Category Archives: Economics

Export Financing Made Very Simple

FUNDING BUTTON LINK

The Douglas E Castle Consultancy

The export of goods and services overseas has never been as profitable or as possible as it is right now. With a slightly deflated dollar and an ever-increasing overseas demand for products made in the United States due to increasing consumerism amongst the emerging economies, creating an export channel or division to your business is a wise choice in terms of broadening your customer base and diversifying your sources of revenue in a tempestuous domestic economy.

With a computer (I like to utilize Skype), a telephone and a comfortable chair, many companies in the United States can create virtual export divisions at minimal cost — without ever taking a single plane trip. To learn more about this please feel free to contact me at http://bit.ly/CASTLEDIRECT . You’ll receive the help that you’ll need. This is the easy way to get started if you’re not already in the export business, or if you’ve just gotten started but need a bit of confidence bolstering and guidance.

If you prefer to engage in the business yourself, remember that as an exporter you face risks that most businesses never have to consider. When most banks hear the term “export,” they usually become hesitant to lend, or to issue any type of loan or credit guarantee (remember Letters Of Credit? That’s almost nostalgic nowadays). The good news here is that the Export-Import Bank of the United States currently has a program which guarantees up to 95% of exporter financing – externalizing your risks associated with both trade transactions and larger international projects.

If you’d like to learn more about this exporting program, you can receive a download about export and exporting guarantees from EX-IM by clicking on https://www.mediafire.com/?bo01q35e3so0etm .

The export business is only getting better … and the time to begin (if you haven’t started already) is today.

Douglas E. Castle

The Douglas E. Castle Consultancy offers a complete suite of business consulting and advisory services for organizations ranging from seedling, "bootstrapped" startups, through established small- to medium-sized enterprises conducting commerce both domestically and internationally.



***************
This site is proudly affiliated with Global Edge International Consulting Associates, Inc. ["GEI”]
Free Subscription to The GEI Business Daily!
Sign Up For Our Free GEI Newsletter!
Receive Our Free GEI RSS Feed!

***Follow GEI's Company Page On LinkedIn!

Share Button
MOSAIC HUB BUTTON FACEBOOK LIKE BUTTON - GENERAL TWITTER FOLLOW BUTTON GENERAL

Marketing Appeal: “Made In America” – By Douglas E. Castle

FUNDING BUTTON LINK

The Douglas E Castle Consultancy

U.S. Exports Month-By-Month, Commencing 2008 -- Douglas E. Castle -- The Internationalist Page

 

Marketing
Appeal: “Made In America”

Once “Made
In America” Was Simply An ‘Inside’ Patriotic Slogan;

But Today
The Cachet Of “Made In The USA” Has become Very Magnetic For
Attracting Foreign Consumers.

Originally
Published In
The Internationalist Page
Blog

Increasingly, the “Made In U.S.A.” label is moving more foreign consumers (particularly wealthier consumers in emerging nations) to purchase American exports, especially fashion and luxury items. And this appeal is starting to drive foreign sales of other types of American-manufactured goods as well. The underlying motivation is status, and this status is associated with the overseas perception that Americans are a very wealthy people who spend a great deal on everything, without regard to cost. This bodes well for the U.S. Balance Of Trade, and for U.S. small- to medium-sized businesses who are in, or who are moving into, the export business.

The following is excerpted From a U.S. EX-IM Bank press release dated November 4th, 2014:

Washington, D.C. – Ex-Im Bank Chairman and President Fred P. Hochberg issued the following statement with respect to September’s export data released today by the Bureau of Economic Analysis (BEA) of the U.S. Commerce Department. According to BEA, the United States exported $195.6 billion of goods and services in September 2014.

“These numbers clearly demonstrate that products stamped ‘made in America’ are sought after in markets around the globe,” said Hochberg. “Ex-Im Bank is proud to support U.S. exporters and their workers as they expand their sales in the global marketplace, and create quality, middle class jobs here at home.”

Exports of goods and services over the last twelve months totaled $2.3 trillion, which is 47.5 percent above 2009 levels, and have been growing at an annualized rate of 8.5 percent over the last five years.”

There has never been a better time to enter the export business (especially for durable goods and services) than at present. While there are excellent government guarantee, financing and informational programs available through the SBA, the Department Of Commerce and the U.S. EX-IM Bank, it is generally worth the relatively minimal expense of retaining a consulting firm or solo consultant who can assist you in navigating these government programs and positioning yourself with international representatives, agents, distributors, logistics services, customs guidance and the like.

Interestingly, while the cost of market entry into global business is very small, the widespread perception among many business owners is that moving into export is an expensive and time-consuming proposition requiring a great deal of travel and large credit facilities. Nothing could be further from the truth. It is quite any easy matter for virtually any producer of durable goods or non-geographically-centered services to establish a virtual export division. And both the credit facilities and the payment guarantees are easy to obtain if you utilize the services of a professional to get you started, systematized and running.

If more eligible businesses were to open virtual export portals, the private sector of the United States would be generating even more full-time jobs and contracting opportunities than it currently is. This is highly desirable.

Instead of merely looking toward overseas markets to source materials and to outsource labor, many U.S. Small- to medium-sized enterprises would be better served by selling their domestically-produced or generated products or services overseas at the market premium that emerging economic countries’ consumers are more than willing to pay for the “Made In America” cachet.

If you or your company would like to get more information regarding the setting up of a virtual export division, please feel at liberty to contact the author by going to http://DouglasECastleConsultancy.com, or by clicking directly on http://bit.ly/CASTLEDIRECT. The time could not be better.

Douglas E. Castle

NOTE: THE INFORMATION CONTAINED IN THIS ARTICLE SHOULD NOT BE CONSTRUED BY THE READER AS BEING LEGAL, FINANCIAL, TAX, ACCOUNTING, ECONOMIC OR INVESTMENT ADVICE. NO OFFERING OF SECURITIES OR OTHER INVESTMENT INTERESTS OF ANY TYPE IN ANY ENTITY IS MADE HEREBY, NOR IS A SOLICITATION FOR THE PURCHASE OF SECURITIES OR OTHER INVESTMENT INTERESTS OF ANY TYPE IN ANY ENTITY MADE HEREBY. THIS ARTICLE IS INTENDED FOR GENERAL INFORMATIONAL PURPOSES ONLY AND REPRESENTS THE VIEW OF THE AUTHOR ONLY.

THIS ARTICLE IS COPYRIGHT 2014 BY DOUGLAS E. CASTLE, WITH ALL RIGHTS RESERVED. ANY REPRODUCTION, TRANSMITTAL OR DISTRIBUTION OF THIS ARTICLE, EITHER IN WHOLE OR PART, IS UNAUTHORIZED AND MAY BE UNLAWFUL, UNLESS FULL ATTRIBUTION IS GIVEN TO THE AUTHOR AND ALL IMAGES AND LINKS IN THE ARTICLE REMAIN INCLUDED AND “LIVE.”

http://theinternationalistpage.blogspot.com

A discussion of international business, events, markets, joint ventures, currencies, outsourcing, offshoring and financing, importing and exporting, as well as global sources of goods, services, labor, capital, trade guarantees, credit insurance and emerging markets.

Key Terms: international, global, business, trends, prediction, foreign exchange, outsourcing, supply chain, offshoring, import and export, emerging markets, the world economy, trade balance, trade finance, foreign direct investment, joint ventures, sovereignty, cultural sensitivity, diversity, emerging markets, INCOTERMS, tariffs, International Business Companies, asset protection trusts

The Douglas E. Castle Consultancy offers a complete suite of business consulting and advisory services for organizations ranging from seedling, "bootstrapped" startups, through established small- to medium-sized enterprises conducting commerce both domestically and internationally.



***************
This site is proudly affiliated with Global Edge International Consulting Associates, Inc. ["GEI”]
Free Subscription to The GEI Business Daily!
Sign Up For Our Free GEI Newsletter!
Receive Our Free GEI RSS Feed!

***Follow GEI's Company Page On LinkedIn!

Share Button
MOSAIC HUB BUTTON FACEBOOK LIKE BUTTON - GENERAL TWITTER FOLLOW BUTTON GENERAL

Your Business: Management Versus Leadership – Douglas E. Castle

FUNDING BUTTON LINK

The Douglas E Castle Consultancy

Your Business: Management Versus Leadership

There Are Significant Distinctions Between Management And Leadership

Article By: Douglas E. Castle

Originally Published In The TAKING COMMAND! Blog

Leaders lead people. Manager manage tasks. There is a significant difference.

In my practice of Management Consulting, I have met managers and I have met leaders. It is clear that some managers are terrible leaders, and some leaders are very poor managers. It is rare that I have met a manager who was a great leader, or a leader who was a great manager. The skill sets and functions of each are quite different, and these differences are important to understand. Each of these two can play a valuable role in the success of any organization, or directly in the revenue production, profitability and market position of your business.

Here is a brief outline of the key differences between the two roles:

The manager’s job is to plan, organize and coordinate. The leader’s job is to inspire and motivate. In his 1989 book “On Becoming a Leader,” Warren Bennis composed a list of the differences:

– The manager administers; the leader innovates.

– The manager is a copy; the leader is an original.

– The manager maintains; the leader develops.

– The manager focuses on systems and structure; the leader focuses on people.

– The manager relies on control; the leader inspires trust.

– The manager has a short-range view; the leader has a long-range perspective.

– The manager asks how and when; the leader asks what and why.

– The manager has his or her eye always on the bottom line; the leader’s eye is on the horizon.

– The manager imitates; the leader originates.

– The manager accepts the status quo; the leader challenges it.

– The manager is the classic good soldier; the leader is his or her own person.

– The manager does things right; the leader does the right thing.

Perhaps there was a time when the calling of the manager and that of the leader could be separated. A foreman in an industrial-era factory probably didn’t have to give much thought to what he was producing or to the people who were producing it. His or her job was to follow orders, organize the work, assign the right people to the necessary tasks, coordinate the results, and ensure the job got done as ordered. The focus was on efficiency, and personalities and individualism in employees were low priorities if regarded at all.

But in the new economy, where value comes increasingly from the knowledge of people and of emotional intelligence and industrial psychology, and where workers are no longer undifferentiated “robots” in an industrial machine or mere pegs in a giant pegboard, management and leadership are no longer as easily separated. Employees and workers in general look to their managers, not just to assign them tasks, but to define and provide them each with a personalized purpose, as well as with a view of how their efforts contribute to the whole of what is being produced or provided by the enterprise. And managers must organize workers, not just to maximize efficiency, but to nurture skills, develop talent and inspire results. More specifically, managers have to cultivate team leadership skills in order to be effective and avoid to obsolescence (and the unemployment which usually goes along with becoming outmoded or disrupted in a troubled economy).

In brief, today’s managers are increasingly having to develop leadership attributes in order to deal with the changing demands and needs of the current and upcoming members of the employee workforce. Managers must have, or must acquire, the people skills of leaders in order to get more cooperation, collaboration and synergy out of the employee teams whom they are tasked with managing.

As an added observation, it is, generally speaking, easier to cultivate team leadership skills in a good manager than it is to train and turn a leader into an efficient and effective manager. I’ve participated in both exercises, and the former is generally much, much easier and more likely to be successful than the latter.

Douglas E. Castle

Tags, Labels, Keywords, Categories And Search Terms For This Article: business, management, leadership, team, cooperation, leaders, managers, industrial psychology, people skills, The Taking Command Blog, Douglas E. Castle, employees, inspire.

NOTE: THE INFORMATION CONTAINED IN THIS ARTICLE SHOULD NOT BE CONSTRUED BY THE READER AS BEING LEGAL, FINANCIAL, TAX, ACCOUNTING, ECONOMIC OR INVESTMENT ADVICE. NO OFFERING OF SECURITIES OR OTHER INVESTMENT INTERESTS OF ANY TYPE IN ANY ENTITY IS MADE HEREBY, NOR IS A SOLICITATION FOR THE PURCHASE OF SECURITIES OR OTHER INVESTMENT INTERESTS OF ANY TYPE IN ANY ENTITY MADE HEREBY. THIS ARTICLE IS INTENDED FOR GENERAL INFORMATIONAL PURPOSES ONLY AND REPRESENTS THE VIEW OF THE AUTHOR ONLY.

THIS ARTICLE IS COPYRIGHT 2014 BY DOUGLAS E. CASTLE, WITH ALL RIGHTS RESERVED. ANY REPRODUCTION, TRANSMITTAL OR DISTRIBUTION OF THIS ARTICLE, EITHER IN WHOLE OR PART, IS UNAUTHORIZED AND MAY BE UNLAWFUL, UNLESS FULL ATTRIBUTION IS GIVEN TO THE AUTHOR AND ALL IMAGES AND LINKS IN THE ARTICLE REMAIN INCLUDED AND “LIVE.”

The Douglas E. Castle Consultancy offers a complete suite of business consulting and advisory services for organizations ranging from seedling, "bootstrapped" startups, through established small- to medium-sized enterprises conducting commerce both domestically and internationally.



***************
This site is proudly affiliated with Global Edge International Consulting Associates, Inc. ["GEI”]
Free Subscription to The GEI Business Daily!
Sign Up For Our Free GEI Newsletter!
Receive Our Free GEI RSS Feed!

***Follow GEI's Company Page On LinkedIn!

Share Button
MOSAIC HUB BUTTON FACEBOOK LIKE BUTTON - GENERAL TWITTER FOLLOW BUTTON GENERAL

Multiple Products: Winners Subsidizing Losers?

FUNDING BUTTON LINK

The Douglas E Castle Consultancy

In the above graph, take note of how PayPal's revenues are becoming an increasing component of EBay's revenues. What does this tell us?

In the above graph, take note of how PayPal’s revenues are becoming an increasing component of EBay’s revenues. What does this tell us?

Multiple Products: Are Your Winners Subsidizing Your Losers?

Making The Case For Financial Analysis And Cost Accounting

Know Where Your Profits Are Coming From

By Douglas E. Castle

If your company delivers multi products or services, do you know which ones are contributing to profits and which ones are actually dragging down your potential profitability. Most business owners fail to maximize short- and long-term profitability because they fail to routinely conduct this type of analysis. The greater the number of products or services you provide, the more crucial this type of cost contribution analysis is.

Let’s examine several scenarios (I’ll use the term “product” to include both products and services):

Number 1: The product which generates the highest percentage of revenues costs you the most (direct cost) to produce, and actually renders the lowest profit margin or contribution to fixed cost coverage;

Number 2: The product which generates the highest percentage of revenues costs you more to produce than you charge per unit, so it is a drain on the profitability of your other products, which may be less glamorous, but which generate healthy profit margins;

Number 3: Several products which are small contributors to revenue happen to generate the highest profit margins and are actually subsidizing your company’s greatest revenue-producer, which has a minimal or negative profit margin.

You can make the above determination with the help of some cost accounting and financial analysis – if your accounting staff cannot do this, hire an independent professional consultant to do this work and prepare a report. Then act on that report!

Once you have obtained that report (and the information unearthed is often very surprising) you should take the following steps, although you must occasionally allow a marginal “loser product” to continue in production and sales simply because it is important to your reputation or branding, or because it actually contributes in some way to the sales of the more profitable of your multiple lines. The classic example is the program where you give the razors away at a loss and make all of your profits on the special razor blades or cartridges – specially designed to fit your ‘unique’ razor design:

Step 1: If the market is sufficiently large for a profitable product, consider investing more deeply in marketing that particular product;

Step 2: If a product is inherently unprofitable (and to the extent that it does not stimulate sales of your other multiple products), either stop producing and selling it, or, if the market is large and your competitors are all marginal, consider 1) raising your price per unit, or 2) reducing the cost of production per unit. In some cases, a larger run of production can generate significant economies of scale and increase profit margins for the product on the whole. If neither of these two alternatives are possible, work toweard eliminating that product from your portfolio of offerings.

In viewing your company’s performance, it is not adequate to simply know how much revenue and profit are being generated for a given accounting period – it is every bit as important to know where your profits are coming from (i.e., from which products), and where they are being lost.

Ultimately, by acting on this extremely valuable information, you can optimize your product mix and maximize your profitability potential.

  • Douglas E. Castle

NOTE: THE INFORMATION CONTAINED IN THIS ARTICLE SHOULD NOT BE CONSTRUED BY THE READER AS BEING LEGAL, FINANCIAL, TAX, ACCOUNTING, ECONOMIC OR INVESTMENT ADVICE. NO OFFERING OF SECURITIES OR OTHER INVESTMENT INTERESTS OF ANY TYPE IN ANY ENTITY IS MADE HEREBY, NOR IS A SOLICITATION FOR THE PURCHASE OF SECURITIES OR OTHER INVESTMENT INTERESTS OF ANY TYPE IN ANY ENTITY MADE HEREBY. THIS ARTICLE IS INTENDED FOR GENERAL INFORMATIONAL PURPOSES ONLY AND REPRESENTS THE VIEW OF THE AUTHOR ONLY.

THIS ARTICLE IS COPYRIGHT 2014 BY DOUGLAS E. CASTLE, WITH ALL RIGHTS RESERVED. ANY REPRODUCTION, TRANSMITTAL OR DISTRIBUTION OF THIS ARTICLE, EITHER IN WHOLE OR PART, IS UNAUTHORIZED AND MAY BE UNLAWFUL, UNLESS FULL ATTRIBUTION IS GIVEN TO THE AUTHOR AND ALL IMAGES AND LINKS IN THE ARTICLE REMAIN INCLUDED AND “LIVE.”

The Douglas E. Castle Consultancy offers a complete suite of business consulting and advisory services for organizations ranging from seedling, "bootstrapped" startups, through established small- to medium-sized enterprises conducting commerce both domestically and internationally.



***************
This site is proudly affiliated with Global Edge International Consulting Associates, Inc. ["GEI”]
Free Subscription to The GEI Business Daily!
Sign Up For Our Free GEI Newsletter!
Receive Our Free GEI RSS Feed!

***Follow GEI's Company Page On LinkedIn!

Share Button
MOSAIC HUB BUTTON FACEBOOK LIKE BUTTON - GENERAL TWITTER FOLLOW BUTTON GENERAL

Optimize Your Time, Entrepreneurs And Executives: 3 Steps – Part 1

FUNDING BUTTON LINK

The Douglas E Castle Consultancy

Personal Time Management - 3 Steps - The Douglas E. Castle ConsultancyYour time is your most precious, irreplaceable commodity. You must invest it wisely in order to achieve the tactical moves and strategic goals which you have set for yourself professionally. Optimizing your time utilization requires three basic steps:

1) Identify the crucial areas of your life and you profession or business where you need to invest time — there are 24 hours in a day and 5 days in a week, and you are a Human Being;

2) Determine how much time (and when) you’ll allocate to each crucial area; and

3) Maintain a personal time sheet to account for the use (investment) of your time, and be certain not to deviate from it, unless your results indicate that your investments in specific critical functions need to be either increased, decreased or timed (e.g. ordered) differently.

Some examples of the critical functions in which I must invest my time consciously and carefully follow below. Yours may be somewhat different, but the information which follows night provoke you to think about how you invest your time more proactively and eliminate as much entropy and crisis management from your life as possible:

  • sleeping
  • meditating
  • eating
  • working directly on my business (i.e., undertaking my contractual obligations)
  • networking (generally)
  • cultivating selected relationships
  • listening to and playing music
  • attending to my social media internet presence and blogging
  • evaluating and reviewing the week’s accomplishments
  • planning the following week’s calendar
  • working out at the gym
  • non-business socializing
  • miscellaneous errands

While you might have certain hobbies, activities and interests which we don’t have in common, you are now visualizing your time as a precious commodity that must be allocated to catalyze numerous life functions a much more productive day, week, month, year and career.  It requires that you acknowledge that you life is essentially the business of allocating time to your ultimate and optimal advantage.

Your first few attempts at structuring and executing a time-optimal schedule will be difficult; be patient with yourself and allow for some time at the outset, and anticipate several weeks’ worth of fine-tuning your schedule. You must also anticipate some switching of item positions on your schedules — that is to say that you may allow a certain number of hours for an activity during your week, but those hours may occur on different dates and different times. The schedule template below could prove helpful:

rsz_time_allocation_matrix_template_-_douglas_e_castle

The Douglas E. Castle Consultancy offers a complete suite of business consulting and advisory services for organizations ranging from seedling, "bootstrapped" startups, through established small- to medium-sized enterprises conducting commerce both domestically and internationally.



***************
This site is proudly affiliated with Global Edge International Consulting Associates, Inc. ["GEI”]
Free Subscription to The GEI Business Daily!
Sign Up For Our Free GEI Newsletter!
Receive Our Free GEI RSS Feed!

***Follow GEI's Company Page On LinkedIn!

Share Button
MOSAIC HUB BUTTON FACEBOOK LIKE BUTTON - GENERAL TWITTER FOLLOW BUTTON GENERAL

Inflation Rate Versus The Force Of Inflation – Douglas E. Castle

FUNDING BUTTON LINK

The Douglas E Castle Consultancy

rsz_the_force_of_inflation_-_the_douglas_e_castle_consultancy_-_2014_The inflation rate is simply a government-calculated (you might already be skeptical) statistic which is based upon comparing the cost of a “market basket” of goods with the cost of the same basket from an earlier period. If the cost of the basket goes up, we have inflation; if it goes down, we have deflation — or at least less inflation. Sadly, inflation, as measured, doesn’t take into account several key factors, such as:
1) A change in the composition of the market basket of goods;
2) The true, adjusted value of the dollar;
3) The availability of credit to consumers to make purchases – available credit (i.e., financing things which we cannot afford) drives prices higher, but also affects which of the goods in the market basket we’d eliminate from our consumption if we couldn’t leverage those purchases over time;
4) The availability of employment benefits paid to employees which enables them to get some of the market basket goods as part of their compensation — so that they don’t have to buy them from earnings, savings or on credit;
5)  Sharp increases in the costs of services and goods in increasing demand, but which are excluded from the market basket measurement;
In addition to all of the foregoing flaws in simply computing the rate of inflation (the cost of acquiring the market basket full of goods), government economists fail to compute a more meaningful statistic; I’ve called it the Force Of Inflation. The Force of Inflation is the true effect on how well the economy is doing. It is the difference between the increment of inflation (in dollars or percentage points)  and the actual increment (in dollars or in a percentage) of increase or decrease in the real income to consumers. This Force Of Inflation is a measurement of our ability to actually afford things.
For example, if inflation is measured to have risen 1% in a fiscal quarter, and real consumer income has dropped by 5% on average during that same period, the Force Of Inflation may be 6%. It means that our ability to purchase what we require to live has decreased by 6%. And the consumers feel this more than the inflation rate per se.
The takeaway here is that inflation by itself measures nothing of importance to consumers in a country’s domestic economy, but the differential, or Force Of Inflation truly tells a story about economics and economic recovery. Especially when the distortion in statistics caused by excessive access to credit is adjusted. How many “middle class” families could buy a car, a home or appliances and computer toys without credit? And credit is a self-fulfilling prophesy in terms of inflation — the cheaper and more available consumer credit is, the more that the costs of goods, in or out of the market basket, will rise.
Douglas E. Castle
Enhanced by Zemanta

The Douglas E. Castle Consultancy offers a complete suite of business consulting and advisory services for organizations ranging from seedling, "bootstrapped" startups, through established small- to medium-sized enterprises conducting commerce both domestically and internationally.



***************
This site is proudly affiliated with Global Edge International Consulting Associates, Inc. ["GEI”]
Free Subscription to The GEI Business Daily!
Sign Up For Our Free GEI Newsletter!
Receive Our Free GEI RSS Feed!

***Follow GEI's Company Page On LinkedIn!

Share Button
MOSAIC HUB BUTTON FACEBOOK LIKE BUTTON - GENERAL TWITTER FOLLOW BUTTON GENERAL