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Small businesses in Orange County are more...

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Small businesses in Orange County are more likely to be selling overseas than their counterparts nationwide, according to a survey by the accounting firm of Arthur Andersen & Co.

Thirty-seven percent of about 500 surveyed small-business executives in the county said their companies had revenue from exports in 1988. The nationwide figure, based on 21,000 surveyed executives, was 28%.

Slightly more that half the respondents in Orange County said their companies could increase exports if certain barriers, such as lack of information or know-how, were removed and effective incentives established. How much of your revenues are derived from exports? LOCAL None: 63% Up to 5%: 21% 6-10%: 7% 11-25%: 5% More than 25%: 4% U.S. None: 72% Up to 5%: 17% 6-10%: 5% 11-25%: 3% More than 25%: 3% What is the most significant barrier to your starting or expanding export sales? Lack of information or know-how: Local: 62% U.S.: 72% *Other reasons: Local: 35% U.S.: 34% Cost of competition: Local: 17% U.S.: 18% Financing difficulties: Local: 9% U.S.: 6% Relative strength of the dollar: Local: 2% U.S.: 5% * Non-export business, foreign regulations, lack of desire, limited foreign market. Which incentives should be established or enhanced to encourage exporting? Greater availability of information ** Local: 55% U.S.: 53% Tax incentives Local: 30% U.S.: 39% None Local: 18% U.S.: 15% Government-sponsored loan programs Local: 10% U.S.: 13% Other Local: 7% U.S.: 10% ** Includes market research, legal and business requirements, tax issues. If trade barriers were removed and effective incentives established, how much could you increase your revenues through export sales? Local None: 49% Up to 10%: 26% Up to 25%: 14% More than 25%: 11% U.S. None: 57% Up to 10%: 25% Up to 25%: 12% More than 25%: 6% Source: 1988 Arthur Andersen Small Business Survey

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