What is an Export Consortium?

Small and medium-sized enterprises (SMEs) face many challenges when growing, one of which is exporting to foreign markets.

Among the main challenges that SMEs face in this process are the absence of financial means and knowledge, non-compliance with foreign regulatory requirements, the production of products unsuitable for foreign markets, among many other potential problems.

Fortunately, there is the option to overcome these challenges through cooperation among SMEs. This is known as an export consortium: a voluntary and strategic alliance of companies with the aim of promoting their goods and services abroad.

Through this partnership, various objectives are achieved:

  • Improve export possibilities by having greater and better means to facilitate access to international markets.
  • Reduce costs of introduction, promotion, and marketing of goods and services abroad by distributing expenses among the consortium members.
  • Reduce the risks involved in penetrating foreign markets.
  • Increase bargaining power both for the purchase of raw materials and for the required financing and the sale of products and services, ultimately achieving better marketing.

It is important to clarify that in most export consortia, the entities that comprise them retain their financial, legal, management, and commercial autonomy, so they do not relinquish any type of control to the other member companies.

On the other hand, there are also certain challenges that a consortium may still face, such as lack of experience in entering new markets, absence of qualified personnel in foreign trade, etc.

For these types of challenges, you can rely on us, a trading company specialized in export and import advisory and management, as well as international buying and selling.

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