Exports "imperative" for East Mids
Businesses from the East Midlands must look to export their products with the possibility of flatter UK demand caused by public sector cuts. That is the view of Laura Grieve, manager of Enterprise Europe Network (EEN) at Derbyshire and Nottinghamshire Chamber of Commerce, who told Insider that Near Europe could present excellent opportunities.
According to Grieve, it is "absolutely imperative" that local businesses "embrace export". Companies must "use their judgement" when evaluating the future of public sector contracts, she said.
"They can't put all their eggs in one basket, particularly when UK demand may remain stable, certainly over coming months. Firms have to look abroad for opportunities."
Grieve's colleagues at the chamber recently led a business delegation to Germany's Frankfurt Rhine-Main region, jointly organised with sister organisation Darmstadt IHK as part of an economic cooperation agreement to promote inter-trading between the two regions.
"Recent figures demonstrate that Germany's economy is growing by 2.2 per cent and that is largely powered by manufacturing, which is led by the automotive sector," Grieve said. Rolls-Royce is an example of an automotive business that has large operations in the German region and the East Midlands.
Near Europe "represents an excellent opportunity" for new exporters looking to "dip their toes", Grieve said, as there is lower risk than further, more culturally different countries. Businesses could look as close to home as Ireland "because we are so similar in business culture and needs and wants for products and services," she said.
Although Grieve accepts there is always an inherent risk when exploring new markets, she believes for some businesses the rewards could prove stronger motivation.
She said: "There's trepidation no matter where you look to expand your business. You could look to expand your business within the UK and there's risk, but the fact remains there is an awful lot of help out there from the chamber and EEN. Perhaps it is a little scary, but we can help you overcome these barriers and make it a real success for your company and ultimately your bottom line.
"It's proven that companies that look abroad bring benefits to their UK operations, such as processes and innovation, because a wider range of customers will be more demanding, making them focus significantly on the core business."
