MEDIA, NEXT STEPS
CLIENT IMPACT STATEMENTS
• International Trade is part of the VEDP
• International Trade & VALET Program are evaluated based upon the impact that we have made on your company
• This impact is measured through the use of Client Impact Statements
Your Success is Our Success!
CLIENT IMPACT STATEMENT
Several CIS categories
•Technical Assistance From VEDP Resource
•Research Project
•International Travel
•Appointed Commercial Representation
•Obtained A Sale
Email you receive will contain a link to electronic form that includes a brief summary of the service provided.
•Fill in circles that apply•Share a few lines of text feedback regarding the impact of our support on your business initiatives
The CIS is reviewed internally within VEDP (Director, International Trade) in confidence.
CLIENT IMPACT STATEMENT EXAMPLE 1
CLIENT IMPACT STATEMENT EXAMPLE 2
CLIENT IMPACT STATEMENT COMPLETED EXAMPLE
VEDP's support was invaluable in
allowing us to understand how to
complete the import documentation
correctly. There were some areas of
concern with regulatory compliance,
and we were able to adequately
address these issues to avoid shipping
delays on our first order to South Korea.
VALET PROGRAM
Participant Agreement
PARTICIPANT AGREEMENT
• Extent and Limitation of Reimbursements and Professional Services (Program Partners)
• VALET Travel Requirement
• Limitations on Liability
• Confidentiality of information
• Use of Name and Logo
VALET PROGRAM
Program Partners
PROGRAM PARTNERS
Advertising and Marketing Collateral
• 24 Hour Company
• ACCESS, Inc.
Corporate Strategy and Market Entry
• Capstone
• China Channel Limited
Cultural Services and Translation
• ABC Translation Services, LLC
• TNB Language
Customs Brokerage and Freight Forwarding
• C V International, Inc.
• UPS
• UTi, United States
Financial Services and Insurance
• BB&T, International Services Division
• M&T Bank
• Marsh USA
• SunTrust Bank
Legal and Accounting
• Cherry, Bekaert & Holland LLP
• Piascik & Associates, CPA
• Troutman Sanders LLP
• Williams Mullen
Regulatory Compliance
• Allegheny Brokerage Co., Inc
• BSG Consulting
Web Development and Search Engine Optimization
• Active Media
• Hodges Digital Strategies
PROGRAM PARTNERS
1. Contact information
2. Materials
3. Referral Process
4. Consultations
5. Engagements
6. Evaluation Form
7. Next Steps
VALET PROGRAM
Graduation Luncheon
VALET PROGRAM
Program Partners
PROGRAM PARTNER SERVICE RECOGNITION
Coburn R. Beck
5 Years Service as a Program Partner
PROGRAM PARTNER INTRODUCTION
PROCESS
• Group Introductions
• VALET Participants assigned permanent tables
• Program Partners assigned starting tables
• Sessions at tables (15 min each):• Partner Introductions
• Questions and Answers
• Program Partners will move to each table (5 rotations)
• At the end, will have opportunity to go to any Partner table
VALET PROGRAM
Wrap-up
VEDP PUBLIC RELATIONS & MEDIA
• Press release • Tailored for region
– Issued to regional media outlets as soon as possible
– Follow-up by VEDP C&P staff• Let us know of specific contacts with your local
publications• Always interested in pitching stories about VALET
companies!
VEDP RESOURCES AND OPPORTUNITIES
• VEDP internet resources – Website http://www.exportvirginia.org/
– VALET Participants Only Section
• Login=valet
• Password=participant
• Follow us and the VEDP– Twitter: VirginiaExports
– Linked In: VALET Participants & Alumni Group
– Facebook: Virginia Economic Development Partnership
• Calendar Contest
• VALET Program Update
PROGRAM PARTNERS
Advertising and Marketing Collateral
Corporate Strategy and Market Entry
Cultural Services and Translation
Customs Brokerage and Freight Forwarding
Financial Services and Insurance
Legal and Accounting
Regulatory Compliance
Web Development and Search Engine Optimization
We strongly encourage the VALET Companies to reach out and contact at least 2 Program Partners as part of their Plan of Action process with the VALET Program Manager.
Consider,…- upcoming needs- strategy consideration- education
TIPS FOR SUCCESS
• Follow Up on market visit meetings immediately with calls and emails.
• Consider initiating multiple country research projects in parallel
• Travel to market sooner rather than later
• Utilize all the resources available – ask us for more
REMINDERS AND NEXT STEPS
• Expect follow-up emails within the next week from Oscar, Monica and Caitlin
• Consider upcoming Group Market Visits
• Talk to Oscar or Monica if you don’t already have your Plan of Action meeting scheduled
• Call us with questions!
VALETVIRGINIA LEADERS IN EXPORT TRADE
Have a Safe Drive Home!
