Comments on: Slow Growth in Local Economy http://blogs.e-rockford.com/manufacturing/2008/05/11/slow-growth-in-local-economy/ Rock River Valley manufacturing experts discuss the many facets of manufacturing: technology, education, training, events, people and any other aspects of this important segment of our economy. They’ll use this blog to get the word out and solicit feedback on local and global manufacturing. They hope to better engage our employers, employees and our future work force and increase their understanding of manufacturing. Sun, 7 Sep 2008 04:46:12 +0000 http://wordpress.org/?v=wordpress-mu-1.2.4 By: Skip Trotter http://blogs.e-rockford.com/manufacturing/2008/05/11/slow-growth-in-local-economy/#comment-2 Skip Trotter Sun, 11 May 2008 23:09:32 +0000 http://blogs.e-rockford.com/manufacturing/2008/05/11/slow-growth-in-local-economy/#comment-2 In regards to an economy slowing down is true in all sectors. We hear about Cat and Deere doing so well profitability, but what alot of people do not know is this is due to European growth. I am becoming a firm advocate that unless you find a way, no matter the size of your company, to go global, you will risk the demise of your company. Over the past year I have entered into a joint venture with another Indian company to produce my product in India. They have a very novel concept, produce product and ship outside the country or support internally, it is very profitable. If you import product from outside the country it is a 22-30% tarriff. I am in no way saying that you must sell your soul to the devil, but you have to get involved one way or another to keep your business striving and profit margins at a constatnt level. I bet you all will agree, profit margins are not what they used to be. I am finding now that customers know that i have a facility in India, I am having the opportunity to be their "global partner". I agree with Bob 100%, you have to find a way to either export or import goods outside of USA. In the end I anticipate job growth here in the States by subsidizing another percentage of my business offshore. In regards to an economy slowing down is true in all sectors. We hear about Cat and Deere doing so well profitability, but what alot of people do not know is this is due to European growth.

I am becoming a firm advocate that unless you find a way, no matter the size of your company, to go global, you will risk the demise of your company. Over the past year I have entered into a joint venture with another Indian company to produce my product in India. They have a very novel concept, produce product and ship outside the country or support internally, it is very profitable. If you import product from outside the country it is a 22-30% tarriff.

I am in no way saying that you must sell your soul to the devil, but you have to get involved one way or another to keep your business striving and profit margins at a constatnt level. I bet you all will agree, profit margins are not what they used to be.

I am finding now that customers know that i have a facility in India, I am having the opportunity to be their “global partner”.

I agree with Bob 100%, you have to find a way to either export or import goods outside of USA. In the end I anticipate job growth here in the States by subsidizing another percentage of my business offshore.

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