Good news from Regus for Kenyan exporters

25 Feb 2013

Regus, the global provider of flexible workplaces, has good news for export-focused East African companies. Latest research by the provider which Nairobi West Midlands Museum Hill's centre celebrated its 5th anniversary last April 2012, gives the thumbs-up to outwardly focused business strategies and suggests that Kenyan companies with links to China and other BRIC nations are particularly well positioned.

Kenya's export position is further supported by the countries recent export plan launched in June 2012 that seeks to narrow the trade deficit and increase exports of processed goods to other African countries and emerging economies.

Regus' second Global Survey report on export business, which canvassed opinion from more than 20 000 senior business managers in over 90 countries, brings the following insights:

The study says firms that trade internationally report better revenues and profits than businesses that stick to their domestic markets.

Regus researchers reported:

50% of global firms that export say they've increased profits over the last 12 months compared with 38% of companies that only trade domestically

59% of companies that export said their revenues had grown compared with 37% of firms focused domestically

China is the most popular market with 48% of businesses exporting there, ahead of Europe (41%), North America (36%), India (31%) and South America (31%)

The most profitable areas for export are emerging markets and Europe

Peter Vieira, area director for East Africa and Zambia notes, "Our report not only spotlights the advantages of export orientation for Kenyan companies, it also highlights exporter concerns.

"These include worries about property and paperwork, an issue raised by 44% of respondents and the challenge of building an image abroad, a concern for 42% of respondents while risk management is an issue for 63%.

"Regus has the network, resources and expertise to help current and potential exporters with challenges such as this."

Vieira says Regus office centres in locations worldwide are positioned in upmarket business areas and are equipped with the latest office and computer technology - bestowing substantial image benefits on client firms and ensuring market newcomers have the support necessary to make a strong impression.

He adds "Property concerns are obviously outsourced to the solution-providers at Regus as clients do not have to invest in bricks and mortar or sign lease agreements that lock them into sometimes onerous conditions.

"This obviously mitigates many of the risks faced by a new entrant to a chosen export market.

"In addition, Regus products like Virtual Office and Businessworld bestow great agility and enable clients to gradually build critical mass and rightsize their operations in specific markets."

Locally, Regus has a presence in Nairobi; regionally, in addition to Kenya, Regus is represented in Madagascar, Mauritius, Tanzania, Uganda and Rwanda. In a desirable export destination like China - which according to South African based Standard Bank, is Africa's single biggest trading partner - Regus currently has 52 locations across 14 regions. Worldwide, the business is represented in over 1 500 locations, 600 cities and 100 countries.

For more, go to www.regus.co.ke