CEO Global Insights
The U.S. Commercial Service is dedicated to connecting U.S. businesses with prospective buyers and partners from the most promising international markets. To this end, we’re pleased to bring you our CEO Global Insights Series—Q&A’s we’ve conducted with CEOs and leaders in international trade designed to provide you with unique, unfiltered perspectives on what it takes to succeed in markets around the world.
Combustion Associates, Inc (CAI) is a minority, woman-owned multidisciplinary engineering and manufacturing firm specializing in custom engineered solutions to the renewable energy, process and environmental industry clients. With a business model using gas turbine power generation technology coupled with mobility and multiple fuel options to produce electricity, the company saves its clients time and money while meeting environmental safety conditions. CAI has clients in many countries around the world and is a growing global enterprise.
How important has exporting been for the overall growth of CAI?
Exporting has been a tremendous source of growth for CAI and it really has expanded our horizons while bringing in large portion of our sales. We first exported to China in 1995 and since then we have really stepped out into the global markets. We have worked with few of Central American countries as well as some of West African countries such as Ghana, Nigeria, Togo, and Benin. Today, CAI employs over 60 people as compared to only my husband and I back in 1991.
The going green trend and the global concern for clean energy have become very dominant in last decade. How has your business dealt with changing attitudes of global consumers?
The quest for clean energy is big part of our industry today and we take it very seriously. As a result, throughout the years we have continued to invest in R&D to bring the most efficient models to our customers. Our generators are equipped to use variety of fuels even those that are projected as most likely to be available in the future. As a small business we strive to keep up with the innovation to stay competitive in the global markets.
Kusum Kavia, CEO of
Combustion Associates Inc.
What cultural barriers have you ran into as a result of being involved in global markets?
Language can be an issue at times. In Benin all of the documents had to be translated to French, and yet still there was a sense of feeling that there is always something lost in translation. However, meeting one on one with our clients has always helped gain sense of trust and partnership. Even the body language at the meeting can convey that we are more than just about this sale and that we are willing to work with our clients, help them with financing, training, and stick by them in the future. The one on one experience can really influence the outcome of a project or potential sale.
What trends have you seen in your customers as a result of current economic situation?
They are definitely more jittery about their investments. They want to see the load studies, risk analysis and they are becoming savvier. They are doing their homework and want to make sure they are making safe investments. Also, they are considering how economical the equipment is and are more and more looking to the future rather than just now and today. Being an American company we do have an advantage as our products are perceived as quality goods and that often plays a big role in our competition strategy.
Following up on the above question, are their certain adjustments you’ve made in your sales strategies to help retain or attract new customers in the current economic environment?
On one of our recent projects in Benin, our strongest competitor was China. The call was close, but what really pushed the customer towards us was that we were willing to train them to operate the equipment while Chinese were looking to bring in their own people. We were flexible and decided to take an extra step forward and as a result, we got the sale. Being in the mindset of exploring all possibilities and at times offering some leniency has been one of our reliable strategies.
As a woman business owner, are you faced with any particular challenges in the international market?
Different cultures have different impressions on woman’s role in society but I can’t recall any specific barriers that have occurred. Being an only woman in a room full of suits can definitely be more than an interesting experience and sometimes I find myself injecting humor into a stiff and serious atmosphere. Creating comfort and relaxed mood is a big part of any successful meeting and in some way being a woman has contributed to that.
What have you learned as a result of your exporting activities and what advice can you give to other companies who maybe considering stepping out into the global markets?
Something that I have always said is don’t put all your eggs in one basket. Exporting was really crucial to us as it helped us survive the downturn in the economy with our diversified portfolio of products and markets. If there is anything I could have done differently it would be going to U.S. Commercial Services sooner and not waiting ten years to do so. I have lived on three different continents and nowhere else have I seen such beneficial resources offered by the government for the small business. We have to utilize these services because they are our tax dollars and at the end it is what makes us good citizens. Small businesses are backbone of our economy and not using the resources available is a waste.
What is your long term view of the economic situation?
I think financing will play a huge role in our exporting efforts. Often foreign buyers are looking for help with financing and it is our Export-Import Bank that provides working capital loans and guarantees. Their key role is clear and often our success is dependent upon them. I am hopeful for the future in that they will realize their crucial role and continue providing financing for small business and foreign buyers. A small business is a growing business; that has always been my philosophy.
With its network of offices across the United States and in more than 80 countries, the U.S. Commercial Service of the U.S. Department of Commerce's International Trade Administration utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. For more information, visit www.export.gov.
The Commercial Service assumes no responsibility for the accuracy, completeness, or timeliness of the interviewee’s responses or for decisions made in reliance on any information provided in this interview. The information, ideas, and opinions expressed in this interview are those of the interviewee, not the Commercial Service. This interview is for informational purposes only and does not constitute an endorsement by the Commercial Service of the interviewee, the interviewee’s company, or its products or services.
