Make use of trade fairs to spread internationalisation of SMEs products

Dr Hilderbrand Shayo

The 42ndDar es Salaam International Trade Fair just ended few days ago has been greeted as one of successful exhibition in East Africa and Sub-Sahara region.

As numbers do not lie, this year’s exhibitors were coloured by emerging local enterprises, regional exhibitors from Rwanda and Burundi as well as exhibitors from India, Japan, German.

To put statistics in viewpoint, there were 2,956 local enterprises small and medium, 508 international enterprises and representatives from over 33 countries.

In my judgement, trade fair is not only one of the utmost central promotional tools in international marketing, but it is a place where different types of sellers and buyers gather together under one roof to trade their products, ideas, and views and to other a classroom to compare themselves with their peers.

If local small and medium (SMEs) could exploit trade fairs strategically, trade fair can be an exit strategy to international market.

Why? Business growth, leading for instance to increased profit or economies of scale, is usually strongly sought issue for start-up enterprises and especially MSMEs (Medium Small and Medium sized Enterprises).

The target market for such businesses, based on research and personal experience has huge bearing for the internationalisation process since the business environment can clearly differentiate from a country to another.

Although a key question remain, on how prepared are MSMEs to seal deals with same quality on products displayed at trade fairs thereafter, those enterprises that take risks gain access to new market.

Views expressed in this conversation are about the impactof international tradefair(s) on the export ofproducts to gain access to new markets.

Views articulated are based on the diverse products exhibited during the 42nd Dar es Salaam international fair held from 28th June to 13th July 2018.

Assessments targets to share not only the usefulness of international trade fairs as a promotional activity for the expansion of Tanzania products in international market but also to try to analyses how the occurrence of Tanzania trade could gain comparative advantage from its local made products.

Many may dispute my assessment at the exhibition, where I had an opportunity to visit over 85 per cent of local made products were of superior quality compared similar products from abroad.

For competence reasons, I would not deliberate which countries had lesser quality products at the exhibition, but Tanzania industrialist had good products that I think can easily enter foreign market, if assured strategy is put in place.

To enter in international market, international trade fair held in different countries helps as a mediator between the national sellers and external buyers.

Trade fair specialists and organiser, for ExCeL London exhibition near Royal Victoria Dock, 1 Western Gateway expressed to me last year that about 2000 trade fairs are held annually in different part of the world comprising more than 70 countries, some on specific products.

What I learnt from these connoisseurs is that involvement in international trade fair is not only meant to encourage immediate sales at the exhibition, but it supports new businesses to familiarize themselves in the international set-up and the firms already in the market can upsurge their market share or introduce new products.

For new companies with eager to increase their market share, non-selling objective might be better than immediate sales.

At a bigger picture, any economic growth of the nation depends upon theexport of thecountry. It is from export where a country can create wealth for its people.

Thus why,thrust to turn our nation towards industrial development at whatever level is indispensable now than ever before.

When products are produced, take part in international trade fair aids to give the message and information about the product in the world market.

Therefore, the international trade fair held around the world and significantly in Tanzania or Burundi or Rwanda or Kenya etc. participation on those fairs could help to promote regional export as a economic block.

This could support other single projects aligned in the region like: - single currency, single language use, etc.

Perhaps we might be in different world, but through studies, in today’s competitive market, it is important to maintainthe image of the enterprise regionally and globally if an enterprise wants to sustain its market share.

For this, SMEs enterprisesto trade have to participate in international promotional fair activities.

International trade fair supports to form theimage of exportable products and organizations in international market.

International trade fair such as ended 42nd DITF helps the industrialists of different nations come together.

Through this, the businesses can not only recognize their competitors and their competitive advantages but can share experiences and ideas with each other that in a way can help to gauge what is needed to increase access to market.

For least develop countries such as member states in the east African region economic block, it is more important as enterprisescan learn more about the business from other countries.

In today’s economical world each nation has to be strong enough to compete with other for economic development of the country.

Export trade of the country determines the economic development of the country.

Instead of displaying on local trade fair only, taking part in other international fairs as exhibitors and not viewers need to be encouraged.

In my view, this is important because government would get advantages to know about the sector wise comparative advantage in international trade and if it desires office bearers, appropriate policies with right incentives on such sector can execute.