Tips for Global Sourcing - Status of the World's Markets

 



Global sourcing companies help businesses import and export products, ranging from small consumer goods to complex medical equipment. However, with so many different global markets to choose from, finding the right markets to source from can be difficult and time-consuming. This guide will give you an overview of all the world’s main markets, along with their strengths and weaknesses, helping you decide on the best market for your business’ needs.

 

Market Overview


If you’re looking to sell your products on a global scale, you’ll need to  form global suppliers and find a logistics partner that specializes in getting your product where it needs to go. Many manufacturers are flocking overseas to do business with China, but there are pitfalls you need to know about before doing so. First and foremost, China is no longer an option when it comes to sourcing from Asia; Hong Kong is currently where most manufacturers want to base their operation. Mexico also offers attractive benefits as a manufacturing country.


Asia-Pacific


As a whole, Asia-Pacific is expected to be one of sourcing companies in USA's fastest growing regions in 2022. The region boasts 805 million online shoppers and $279 billion in online sales, according to eMarketer. Additionally, as a source countries China and India are expected to remain two of world’s largest economies with populations that continue their rapid growth and new wealth generation. These factors all make Asia-Pacific an attractive region for sourcing companies looking to expand their global operations. Despite strong economic indicators, increased regulatory requirements on both domestic and cross-border transactions will be key hurdles sourcing companies face in 2021; maintaining adequate due diligence on all potential suppliers must be top priority as any violations can result in stiff penalties by regulators.


Latin America


The Latin American market is ready to expand and open itself up to quality U.S. goods and services. It’s an untapped region that provides plenty of opportunities for entrepreneurs. However, as with any new market, it will take some time to get a grasp on how business is done in South America. Your best bet is working with a global sourcing company that already has established contacts throughout Mexico, Central America, and South America. You might be surprised at how many products are considered basic necessities in those regions—things you take for granted every day like toilet paper or aspirin have special considerations when it comes to trade in other parts of the world due to differences in importation laws or cultural preferences.

 

Europe


56.3% of Europe’s imports came from, you guessed it, Europe. The largest supplier country was Germany at 14.9%, followed by Italy and France.The US was not on Europe’s top 10 list, but we were close (11th place), with 6.8% share. Despite predictions that Brexit would weaken Britain’s economy and pull down its markets, it appears to have had little effect so far; there was just a 1% decline in shares compared to 2021 figures (the US did 3 times better). It seems our former colonial rulers will be back for more goods and services in 2022—just one month after Brexit took effect!

 

North America


The United States has been a hub for global sourcing since its infancy. Today, U.S.-based suppliers are working harder than ever to attract customers' attention and make their products look as attractive as possible. The international marketplace is becoming increasingly more competitive, requiring businesses to step up their game in order to succeed. Overall, it looks like North America will continue to be a powerful market in terms of sourcing companies in usa opportunities because it offers everything from high-quality products and services to a wealth of support systems that help businesses operate smoothly while saving time and money. Without a doubt, there are many reasons why North America is here to stay as one of today's most coveted markets—we're not going anywhere!

 

Middle East & Africa


According to a report by Business Monitor International, Middle East & Africa has the largest share in terms of total trade (2). With Saudi Arabia contributing over $199.7 billion and Egypt adding over $117.3 billion, you can see why importing from these regions is important for most companies. If you're sourcing globally, make sure your company also services these regions effectively; consumer interest is set to increase rapidly as well. It's also important to note that both India and China have seen huge increases in consumer purchasing power—something that should catch your attention if you're selling your products there.

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