International Sales News - As Seen on TV Products

5 Things You Need to Do Before You Launch Your Product Internationally

2009-07-08T15:52:00.000-07:00

If you are a product inventor or manufacturer who is looking to export your product internationally, there are several steps to take before getting started in order to secure the most successful international campaign.

Step #1: Marketing Materials

Marketers in the Direct Response industry are fortunate to not only have marketing materials such as retail and print artwork, but may also have developed a commercial for television airing. If this is the case for you, you will want to make sure to have split audio master tapes with no superimposed images of your advertising media. This ensures that once sent abroad, the master tape can be easily translated and new text or voiceovers added, and put on television right away. For most other marketers, color retail packaging is a necessity, as this is the main method in which international clients will be selling your product. Making sure you have all your retail and print materials in order is your first step.

Step #2: Pricing

In order to accommodate the international clients’ needs, an extra low export price may be necessary to accommodate the international buyer’s shipping costs, storage costs, returns and advertising costs. Often, marketing costs are quite high, and they may even need to send approvals to their local health ministry if your product is an ingestible item, or touches food or skin. These costs add up for the buyer, and they are taking this into account each time they purchase a new item.

Step #3: Shipping Specifications

One of the most important steps that is often overlooked is to have a solid understanding of the packaging of your product. Does it come bulk-packed? How many are in each master carton? What are the carton dimensions? Where will they be picked up? How many can fit on a pallet? Accurate product specifications are necessary so landed costs can be calculated correctly.

Step #4 International trademarks

Make sure that your trademarks are not already taken in a market in which you wish to sell. You may need to pay fees to the person who already holds the trademark there. Also, it is good to secure a trademark in the USA – this helps show the credibility of your product to international clients and can help with local approvals in their markets.

Step #5: Look to export management companies with international expertise

The world is a big place, and each market has different regulations, restrictions, and etiquette. Often, the easiest way to get your foot in the door with new international buyers is to contact an export management company. Some do not charge fees for their services, and they can provide the connections that you do not already have.

Infomercial Sales Thrive While Economy Struggles

2009-05-06T09:38:00.000-07:00

A downturn in the economy has actually been good news for the infomercial industry. Lower rates on airtime have allowed many companies to be able to buy more spots on television, and increase their media spend to bring in more sales. Customers are now looking to buy a quick fix solution instead of brand name products, or replacing entire elements of their home. Repair kits sales are on the rise. People are looking to buy small luxury items for themselves, however, such as a mascara product. The Spinlash mascara product has sold extremely well in US retail, despite people's inability to splurge on themselves. Mascara may be seen as a small upgrade that people are willing to buy and invest a little bit in themselves, without going overboard.

With the addition of the new Pitchmen show on the Discovery Channel, many people are now able to see more of what is behind the industry, and the popularity of these kinds of products is also growing with the exposure of the men who pitch them. The buzz around As Seen on TV products (and if they work) has grown quite a bit in the past year alone.

China's economic growth significant for world economy

2009-03-05T10:38:00.000-08:00

Chinaview.cn recently posted a commentary on the impact of China's economic growth on the rest of the world. It is believed that China's economic growth can help prevent the world economy from slipping deeper into recession. As China has become a key engine for economic growth, other markets, such as the USA, Germany, and Japan are all now in varying states of recession. One of te reasons China may be so successful right now is the 4-trillion-yuan (580-billion-U.S.-dollar) stimulus package that was announced in late 2008, which provides more trade opportunities for the country. China's currency, the yuan, has also been relatively stable as of late.

Although China has also been affected by the global financial crisis, their ability to hold steady has boosted confidence in other markets that we will be able to weather the storm, and that together, we can get out of this predicament and move forward.

Maternity Leave Extensions for Europeans

2008-10-08T09:33:00.000-07:00

Brussels has recently announced a plan to raise the minimum maternity leave from 14 weeks to 18 weeks with full monthly salary pay for the entire period. Additional leave time is granted in special cases such as multiple births, premature births and disabilities. This increase in leave time is viewed by the EU as modest as many other EU member states have longer leaves. For example, the Czech Republic and Slovakia allow 28 weeks while some countries may extend leave time to up to 52 weeks (without full salary pay).

The purpose of the proposed extension is to allow mothers more time to recuperate following childbirth to ensure better health and grant them more time to spend with their new babies while not having to worry about possible financial losses. Additional measures of this proposal include: more job protection by guaranteeing new mothers will return to the same or equivalent position; tougher regulations on employers making it harder to dismiss new mothers within one year after returning to work; and will require employers to consider requests for more flexible hours from new mothers.

QVC Expands To Italy

2008-10-03T11:57:00.000-07:00

QVC recently announced it will continue it's international reach with the addition of programming in Italy. QVC Italia will become QVC's 4th international operation when it launches in October 2010. Currently US owned QVC has subsidiaries in the United Kingdom, Japan, and Germany.

Telecom Italia Broadcasting, whose television system is expected to reach nearly 8.8 million homes in Italy by 2010, will be the main platform of distribution for QVC Italia.

QVC explains that Italy is a very valuable market and essential for QVC's continued international success as they have long been a great source of merchandise and believe the Italian people will respond well to the QVC television shopping experience.

Thriving Amidst The Financial Crisis

2008-09-17T11:18:00.000-07:00

The financial crisis seems to only get worse following the recent announcement of the Fed's bailout one of the world's largest insurers, AIG. Many consumers' worries growing with this news combined with the mortgage crisis and soaring food and energy costs. Nervous about the security of their investments and feeling the pinch in their wallets, consumers are looking to save money every way they can. This of course means people are going to spend less in general. The effects of consumer demand on the market have been substantial.

That being said, there are some businesses thriving in the current economic situation. Companies offering low-cost, functional items like many as As Seen On TV products are doing quite well in this environment. People seem to be willing to spend a few extra bucks on more practical items that promise to make their lives easier and/or save them money. For example, consumers can save money on dry cleaning with a small clothes steamer, or using super-absorbent cloths that you can reuse in place of wasteful paper towels. These products tend to be in the $10-$40 price range and usually target women. Many Eco-friendly products in this price range are doing very well also.

Just how long the noteworthy successes of these companies will last is hard to predict as the costs of energy drive manufacturing costs up and thus product prices. But for now it appears those trying to save money in are still inclined to spend on practical, everyday products that they find won't break their budget.

Telemundo Expands Further Internationally

2008-09-10T10:19:00.000-07:00

Telemundo, the #2 Spanish television network will now be allowing its viewers to access their favorite shows and to interact live with the stars on their mobile phones and over the web. The network has been offering it's content like its popular Novelas for viewing on the Internet, but it was only available in the US and those living abroad were left with just traditional television programming.

Telemundo's latest move is going to provide its viewers with the opportunity to watch their programming through numerous digital mediums such as on their mobile phones and over the Internet. This digital access will be available throughout Latin America in: Spain, Colombia, Ecuador, Costa Rica, Argentina, Nicaragua, and Peru, and in Europe in Lithuania and Romania beginning this week.

This step forward will greatly expand Telemundo's viewer base and advertising reach. In the last few months the number of active viewers of Telemundo's Novelas on the web has jumped significantly to 16.2 million Hispanics. The rise in viewership has not come as a surprise, as many experts in the industry have been predicting that the role of the traditional local television station will become far less important in the future and various digital platforms including mobile phones and Internet will become the standard way in which people view their favorite shows.

Along with this expansion, Telemundo will also participate more in "branded entertainment", an integral and fast-growing part of their business, where the advertisers have a role in actual content development.

British Online Shopping On The Rise

2008-09-04T11:16:00.000-07:00

As online shopping now accounts for 20% of British shopping and continues to grow, retail stores are increasingly being forced to alter their business models in order to keep up with the changing market. In the first half of 2008, online shopping sales increased 38% from the previous six months. Should this growth continue as expected, online spending could reach 50% of all British shopping in the next five years.

June was the only month in the six-month period that experienced a decrease in growth of online shopping. However, it is predicted that the economic downfall will only stimulate online shopping as consumers will turn to the internet to shop for the best bargains. Consumers also find online-shopping to be an extremely convenient and easy way to shop around and research about products that may want to purchase. Increased access to the Internet and improved security of personal information have further contributed to the growth in online shopping.

This is a trend that traditional retail-only stores cannot ignore. Online-only stores, also known as "pure-play" online retailers have exploded in the market taking advantage of the fact that many well known stores overlooked the Internet as a source for marketing and sales. These retail shops will need to begin investing more in the online channels to market their products to be able to compete and maintain their customer base.

NBC Reaches Across The Pond

2008-08-28T10:18:00.000-07:00

A new division of NBC established last year, NBC Universal is dedicated to the international expansion of television production of the company. NBC has set a goal to double it's revenue generated from international ventures by the year 2010, to account for 30%of the entire company's business.

In the quest for international expansion, NBC Universal has been considering acquisitions and partnerships in India, France, Spain and Russia. Already, they have announced their first acquisition of the British independent production firm Carnival Film and Television, a deal rumored to be worth in excess of $55 million. Through this acquisition NBC Universal aspires to develop new television and film concepts for international markets and establish it's base for further international growth.

As international expansion is one of NBC Universal's strategic priorities, they will continue to search for new opportunities to produce programming and license rights and to develop new ideas for programming created for specific local audiences around the globe. The new programming may also be making it's way back to the US NBC schedule as well.

How To Convert Inches to Cubic Meters

2008-08-20T13:01:00.000-07:00

When shipping internationally situations may arise where you will need to convert the size of a shipment of units that are measured in inches to cubic meters. It's really quite easy to do so, just following the few simple steps of this equation:

The conversion ratio to convert inches to centimeters is: (2.54 cm/1 inch); and the ratio to convert centimeters to meters is: (1 m/100 cm); or more simply 0.0254 meters/ 1 inch

Using this ratio you multiply each dimension in inches (length, width, and height) by the conversion ratio. Then, you multiply each of those values together and you end up with the cubic meters.

(length * 0.0254) * (width * 0.0254) * (height * 0.0254) = cubic meters

Then, to find how many cubic meters an entire shipment is of multiple units, you simply take the value you found for cubic meters for one unit and multiply it by the total number of units.

Example:
I want to find how many cubic meters 500 units of an item that is 18x10x13 inches:

[18*0.0254] * [10*0.0254] * [13*0.0254]

=0.4572 * 0.254 * 0.3302

= 0.03835 * 500 unit shipment = 19.175 cubic meters

Ads Pulled From UK TV As A Result of US Complaints

2008-08-13T09:21:00.000-07:00

Recently two television advertisements airing on UK TV were pulled completely off the air after the Advertising Standard Authority received hundreds of complaints that the ads were offensive. However, it was not UK citizens that were upset by the ads; it was US citizens who demanded the advertisements be taken off the air in the UK.

The ads in question were for Heinz Deli Mayo and Snickers. The Heinz ad featured two men briefly kissing and the Snickers ads that feautred Mr. T was thought to be offensive to gay people. After receiving pressure from US lobbyists, and fearing US boycotts, the two companies pulled their ads and apologized for offending anyone.

What it so interesting about this is that neither of the advertisements were ever aired in the US. How could so many US citizens be so offended by a television ad that never aired on US TV? Of course, because of the Internet; the Internet has created an environment where nothing, including ads, is purely local anymore. Consumers of one culture now have the ability to influence and change what those in another country see. As Heinz and Snickers are American brands, Americans feel they should have a say in how these companies market themselves internationally.

China Purging Explicit and Illegal Ads From TV

2008-08-07T09:14:00.000-07:00

China's State Administration of Radio, Film and Television has announced its plans to enforce stricter rules and regulations on the what advertisements will be allowed to air on television and when. The goal of this action is to make Chinese television more pure and appropriate for the public.

The ads being specifically targeted are ones that make strong unsubstantiated claims on the efficiency of medicines and anything with "explicit" content. One of the biggest problems for China is that many of the commercials for medicines have been licensed, meaning they are approved for television. The problem arises when the claims of these licensed ads are altered prior to airing to misguide the viewers, which is then illegal.

Because of these issues China will step up monitoring of ads that may a "negative social impact" on Chinese society. As part of the tougher controls on advertisements, those deemed controversial will only be allowed to air before and after prime time; these include ads featuring medicines and feminine hygiene products. Commercials being even more limited are those for female undergarments which will be restricted to airing only at midnight.

Already nearly 30 Chinese radio and television broadcasters have together released a self-discipline agreement promising to comply with regulations in an effort to better society as a whole. If any broadcasting stations do not abide by these tighter rules by removing or making the necessary changes to ads that are vulgar or break the law more than three times in 60 days will face suspension on their ability to air and prospectively lose their license to air, among other punishments.

Foreign Apparel Retailers Are Quickly Moving Into US Territory

2008-07-31T11:29:00.001-07:00

Modestly priced apparel retailers from all over Europe, Asia, and Canada are increasingly setting their sites on US malls for new store locations. Between 1997 and 2007 the amount of foreign retailers' investment in clothing and accessory stores in the US rose more than 60% to reach an astounding $4.1 billion.

This is the result of a combination of the weakening dollar which in turn lowers the initial cost of investment for foreign retailers to set up shop, and the increased ease of obtaining attractive store leases. As numerous large US retail apparel chains are closing many of their lower performing stores, mall vacancies have risen to 6.3% in the second quarter, the highest it has been since 2002. Now, in an effort to attract and excite new customers, US mall developers are offering the best deals and lease terms to international retailers who are becoming the "hot" retailers American companies used to be.

Some of the retailers moving in are Sweden's H & M which refers to the US as it's largest expansion market, with 156 US locations already and plans to open 27 more this year, and South Korea's Who AU plans to open 450 stores over the next 10 years. The list of foreign retailers looking to the US for international expansion is quite long; there aren't many large retail apparel companies that are not considering the US which despite low growth is still the largest consumer market in the world.

TV Ads Soon To Be History in France

2008-07-24T09:52:00.000-07:00

Last January President of France Nicolas Sarcozy first divulged his intention to develop a strategy to phase out all advertising on public television entirely by 2011. On June 25th of this year Sarcozy confirmed the reality of the plan, announcing that the phase out will begin as early as January 1, 2009.

The proposal to cut out advertising on public television channels came after TF1, the owner of France's most popular television channels petitioned the president to ban the use of advertising. The siginificant loss in advertising revenues for public broadcasters is said to be compensated for with a new tax placed on private broadcasters, telephone operators, and internet service providers.

The plan has become a highly controversial issue in France, with many claiming that the new tax is illegal and will actually cost the industry nearly 400 million euros per year. However, President Sarcozy explains that his plan will benefit the culture of France and revolutionize the entire public-television service.

The proposal will continue to be debated and drawn up into a law that will be up for vote by parliament this September.

How To Choose The Right Chinese Factory

2008-07-16T14:40:00.000-07:00

There is no doubt that deciding to manufacture your product in China poses many cost-saving and efficiency perks. Yet, with over 200,000 factories open currently in China and hundreds more expected to open this year, finding the right factory for you may seem to be like a lot of work. Doing the research to find an appropriate factory for your business is an essential step, and failure to do so could end up devastatingly costly to your business. Below are some suggestions on criteria to consider when selecting a Chinese factory.

Identify suppliers by creating a database of all that you can find via: trade shows, visiting web sites, participating in China trade organizations, and networking.
Narrow down your database by looking at key factors such as: experience in producing similar items, the history of the factory in terms of reputation and reliability.
Look at their physical location. Chinese factories are assessed Value Added Taxes on the goods they produce and the percentage varies from province to province. Choosing a factory located in a higher taxed province can significantly affect your cost.
Assess their communication skills in terms of speed in response, clarity and efficiency of contact.
Evaluate their production in capacity in relation to your needs. In the DRTV industry demand for products can fluctuate greatly in a very short amount of time, so it is important to find a factory that is able to scale production quickly.
Of course consider price and quality. To avoid being taken advantage of obtain samples of similar items they have produced and explain the quality will be closely scrutinized.

Finally, once you have narrowed down your list and have decided on a factory an inspection of the factory is essential. Look for appropriate machinery, if they have enough staff, and inquire about their quality control measures and testing procedures.

Broadband Users in Asia To Reach 171 Million in '08

2008-07-10T15:12:00.000-07:00

The number of broadband subscribers across the Asia-Pacific region increased 31.5% from last year to 170 million in 2007, and is expected to reach 171 million by the end of 2008. Researchers suggest this number will continue to grow at a rate of 19.9% annually through the year 2013 where it should nearly hit 322 million.

How does this calculate into monetary terms? In 2007, broadband revenue reached US$28.1 billion!

There appear to be three main factors contributing to the enormous growth in the broadband market for the Asia-Pacific region. First, the increasing popularity and demand for services such as video-on-demand, video sharing, online multi-player games, and social networking sites such as Facebook and You Tube. Second, broadband operators have been promoting and improving their services aggressively by offering cheaper product-service bundles, providing applications such as Internet Protocol TV. And lastly, there have been numerous government-led initiatives introduced throughout the region, but especially in the most developed economies, that push for the adoption of broadband service and development of its local content and applications through advanced infrastructure.

Business Etiquette Abroad

2008-07-02T13:54:00.000-07:00

Conducting business abroad will almost always require traveling to a foreign country at some point. With technology advancing at an exponential rate, access to foreign markets is becoming easier than ever before and it may be easy to forget, or neglect consider at all the large role culture still plays in the business world and the vast differences between different cultures. For that reason, it is crucial to gain at least a general understanding of business culture and etiquette if you wish to have any success in a particular market. Business cards tend to be a staple in any business prospect in any part of the world. However, it is in the method of delivery and design of the card itself that varies greatly between cultures. Below are a few examples of business card etiquette from a few important markets around the world.

US and UK: the exchange of business cards is not a very formal procedure. There is not much ritual too it; they are simply handed out as a manner of exchanging contact information for use in the future.

China: you should be sure to do so with two hands or else you run the risk of displaying a lack of understanding the Chinese etiquette, which may greatly diminish your chances of landing a deal. Also, use red and/or gold colors on your card as they are considered lucky. When receiving a Chinese partner's card be sure to examine and comment on it rather than stuffing it in your pocket.

Middle East: always present your card with your right hand and never your left.

Japan: the exchange of business cards is very ritualistic. It is OK to give your card out with one hand, but be sure to accept one from someone else with both hands. Also, status is considered very important so be sure to display your title in a prominent way on the card. As with the Chinese, do not put a card you have received in our pocket right away, keep it out for the entire meeting as a sign of respect.

India: educational achievement is emphasized; include any university certifications or honors on the card with name and contact info. And be sure to always use your right hand when offering a business card.

Export Working Capital, A Barrier to Trade for African Women

2008-06-25T14:23:00.001-07:00

African female exporters express that their largest barrier to trade is a lack of export working capital. Because most buyers are reluctant to pre-pay for a product for fear they will not receive it, these entrepreneurs simply do not have the funds necessary to develop and create their goods upfront to meet a demand. Another problem for them is a deficit in the information and education available to them that is necessary to successfully develop products to sell in the US market.

To address these issues the World Women Trade Fair has a mission to provide women entrepreneurs of third world countries with the tools they need to build their businesses and gain access to global markets. For those who lack the capital to develop their business they must rely on strong supplier-buyer relationships where they are able to work together to agree on favorable payment terms and even help them with product development. Last week the World Women Trade Fair hosted the International Gift & Home Textile Expo in Los Angeles where female exporters from around the world including Africa came with the goal to establish new business relationships and increasing their exports to the US.

Click here for more information on the World Women Trade Fair.

Visit The Potential Market

2008-06-18T15:31:00.000-07:00

Early on in the export process it may be wise to travel to potential markets and see for yourself where your best opportunities exist. Going abroad prepared with a well thought out plan will help you to get the most out of your trip. Below are a few tips on how to do so.

You should always visit with prospective agents, distributors, or other business partners prior to entering into any agreements. And, arranging to meet with more than one will give you a better idea of the options available to you.
Plan your trip with as much time as possible in advance (at least six weeks). A good investment would be planning your trip with some in-country assistance. This will increase your chances that you will be able to meet the right agents and customers suited for your business goals.
Get all your paperwork in order. Be ready to answer questions regarding price, volumes, capacity and delivery times. Speak with local shipping agents to help determine shipping times and costs.
Read up on the country. Educate yourself on some local customs or issues so that you may ask more informed questions and build a better understanding of the market you are dealing with.
Follow-up on your visit. Within 48 hours of a business meeting contact via email or fax those you had meetings with to thank them for meeting with you and include any follow-up information requested. This will leave a good impression with the potential client that you are a professional with whom they may feel comfortable doing business with.

Commonly Used Payment Terms For International Trade

2008-06-13T13:51:00.000-07:00

Here are some commonly used payment terms used when exporting or importing goods.

Cash In Advance - Upfront cash to the exporter prior to shipment
Letter of Credit (L/C) - A letter issued by a bank that authorizes the bearer to draw a stated amount of money from the issuing bank, its branches, or other associated banks or agencies
Open Account - An unpaid credit order
Consignment - Payment is deferred until goods are sold
Telegraphic Transfer (T/T) - Electronic transfers of funds through banks

Five Strategies For Doing Business in China

2008-06-04T14:28:00.000-07:00

China is the third largest economy in the world and growing larger everyday. With such an enormous population and resources it is a market every businessperson needs to consider as an opportunity. Besides a language barrier the Chinese culture of doing business may be very different from one's own country. So when considering doing business with Chinese it is important to gain a general knowledge of some common Chinese business practices and norms.

Bill Quarless is president and CEO of Impact Products and has significant experience in doing business with the Chinese has compiled 5 strategies for doing business effectively in China. Below is a general summary of these strategies.

"Prepare to be patient" - Doing business in China is a long process with many meetings required to finish any deal.
"Approach with a trusted friend" - Because building a personal and trusting relationship with business partners is essential to the Chinese, having a contact who already knows the people you are trying to do business with can give you a jump start on the process.
"Socialize to build trust" - Business and friendships are intertwined in China. For the Chinese it is imperative to get to know prospective business partners on a personal level, so you should be prepared to socialize as much if not more than talk business.
"Give face to create goodwill" - Saving face is one pf the most important things to the Chinese. Losing self-control can quickly ruin a deal.
"Emphasize your value" - To speed up and increase the chances of negotiations running smoothly, express what your assets and what you can bring to the table from the beginning and often.

Source: The Art of Negotiation by Bill Quarless

Protect your Intellectual Property Rights

2008-05-28T13:47:00.000-07:00

When trading products internationally today it is essentially to understand your product's intellectual property rights and how to protect them. Intellectual property is defined by the World Intellectual Property Organization (WIPO) as "creations of the mind: inventions, literary and artistic works, and symbols, names, images, and designs used in commerce." With the rapid growth of technology it has become increasingly easier for people to imitate and sell a product or trademark illegally. Furthermore, because of the international inequities in terms of protection and laws established in various countries regarding intellectual property rights, it is often difficult to protect those rights across international borders. However, there are three main manners of protection available for your intellectual property rights: patents, trademarks and copyrights.

Patent - Gives an owner exclusive rights over an invention
Trademark - Basically a brand name: a word, symbol, name or device that identifies the source of goods.
Copyright - Protection for works of authorship

These are all available to obtain in the US but only offer any protection inside the US. To protect your intellectual property rights abroad you must obtain patent rights in each individual country. Visit WIPO's Guide to Intellectual Property Worldwide, for more information on different countries' requirements on obtaining property rights.

Increased Financing for Guatemalan Buyers of US Goods and Services

2008-05-21T15:23:00.000-07:00

The Central American Bank for Economic Integration (CABEI) has granted a $10.6 million credit facility to Bantrab (Banco de Los Trabajadores) a private, worker-owned Guatemalan financial institution. The credit facility is guaranteed by the US Export-Import Bank, and its purpose is to increase financing to the 800,000 shareholders of and corporate clients of Bantrab, to foster increased business between US companies and Guatemalan buyers.

The US Export-Import Bank finances the sale of US exports especially in developing countries, such as in Central America, by guaranteeing loans, providing export-credit insurance, as well as direct loans. All with the purpose of creating and sustaining US jobs.

Much of the money will be directed to Guatemalan customers who are in need to financing to purchase US goods they desire. It is hoped that the $10.6 million will increase the demand of US goods and services in Guatemala and provide a means to satisfy that demand.

International Sales Boost Earnings for Wal Mart

2008-05-14T15:34:00.000-07:00

During times of economic hardship including increasing costs of food and fuel, Wal-Mart Stores, Inc. has still managed to increase earnings and even surmount first-quarter earnings predictions. Wal-Mart is attributing this to a 22% increase in the company's international sales. Net sales jumped from $85.4 billion last year to $94.1 billion. (Wal-Mart Earnings Report)

Revenue from the United States based company's international stores is continually growing and becoming a larger piece of Wal-Mart's total revenue. Currently international revenues make up a quarter of the firm's total revenues.

While not every company can realistically hope to become as large a business as Wal-Mart, they should take note at the importance of expanding their businesses globally. Especially when markets such as the US are experiencing slowdowns in sales, many US companies may be able to look to outside markets to continue increasing sales.

Source: Wal-Mart Stores Inc. Earnings Report

US Ranks 15th in Terms of Broadband Access

2008-05-07T12:47:00.000-07:00

This year US has been ranked 15th when compared to other countries in terms of broadband access, speed and price. This may come as surprising to many who think of the US as a world leader in technology. However, over the past seven years the US has fallen in this ranking every single year. The ranking is part of a report released by the Information Technology and Innovation Foundation exploring broadband leadership throughout the world.

So why is the US, a country so rich in resources falling behind when compared to other nations in broadband quality and accessibility? It seems that the country is divided between two differing points of view on how to handle the issue. On one side there exists a large number of so-called "market fundamentalists" who believe the broadband market in the US should be left alone, with little or no role to be played by the government. The other side is composed of those who believe the large corporations that own the broadband companies are fostering this problem and an increase in the government's role (such as more and stricter regulations and even government ownership) is necessary to ensure growth and competition in this sector of the economy.

Source: "Explaining International Broadband Leadership". ITIF, May 2008.