Q & A . . . with Don Morandini

Don Morandini, MCPED Deputy Director, recently returned from a trade mission to India.  In this issue, eMacomb gets the scoop on the trip.

Q:  You participated in a 10-day trip to India as part of a trade mission with Automation Alley.  Why was it important for Macomb County to be represented on this excursion?

The excursion gave Macomb County an opportunity to introduce itself to Indian companies and business groups.  We had a chance to describe the many benefits that our area has to offer to business. 

Since 1991, India has become second only to China as the world’s fastest growing economy. India’s double-digit growth will continue to fuel demand for American products and services.

Macomb County businesses must be prepared to face increasing global competition.  Our companies would be wise to consider international trade opportunities as a viable option for diversifying their customer base.

One of the firms that participated in the mission confirmed that although their 2006 domestic sales were down by 30 percent, their international sales had more than made up for the loss.
We must also be very cognizant that businesses throughout the world are recognizing the potential that India holds.  We asked our representatives from the U.S. Department of Commerce whether they were hosting any other delegations in October.  We were told that four more groups were visiting after us:  the states of Minnesota and Utah, the City of Los Angeles and Dade County, Florida.   Keep in mind that the identified groups only represent those that asked for the assistance of the federal government.  There may we be others, certainly other countries, looking to capitalize on the economic boom that is taking place in India.

 

Q: How many others participated?  Who were they?

Eight companies participated on the trade mission. Two from Macomb County:  Elite Mold & Engineering (Shelby Township) and Enterprise Automotive Systems (Warren).

Other companies included Auto-Craft Tool & Die Co. (Algonac), Clayton & McKervey, P.C. (Southfield), Detroit Metropolitan Airport, Fluxtrol (Auburn Hills), Global Technologies, Inc (Auburn Hills), and Lotus Bank (Novi).   Other participants included representatives from Automation Alley and Oakland County Planning & Economic Development Services.

 

Q: What role did the U.S. Department of Commerce play in this excursion? 

The department provided “Gold Key Service” that included a schedule of pre-screened matchmaking meetings for each company that participated.  In each of the four cities we visited, each firm had 10-12 meetings scheduled with Indian companies that had expressed interest in their business sector.

 

Q: What are the greatest challenges that Macomb County companies might need to overcome in order to partner with Indian companies?

The biggest hurdle for many of our companies is the need to begin thinking globally. For some, that may be beyond current comfort levels.  Many do not know where to begin.  That is truly the beauty of participating in these types of excursions.  Automation Alley and the U.S. Department of Commerce is willing to “hold your hand” through your first visit.  They schedule business meetings, make airline reservations, book hotel accommodations and arrange for travel throughout the trip.   Support staff are on hand to deal with routine matters and handle the inevitable problems that may arise so that each business can concentrate on their core objectives.

 

Q: What types of products are in high-demand in India?

Leading sectors for U.S. exports, as identified by the U.S. Department of Commerce, include computers, educational services, electric power generation, food processing, machine tools, medical equipment, pollution control equipment and telecommunication equipment.

 

Q: What advice do you have for a business that may want to expand their market to this part of the world? 

Of course, I would be happy to speak with any Macomb County company that is giving this option serious consideration.  Beyond that, companies should consider participating in an organized trade mission to “get their feet wet.” As with any other marketing opportunity, companies must research the markets and meet with the clients to determine their needs.

The process can begin by working with the U.S. Department of Commerce staff to help assess potential international opportunities. Once an industry or geographic area has been identified, firms can participate on trade missions with organizations like Automation Alley to help facilitate the travel arrangements. U.S. Commercial Services can help schedule those matchmaking meetings with foreign companies that have been pre-screened.

 

Q: Each new location offered “matchmaking meetings” – what were some of the most productive meetings you had and why?

I participated in many of the scheduled meetings with the Macomb County businesses in attendance.  One of the most eye opening experiences was that no matter what type of business we met with – large or small – every Indian company had a global strategy.   All viewed their market from a global perspective, whether they had ten employees or a thousand. 

It was also quite interesting to tour the automotive and technology firms such as Tata Motors Ltd. (www.tatamotors.com), Wipro Technologies (www.wipro.com), and Infosys (www.infosys.com).  They shared their business models and provided insight as to how they approaching both their domestic and global markets.   For example, Tata Motors is scheduled to introduce a car to the Asian market next year that will cost less that $2,500.

 

Q: Between matchmaking meetings, briefings and travel, the itinerary was packed!  Aside from business, what was the most interesting thing or place that you saw?

While we spent the majority of our time in hotels, on planes and in buses, we were able to see some of the rich history of India as reflected in their architecture. It is truly a beautiful country. One does recognize the challenges that India has with the large number of people in poverty and the non-stop traffic in the cities. In the true spirit of entrepreneurship, there are people in the hotels that you can (and should!) hire to help you cross the incredibly busy streets of India.