Only 3.9% of the 6 million small businesses in the United States are exporting goods today, as opposed to 8% of European companies of similar size, based on data released by London-based financial services company World First.
With more than 70% of the world’s purchasing power, foreign markets offer lucrative opportunities for businesses to thrive. The total value of worldwide B2C cross-border ecommerce is expected to reach $424 billion by 2021, the same source reports.
The advantage of doing business in foreign markets has been well-established: Indeed, U.S. companies selling internationally are 8.5% less likely to go out of business, Small Business Trends reports.
For small businesses, ecommerce is a relatively simple and inexpensive way to reach customers worldwide. Fully 66% of consumers make ecommerce purchases from sites outside their home countries, World First notes.
However, many small business still are ill-equipped to take advantage of the international markets: 28% of them have no websites for ecommerce.