Do I pursue the riskier opportunity with more upside or the safer one?

Dear Aunty B,

I have two export opportunities in the New Year to pursue and as much as I would like to I can’t pursue both because I don’t have the resources.

One of the export opportunities is to New Zealand and the other is to Malaysia. I prefer Malaysia because I have very good contacts there (my wife is Malaysian and her family are in a similar business), I have a few Malaysian staff who were educated in Australia and it will be a great springboard into Asia.

But my mentors and my chairman are advising me to walk before I run and dip my toe into export by going to New Zealand. Any ideas would be very helpful Aunty.

Mick D,
Sydney

Dear Mick,

I think the idea of going to New Zealand first when you want to dip your toe into export is as outdated as the word export itself. We are really in a global trading marketplace and you go to the region where there is the most opportunity.

Actually, I think that was probably relevant decades ago. I remember Phil Ruthven from IBISWorld telling me they decided to take the toe in the water approach by heading off to New Zealand over the US. And he conceded that although the US was harder, he should have gone there straight off.

As he explained, it took a lot of time and resources to get the ball rolling, but the opportunities were so much greater in the US than New Zealand. And that is what you must consider in the end. For a little more outlay you get a lot more opportunity.

The fact that you have such strong Malaysian connections and you see it as a springboard into the rest of Asia means to me that it is a no brainer. Go east young man!

Be smart,
Your Aunty B

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