KPMG: American Firms Will Expand Their Global Presence in Coming Years

By Kalen Smith, Big4 Blogger

A new report from KPMG found that medium sized businesses in North America intend to grow their presence overseas in the coming months. The report is based off of surveys of companies throughout the United States, Canada and Mexico.

According to many experts, businesses hope to reduce their exposure to the challenges wrought by the global economy. Members of the European Union and European Central Bank have been struggling to contain the European debt crisis. The economies in China and other Asian countries have been slowing in the past few months.

Despite the challenges experienced in the global economy, businesses still feel there are many opportunities in expanding their markets overseas. Nearly two thirds of businesses that participated in KPMG’s survey said the revenue they have earned from foreign markets has increased in the past three years. They are optimistic that their revenue from foreign websites will continue to increase in the future years.

Most businesses expect their foreign earnings to increase by approximately a third in the coming years. A lack of domestic opportunities has convinced many businesses that the best opportunities for expansion exist outside their home country. Nearly six out of seven of the survey participants said foreign partnerships would be the best way for them to expand their operations.