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basic-guide-to-exporting_Latest_eg_main_086196

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was guaranteeing the debt of the cus<strong>to</strong>mer wascorrupt. The officers of that bank ran away withall the money and left Pat<strong>to</strong>n holding the bag.He went <strong>to</strong> the Department of Commerce whocontacted the U.S. ambassador. Pat<strong>to</strong>n recalled:“The ambassador went <strong>to</strong> bat for us in Algeria<strong>to</strong> try <strong>to</strong> recover that money. So that was agreat benefit.”Pat<strong>to</strong>n also had competitive deals in Moroccothat looked like they were not so competitiveand appeared <strong>to</strong> be wired for a particular vendor.“We were able <strong>to</strong> exercise some U.S. CommercialService consulting <strong>to</strong> have the U.S. ambassadorthere also talk <strong>to</strong> the minister of communicationsand let him know that the United States was veryinterested in this particular deal. Just knowingthat other people were watching kept that on theup and up and made it possible for us <strong>to</strong> win somebusiness in Morocco.”Lessons LearnedWhen the company started, Pat<strong>to</strong>n immediatelyb<strong>eg</strong>an <strong>to</strong> look for international buyers. He used adirect mail campaign and also attracted inquiriesfrom his website. Then he got on an airplane andwent <strong>to</strong> Europe <strong>to</strong> see some of the contacts, andwhile there he found others in local phone booksand called them from his hotel.At that stage, <strong>exporting</strong> was a very small part ofthe business. Now, though, it has become about75 percent of all revenue. Through persistenceand planning, Pat<strong>to</strong>n now has thousands of resalechannels in about 125 countries on nearly everycontinent. Devices are made in the United Statesand shipped around the world.As the business grew, Pat<strong>to</strong>n added staff outsideof the United States, mostly in sales and technicalsupport roles. He explained: “A big part of our go<strong>to</strong>-marketstrat<strong>eg</strong>y is <strong>to</strong> be able <strong>to</strong> communicatewith our cus<strong>to</strong>mers in their language. So we havelocal language capability for technical support andfor sales as well.”Pat<strong>to</strong>n said he learned a lot about business,including the international side, from his dad,whom he calls “a serial entrepreneur.”“He modeled a lot of things for us. My father has10 children, so a big family. And we used <strong>to</strong> gatheraround the dinner table, and he would havebusiness meetings at the dinner table and a lot ofus kids would be listening in. So it was just par<strong>to</strong>f the culture growing up—conducting businessat home and working with international repsand channels.”Pat<strong>to</strong>n is also an ardent believer in the power ofU.S. manufacturing as a powerful brand. “I thinkthe future for U.S. manufacturing is bright.”He said: “We have a competitive advantage justbecause of our brand recognition. So there’s hugeopportunity there. And the biggest thing thatkeeps people from entering in<strong>to</strong> new marketsand new spaces is fear. And it’s mostly fear of theunknown. What I can say is that people are peopleeverywhere I go, that it’s really enjoyable <strong>to</strong> get <strong>to</strong>know people in other markets. They have familiesand kids <strong>to</strong>o, and they are trying <strong>to</strong> make money,and they have a lot of the same motivations. Andit’s very easy <strong>to</strong> get along with people once youstart talking the language of commerce.”Success S<strong>to</strong>ry: Pat<strong>to</strong>n Electronics Company181

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