After years of working in domestic and foreign trade and facing the most difficult economic conditions in our country, sanctions and exclusion of Iranian businessmen from many global markets, interaction with manufacturers and branding of various products at the first level of domestic and foreign markets, definitely I can say that in international trade, the biggest weakness of domestic producers is the lack of sufficient knowledge of the foreign market and buyers. Inadequate knowledge includes such things as the target market, current laws in each country for import, commercial and international transport laws, lack of familiarity with the language of international negotiations and contracts. In my experience, I have seen that very reputable companies that produce and own domestic brands have managers who benefit from the least ability in English, and their business managers do not have the slightest knowledge of international negotiations. For this seemingly trivial reason, they prefer to operate only in the domestic market or to have commercial and export interactions with neighboring countries whose intermediaries are familiar with our language. Of course, one cannot ignore the role of very burdensome government laws and bank sanctions that target financial transfers in this lack of export capability. But to want is to be able.
Why should we include export in the goals of a manufacturing company?

   - Increase sales and profits
Due to rampant inflation in our country, people's purchasing power is decreasing, and economic enterprises need to always think about increasing their sales and profits in order to survive.

  - Increasing commercial security
When the company exports its products, it will be present in international markets in addition to the domestic market, so if it is hit in one market, there are other markets to maintain and develop its business activity. In this regard, there is an English proverb that says: "Don't put all your eggs in one basket." The next thing about the check law in our country is that when you sell your product and receive a check for it, it is not clear when this check will become money. In our country, a check is not equivalent to money, it is just a credit document, but in export, when you proceed with knowledge and knowledge, there are many ways to collect claims.

  - Increasing innovation
Companies that go to export, their innovations will also increase, because the goods and services of these companies must be included in the international scale and standard and quality, and they must constantly strive to improve their products and innovate in their business methods.

  - Branding
It is one of the benefits that should be the priority of a company's goals, because branding is one of the money-making parameters in exports. According to the Smiley Curve, the least profit in the supply chain belongs to the manufacturer, and the most profit is innovation, service and branding. Determining the budget for branding is not considered an expense, but an investment that brings double profits to economic enterprises. In this sense, the more the amount of production increases, the more economical the production becomes, because the fixed costs are reduced in relation to more manufactured goods, and finally the finished price of the manufactured goods is reduced.

  - Learning more business knowledge
Companies that export goods, in facing the global market, learn more knowledge, which even makes them more successful in the domestic market.

  - More competitiveness
Enterprises that export products have more competitive power. They learn how to have a healthy competition with their competitors and even interact and cooperate with them and benefit from each other.

  - Use of incentive schemes
Governments consider incentive plans for exporters, which usually include:
1) Export facilities
2) Restitution of commercial profit
3) Tax exemption
4) Granting export awards
5) Obtaining loans with low interest (Of course, it is necessary to explain that these incentives are usually not paid in our country, Iran.)

Dr. Emad Alavi   (DVM)

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CEO's Speech
Dr. Emad Alavi