IN THE KNOW
SERVICE INNOVATION AND EXPORT PROMOTION
It would seem that companies here at home have built their strategies around who can be the fastest-follower. We’ve mastered copying the methodology in almost every sector without setting our own strategic focus. Have we identified our signature touch or are we just secure in getting lost in the masses? What efforts have been made to create value, to infuse business with identity? Many have asked, “What identity?” Service Providers now have at their access, the global market. They are able to link aptitude and assets separated by geographical location, time, language, culture and business practices in a way that generates value. Global networks are becoming increasingly important. In order to contrive networks, countries around the world are putting both trade export promotion and innovation of services at the top of their agenda. Thus, a service provider can realize their competitive advantage. Service Innovation is about creativity and entrepreneurship, developing services that did not previously exist, or have been substantially redesigned to meet customers’ needs more effectively. Service Innovation should be knitted to the vision and the culture of a company for potential value generation and should be tightly integrated with the strategy of an organization. On the other hand, trade export promotion is a marketing technique aimed at increasing demand. 32 |
BusinessFocus • December/January 11/12
The emphasis on developing networks forces us into integration both regionally and into the world markets. By virtue of competition, there is constant restructuring for efficient allocation of resources and these external forces will also cause businesses to dwindle and eventually eliminate uncompetitive companies. Innovation used to be solely about products, technology and research and development. Now, there is value generation in services. Services have catapulted to a top priority for developing nations. Countries such as China, Brazil and Mexico have invested in trade promotion agencies respectively. They are vigorously promoting the one stop single window service for customers. They have witnessed astounding advances in foreign trade development, which have lead to a direct promotion in the rapid development of their respective national economies which is a significant source of development finance. Exports can also facilitate technology transfer and the development of productive capacities, and can expand employment opportunities and promote sustainable livelihoods To take the example of China, what is the balance between domestic market growth and export growth? It is more complex than just a case of export is good, domestic is bad. The other related issue is regional integration, where neighboring countries such as Japan target similar sectors. Similarly, within the Caribbean region service providers compete with other entrepreneurs in other islands.
Published on Oct 28, 2013
Published on Oct 28, 2013
As 2011 comes to a close and we enter 2012, the forecast for the world economy continues to be news of job cuts and hints of a "double dip"...