Category Archives: International Management

Lessons Learnt from Nortel’s Demise: How to go from a valuation of $400 billion to 0 in just a few years

Yesterday evening I had the chance to attend the event: “Nortel: The untold story. From innovation, to acquisition to bankruptcy” at the University of Ottawa.

Left to Right: Mr. Peter Chapman, Distinguished Professor Hussein Mouftah, Mr. Peter MacKinnon, Professor Jonathon Calof
Left to Right: Mr. Peter Chapman, Distinguished Professor Hussein Mouftah, Mr. Peter MacKinnon, Professor Jonathon Calof

The presenting team, Peter MacKinnon, Professor Jonathon Calof, Peter Chapman, and Distinguished Professor Hussein Mouftah, discussed the research they completed over the past three years. The comprehensive data was collected through surveys and interviews with former Nortel employees, including Executives, and Nortel customers. The report can be found here: http://sites.telfer.uottawa.ca/nortelstudy

I’ve jotted down notes I gathered from the research presented, with my own slant. I’d like to start a discuss on applying the lessons learnt to existing companies, such as Blackberry.

The question worth billions, what caused the company that was valued at almost $400 billion dollars in 2000, to decline to a value of $5 billion in 2002 –in just two years? The stock was at its peak in 2000, just a few years later it would be worthless.

The answer cannot be found just within those two years; the research team looked into the many years leading up to the collapse. Now, let’s keep in mind that this was once the 2nd biggest company in North America at one point, to take on the task of understanding exactly what happened, was almost certainly no easy one. Pinpointing blame to one area or to individuals would not be fair and would be too easy. Although, through this three-year research study, some light has been shed on Nortel’s areas of weakness, upon interpretation of this data, it can offer lessons to existing businesses.

Influencing factors of Nortel’s demise:

1) Unrealistic Valuation: Nortel acquired companies with their stock. Everytime there was an acquisition, it would increase the stock price. Which makes you wonder if the company was even worth $400 billion in the first place. I believe it was an inflated multiple of the actual worth of the company. So, when the industry suffered, company valuations were corrected. In fairness to Nortel, it may be wrong to say the valuation of the company declined by $395 billion when it was never worth $400 billion in the first place. They were hit hard. With a unrealistic view of their worth, I’m sure their hubris prevented them to imagine such a downfall.

2) Poor Acquisitions Strategy: They knew how to handle the market changes and disruptions, there’s even proof of plans they had written; however, they didn’t execute – they didn’t ask their engineers. However, they did make some acquisitions. They created less than perfect human dynamics by a poor acquisitions plan. They acquired many start-ups for millions/billions. Upon due diligence they found that some of the products didn’t operate as expected; however, continued with the purchase regardless. Ultimately, making the acquired start-up owners millionaires and new Nortel employees. These millionaires sat next to Nortel employees, who probably made $100,000/year, who now had to work on fixing and trying to integrate these newly acquired start-ups. Nortel helped make these startup owners very rich instead of their own people. The researchers also pointed out the need to “trust your own people” as they are more likely to tell you the truth and more relevant information.
In addition, of course, a strategic acquisition can be a lucrative move; however, it’s important to point out Nortel’s culture. They were built on organic growth. It seems their environment couldn’t support the integration of acquisitions.

3) Poor communication and trust between executive team and employees: Nortel’s technology was ahead of its times and simply superior. They had predicted the mobile technology we use today. While Apple launched the first iPhone in 2007, Nortel had a similar prototype 15 years prior. But when the engineers at Nortel presented the idea to the Exec team, the Exec team argued that no one would want to walk around with a phone in their hand!

4) Insufficient R&D: In earlier times, Nortel had parallel R&D projects taking place at once. As budgets got tighter perhaps due to market changes, R&D “efficiencies” (ot a cut of R&D) came into place, which reduced the number of projects, so there was less innovation. I feel as though they stopped taking risks and stood stagnant, becoming a “me too” company, with little differentiation from their competitors, as the research team of this project referred to them. From 2000-2009, if you look at their press releases, you’ll see nothing new, the research team point out. As their money went into legacy projects rather than new projects.

5) Failed to have a global outlook or perhaps emotional decision-making: They seemed to have put more weight on products that sold well in the U.S. rather than understanding the needs of the rest of the world.

6) Forgotten mission and vision and drive to help customers: Miscommunication between their business management and technology management. They had all the answers within their organization, but for some reason they just didn’t act on it. Would we be wrong to assume there was a huge communication issue within the company, perhaps like many large companies? Related to this point, near the end, the company was led by more business professionals over technology professionals. As a result, in decisions that were made, the technology analysis was missing in this technology company.

As entrepreneurs, we constantly hear of these factors. We try to avoid such mistakes. To see such mistakes completely eliminate a company over 100 years old demonstrates that their is no magic involved in keeping a company in-existence and thriving.

Now, with these factors in mind, let’s have a look at Blackberry. Back in 2011, I wrote a post on “How to Fix RIM” (as it was called then). I talked about the opportunity to grow their R&D initiatives to innovate new stuff and the need to have a focused plan.

There hasn’t been much innovation. New products have not been received well. Things have spiraled downwards for them since then. From July 2011 to September 2013, 11 750 employees were laid off, including employees from the R&D department.

However, in December 2014, they received a $750 million deal with Vodafone, a loan backstopped by the Canadian ECA, Export Development Canada.

Blackberry gets to survive. Unfortunately, we’ll never have the chance to see how Nortel’s technology would have done; however, with research findings from Nortel’s case study, more evidence on the key influencing factors of the success of a large company have been made available.

Esha Abrol © March 2015

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Managing Foreign Exchange Rate Risks in International Trade Transactions

There are a few techniques to manage foreign exchange rate risks. Such techniques include: exposure netting, money market hedge, domestic pricing, price adjustments, and forward contracts. Let’s explore them more.

Exposure netting involves a company utilizing the same currency for payables and receivables. The net amount of payables should match the amount of receivables.

For example, a Canadian company exporting to France will receive payment in Euros and also make payments for imports from a market that uses Euros. So, this may require the company to set-up suppliers in a country where Euros are used, if they don’t already.

The risks of currency fluctuation is removed because currency would not need to be converted, it would require the company to set-up a bank account in the foreign market, allowing the company to make transactions with the foreign currency. This is a strategy that is ideal of larger organizations as it can mean setting up suppliers in a new market (to be able to make payments in the same currency), if they don’t already. It would also require careful attention as the payables and receivables amounts require to be equal in order for this method to be effective.

Another method is called: Money market hedge. If a company was unable to set-up suppliers to match the payables to receivables, the company could take out a loan in foreign currency. The loan should be in the amount of the expected sales in the same currency. This is a technique that companies with the ability to borrow can benefit from.

Domestic Pricing  is a relatively easy method as it simply involves the exporter to charge in their own currency, completely eliminating the step of converting currencies. However, this approach forces the customer to carry the risks of currency fluctuations, so not ideal.

Price adjustment requires the exporter to think about possible currency risks when developing their pricing strategy. The pricing will be slightly inflated in order to mitigate risks of additional costs of currency conversations. The risk is over-pricing compared to competitors and or not being able to cover all the costs of the currency fluctuations should economic conditions become unstable.

A forward contract is one of the most common strategies. A forward contract allows an exporter to set a pre-determined future currency rate. This contract is made with a commercial bank, wherein the exporter commits to selling a currency at the rate set. This strategy eliminates the uncertainty of future rates, helping minimize costly risks of fluctuations. However, this also doesn’t allow the exporter to benefit should there be favorable movements in currency rates. Future contracts are similar to forward rates, but they trade within markets instead. Also, much like stock options foreign currency options are also a possible method.

Copyright © Esha Abrol. Canada. November 2012

My Evening at the FITT Awards Ceremony

Last week I was invited to attend the 14th Annual FITT Conference and Awards Ceremony to receive my Certified International Trade Professional (CITP) designation among members of the Canadian trade community.

The Forum for International Trade Training (www.FITT.ca) is a non-profit organization that helps build international business capacity by providing the highest level of excellence to assist individuals develop skills and knowledge in the challenging space of international business.

I want to congratulate the folks I had the chance to share the stage with – I had the opportunity to chat with most of the other CITP recipients in attendance and was blown-away by the passion and appreciation they shared for global business. No words for the ambience and energy in the room. Honored to be a part of this group. 

Also in attendance were, Canadian exporters from all industries, and industry experts, including Stephen Poloz, CITP and President of Export Development Canada and Peter McGovern, Canada’s Chief Trade Commissioner from DFAIT, who was given an Honorary CITP in recognition for his contributions to the Canadian trade economy.

For those considering the CITP Designation, I have written about the FITT program in the past, I would recommend it. Like any post-secondary educational program, it is demanding, but a worthy investment.  
Upon completion of the program, I was equipped with a thorough understanding of how international business “works” and the success factors when considering foreign expansion.  The program takes a hands-on approach, yet very comprehensive. If you’re considering taking the program and have questions, drop me a line.

I also want to take a moment to formally thank everyone for the nice messages of congratulations – it made the achievement that much more special.

From left to right: Bruno Morin – Chairperson, FITT Board of Directors; Caroline Topkins, President, FITT; Esha Abrol; Peter McGovern, Canada’s Chief Trade Commissioner, DFAIT

Cheers,  

Esha

Copyright © Esha Abrol, Canada.June 13, 2011.

Purple Gift Wrap, eh?: Doing Business Across Cultures

Scenario You are preparing a business trip to Italy for your Human Resource Managers. Prepare a five minute briefing about cultural differences and how important it is for them to take the cultural differences into account if they want to succeed on their business trip.

Cultural differences and cultural sensitivity will hold strong importance on business trips across cultures. Recognizing the difference through the following concepts will allow the team to effectively communicate information and build strong relationships:

1) Understanding the difference between high-context cultures and low context cultures;

2) Applying Hofstede’s power distance theory when comparing cultures;

3) Complying with the proper business etiquette in the new target market

Eighty-five percent of communication is non-verbal. Haptics, posture, and kinesics all contribute to the manner in which a message is conveyed and how an audience may perceive the message. Non-verbal communication can be intentional or unintentional. Different communication styles require consideration when communicating across cultures. Through building solid foundations on different cultural differences, one can become more successful in social interactions when in a new cultural environment. As you prepare for a business trip in a foreign country, it is essential the team acknowledges the cultural differences in order to fully take advantage of this market. Failing to recognize and adapt to differences may result in miscommunication, leading to incorrect assumptions. Miscommunication may also lead to your party unintentionally disrespecting your counterparts, or your party appearing overly aggressive or uninterested. Such interpretations may occur through the use of the use of slang, excessive use of gestures, poor dress sense, and indirect language. Exploring the targret market’s high-context culture or low-context culture will shed light on the major differences between the two countries’ communication styles. Understanding Hofstede’s main cultural dimensions, focusing on power distance will make certain differences more prevalent. The knowledge of common business etiquette will ensure operations flow smoothly during the business trip, allowing our team to build a strong relationship with your counterparts.

It is important to understand how the target market’s culture differs from that of the Canadian culture in terms of how ideas and thoughts are most effectively shared. Canada possesses a low-context culture. Low-context cultures tend to communicate in a manner which is concise and direct. Generally, the presentation of information will include well-researched facts to support a position, it will be clear, and will include limited use of gestures, long-winded explanations or examples, and indirect or implied messages. Evidence and support will include technical information and be based on logic and mathematical theories. Low-context cultures are associated with the western world. In comparison, high-context cultures will appear to look at situations through the perspective of a relativist. High-context cultures tend to communicate in a manner which may involve more indirect messages and implied messages. When the presenter is sharing information they may tend to share information with no clear implication. Positions will be supported on evidence which is based on emotions and feeling that are non-rational. The high-context culture is associated with the east. Seeing that there are major differences in the delivery of information, the Management Team will require to understand the perspectives their counterparts will have. As technical evidence involving mathematics and logic may not be as appreciated, therefore; less valuable, when presenting ideas, two perspectives require consideration: the emotional/intuition and rational side.

Hofstede created concepts in relation to relationships within organizations to better understand the self as well as others. Though the compilation of the data collected was from a corporate population, the finding very well relate to society at every level. The dimensions he studied included: Power Distance, Masculinity, Uncertainty Avoidance, and Individualism. For now, let us focus on the power distance dimension. Power distance measures the equality distributed amongst people carrying different roles in society on a hierarchical basis. For example, a boss and a subordinate. The data Hofstede complied shows that Italy possesses a value of 50, while Canada only, 39, illustrates Italy has greater power distance. In cases of high power distance, power tends to be greater at the top of the pyramid. Subordinates may feel uncomfortable addressing their boss by their first name and may feel uncomfortable having a informal conversation with the boss due to the inequality of status and power. In contrast, areas where power distance is less, power tends to be distributed more and groups members tend to have flat hierarchies wherein members hold equal power. As power distance is greater in Italy, when dealing with those with notable positions in an organization, addressing them with proper respect and formalities would allow you to assimilate. Not only would you require to address your Italian counterparts accordingly, it would be as important to regard co-workers with equal respect in the presence of your Italian client and colleagues.

Blending into Italy’s business environment requires knowledge of the business etiquette followed. Dress sense, conversation, how you address your Italian counterparts, negotiating styles, and gift-giving will all contribute to your success. Professionalism is greatly valued in the Italian culture, this is also displayed through the dress sense. Formal, business clothing is crucial during business interactions as it insinuates your, “social standing and relative success, as well as your competence as a businessperson.” Style and elegance should be studied should you be out-of-touch in the fashion world. (Endnote 1) Engaging in general conversation is very welcome. Conversation regarding the weather, Italian landscape, sports are examples of welcome topics. (Endnote 2) Using titles and surnames is a business norm in Italy. Unless one is invited to do so otherwise, addressing your Italian counterpart by their title or surname would be strong business etiquette. Gift-giving is welcome; however, more appropriate upon receiving one first. Good gift ideas include: quality, vintage wine, a fine pen, calculator. Gifts to avoid: chrysanthemums as they are used at funerals, red flowers as they indicate secrecy, yellow flowers as they indicate jealousy. Also, please note: do not wrap gifts in black or purple, as black is traditionally a mourning colour, while purple is a symbol of bad luck. (Endnote 3)

Acknowledging and respecting the cultural differences in Italy will allow one, new to the culture, to better relate to their Italian counterparts and ultimately display a higher degree of cultural sensitivity. Failing to see a difference and behaving without monitoring the audience may result in the formation of incorrect interpretations by your counterparts, giving them the wrong impression. Appraising the environment to recognize the cultural differences and similarities between Italy and Canada will allow you to realize the appropriate etiquette. Adapting to the high-context culture through the addition of emotional evidence, along with technical data, while presenting information will allow for stronger relationship building through more effective communication. In addition, status and power must be respected. Effectively utilizing this knowledge the Italy culture will ensure strong relationships with your Italian clients and colleagues and a overall successful business trip.

Endnotes:

(1) http://globaledge.msu.edu/CountryInsights/culture.asp?countryID=59&CategoryID=2,1

(2) http://globaledge.msu.edu/CountryInsights/culture.asp?countryID=59&CategoryID=3,1

(3) http://www.kwintessential.co.uk/resources/global-etiquette/italy-country-profile.html

Prepared for: Professor Peter Koppel

Prepared by: Esha Abrol CITP (Candidate)

Date: January 29, 2009

Copyright © Esha Abrol, Canada. 2009

Purple Gift Wrap, eh?: Doing Business Across Cultures

Scenario You are preparing a business trip to Italy for your Human Resource Managers. Prepare a five minute briefing about cultural differences and how important it is for them to take the cultural differences into account if they want to succeed on their business trip.

Cultural differences and cultural sensitivity will hold strong importance on business trips across cultures. Recognizing the difference through the following concepts will allow the team to effectively communicate information and build strong relationships:

1) Understanding the difference between high-context cultures and low context cultures;

2) Applying Hofstede’s power distance theory when comparing cultures;

3) Complying with the proper business etiquette in the new target market

Eighty-five percent of communication is non-verbal. Haptics, posture, and kinesics all contribute to the manner in which a message is conveyed and how an audience may perceive the message. Non-verbal communication can be intentional or unintentional. Different communication styles require consideration when communicating across cultures. Through building solid foundations on different cultural differences, one can become more successful in social interactions when in a new cultural environment. As you prepare for a business trip in a foreign country, it is essential the team acknowledges the cultural differences in order to fully take advantage of this market. Failing to recognize and adapt to differences may result in miscommunication, leading to incorrect assumptions. Miscommunication may also lead to your party unintentionally disrespecting your counterparts, or your party appearing overly aggressive or uninterested. Such interpretations may occur through the use of the use of slang, excessive use of gestures, poor dress sense, and indirect language. Exploring the targret market’s high-context culture or low-context culture will shed light on the major differences between the two countries’ communication styles. Understanding Hofstede’s main cultural dimensions, focusing on power distance will make certain differences more prevalent. The knowledge of common business etiquette will ensure operations flow smoothly during the business trip, allowing our team to build a strong relationship with your counterparts.

It is important to understand how the target market’s culture differs from that of the Canadian culture in terms of how ideas and thoughts are most effectively shared. Canada possesses a low-context culture. Low-context cultures tend to communicate in a manner which is concise and direct. Generally, the presentation of information will include well-researched facts to support a position, it will be clear, and will include limited use of gestures, long-winded explanations or examples, and indirect or implied messages. Evidence and support will include technical information and be based on logic and mathematical theories. Low-context cultures are associated with the western world. In comparison, high-context cultures will appear to look at situations through the perspective of a relativist. High-context cultures tend to communicate in a manner which may involve more indirect messages and implied messages. When the presenter is sharing information they may tend to share information with no clear implication. Positions will be supported on evidence which is based on emotions and feeling that are non-rational. The high-context culture is associated with the east. Seeing that there are major differences in the delivery of information, the Management Team will require to understand the perspectives their counterparts will have. As technical evidence involving mathematics and logic may not be as appreciated, therefore; less valuable, when presenting ideas, two perspectives require consideration: the emotional/intuition and rational side.

Hofstede created concepts in relation to relationships within organizations to better understand the self as well as others. Though the compilation of the data collected was from a corporate population, the finding very well relate to society at every level. The dimensions he studied included: Power Distance, Masculinity, Uncertainty Avoidance, and Individualism. For now, let us focus on the power distance dimension. Power distance measures the equality distributed amongst people carrying different roles in society on a hierarchical basis. For example, a boss and a subordinate. The data Hofstede complied shows that Italy possesses a value of 50, while Canada only, 39, illustrates Italy has greater power distance. In cases of high power distance, power tends to be greater at the top of the pyramid. Subordinates may feel uncomfortable addressing their boss by their first name and may feel uncomfortable having a informal conversation with the boss due to the inequality of status and power. In contrast, areas where power distance is less, power tends to be distributed more and groups members tend to have flat hierarchies wherein members hold equal power. As power distance is greater in Italy, when dealing with those with notable positions in an organization, addressing them with proper respect and formalities would allow you to assimilate. Not only would you require to address your Italian counterparts accordingly, it would be as important to regard co-workers with equal respect in the presence of your Italian client and colleagues.

Blending into Italy’s business environment requires knowledge of the business etiquette followed. Dress sense, conversation, how you address your Italian counterparts, negotiating styles, and gift-giving will all contribute to your success. Professionalism is greatly valued in the Italian culture, this is also displayed through the dress sense. Formal, business clothing is crucial during business interactions as it insinuates your, “social standing and relative success, as well as your competence as a businessperson.” Style and elegance should be studied should you be out-of-touch in the fashion world. (Endnote 1) Engaging in general conversation is very welcome. Conversation regarding the weather, Italian landscape, sports are examples of welcome topics. (Endnote 2) Using titles and surnames is a business norm in Italy. Unless one is invited to do so otherwise, addressing your Italian counterpart by their title or surname would be strong business etiquette. Gift-giving is welcome; however, more appropriate upon receiving one first. Good gift ideas include: quality, vintage wine, a fine pen, calculator. Gifts to avoid: chrysanthemums as they are used at funerals, red flowers as they indicate secrecy, yellow flowers as they indicate jealousy. Also, please note: do not wrap gifts in black or purple, as black is traditionally a mourning colour, while purple is a symbol of bad luck. (Endnote 3)

Acknowledging and respecting the cultural differences in Italy will allow one, new to the culture, to better relate to their Italian counterparts and ultimately display a higher degree of cultural sensitivity. Failing to see a difference and behaving without monitoring the audience may result in the formation of incorrect interpretations by your counterparts, giving them the wrong impression. Appraising the environment to recognize the cultural differences and similarities between Italy and Canada will allow you to realize the appropriate etiquette. Adapting to the high-context culture through the addition of emotional evidence, along with technical data, while presenting information will allow for stronger relationship building through more effective communication. In addition, status and power must be respected. Effectively utilizing this knowledge the Italy culture will ensure strong relationships with your Italian clients and colleagues and a overall successful business trip.

Endnotes:

(1) http://globaledge.msu.edu/CountryInsights/culture.asp?countryID=59&CategoryID=2,1

(2) http://globaledge.msu.edu/CountryInsights/culture.asp?countryID=59&CategoryID=3,1

(3) http://www.kwintessential.co.uk/resources/global-etiquette/italy-country-profile.html

Prepared for: Professor Peter Koppel

Prepared by: Esha Abrol CITP (Candidate)

Date: January 29, 2009

Copyright © Esha Abrol, Canada. 2009

International Marketing Plan

Will a well-written international marketing plan increase your business’s odds of success in a foreign market?

My Answer: Definitely not.

Then why waste the time and effort in developing such lengthy documents?

An international business plan will force you to answer specific questions – it will provide you with the opportunity to go and gather high quality research (including primary research) to back-up your answers. Jotting down a plan on paper… or on your hard-drive… will allow you to share ideas with colleagues and create an organized implementation plan (based on research). (Remember, the goal is to mitigate risks that come with international business. Research will help, but always have contingency plans)

So, what’s the difference between a marketing plan and an international marketing plan.

My Answer: Your market choice rationale along with strong research on the target market. I have heard many global SME’s mention that they wished they had done more research before they had entered certain foreign market.

For example, we hear a lot about opportunities in emerging markets. Sure the BRICM countries are lucrative economies, but are they right markets for your particular product/service? Is your product/service appealing to the cultures? Will it require modification or re-positioning to become more appealing? (The common example being, McDonalds in India where veggie burgers replace their famous hamburgers in order to better connect with the largely vegetarian population), Is there a demand for your product/service? Is the market already saturated? What are your competitive advantages?, etc…

I will be providing excerpts from an international marketing plan I developed and provided consulting on for an existing marketing/advertising firm. Below you will find parts of the Market Rationale section.

Now let’s call the company [X Company] for now.

A bit about the domestic firm: [X Company] is a marketing/advertising firm. They provide a range of marketing/advertising tools; from print media, web development (site maintenance, HTML programming, Macromedia Dreamweaver, Macromedia Flash MX ), corporate identity (product design), and advertising campaigns.

Market of Interest: California, United States of America

Excerpt

Market Entry Rationale

Since [X Company] is a relatively new firm there is still room for more experience and it lacks a large network of potential clients. Considering the timing and the age of the firm, [X Company] should expand to the United States of America. However, the U.S., on a whole, is a significantly segmented market. The population of the country is 291 million and it is broken-down into many environmental differences and different customer profiles, therefore, creating a separate international marketing plan for each region would be most practical. To start, [X Company] will first expand to California. Exporting [X Company]’s  marketing/advertising services to the U.S., from Ontario, Canada, will not require much product/service modification due to many similarities between the markets, such as language and culture. Fewer modifications and close proximity to the market will help keep costs low.

Also, expanding to the United States will help develop international business skills for the future when expanding to other countries which will require more skills, costs, and time. Exporting to California, from Canada, will be a comparatively less complex endeavor as the U.S. highly values foreign investment, possess’ a stable currency, has a solid political structure, is Canada’s neighboring country, and there are many similarities in culture; therefore, [X Company] should use this as a learning experience while working to achieve the highest market share. 

The U.S. has the highest expenditures in the world in adverting while Canada takes eighth position according to Zenith Media. Advertising plays an important role in the U.S. culture. California is also well-known for its many larger companies such as Walt Disney Co (spend 1260.4 million $ for worldwide advertising in 2001), and Hewlett-Packard (spent 618.4 million $ for worldwide advertising in 2001). California contains a massive clientele base which ultimately leads to more potential for increased revenue.

Important grounds in which California selected as the first international market is due to the relatively low risks associated with doing business in the state. Since going international can be costly endeavor taking appropriate precautions and avoid risks at all times is the ideal way [X Company] should carry out their business. California’s stable political structure and currency help alleviate risks involved.

The proximity and cultural similarities of California will have a positive impact on [X Company] ability to do business. The primary risks which may affect a business negatively are: currency risks, collections of goods, and political factors in the targeted market. Fortunately, [X Company] will not have to be concerned with these factors since the U.S. dollar continues to remain strong, and stable, collections of goods will not have to be a concern since they are exporting no tangible goods, and the U.S. is a politically stable country.   (Copyright © Esha Abrol, Canada. 2006)

Copyright © Esha Abrol, Canada. 2010

International Trade Training

The world is becoming a smaller place. Not only are large corporations exporting, but also SME’s. A lot of them. These businesses are involved in many aspects of international trade, including: outsourcing, global supply chains, international subsidiaries, etc.

If you’re a domestic business: How do you know when it’s time to expand to a foreign market? What expertise are required? What types of risk mitigation tools are available? 

The Certified International Trade Professional (CITP) Designation through The Forum for International Trade Training (FITT) provides the ins and outs of international trade. The program allows individuals and businesses to fully comprehend all aspects of trade.

Learning topics include:

International Marketing, International Trade Logistics (Supply Chain), International Finance, International Law, International Distribution, International Research, Cultures, Geo-politics

I received my international trade training at Algonquin College (through the Business Administration, International Business major). I would highly recommend the program to all considering global expansion or joining a global business.

I will be posting excerpts from projects I worked on, covering various areas of international trade  including an International Marketing Plan, a SWOT Analysis, and more. Stay tuned, please.   

Check out the FITT website for additional info: www.fitt.ca 

Copyright © Esha Abrol, Canada. 2009