Action needed to increase spillovers from multinational firms to indigenous businesses - SFA

Wednesday, 25 April 2018

•Action needed to increase spillovers from multinational firms to indigenous businesses

•Currently Irish suppliers account for just 10% of purchases made by Irish-based MNCs

•New practical guide from SFA on how small firms can become part of MNC supply chains

Launching the Business Connect Report, a new guide from the Small Firms Association (SFA), SFA Director, Sven Spollen-Behrens, stated: “Ireland has a unique business ecosystem with almost a quarter of a million small firms operating alongside some of the world’s largest corporations. We want to see a much larger spillover effect from the multinationals to indigenous businesses in terms of trade, productivity and innovation. The most effective way to achieve this is by connecting large and small companies in a supply chain, but currently Irish suppliers account for just 10% of purchases made by Irish-based MNCs.”

The Business Connect Report is a practical guide for small companies that would like to become a supplier to a larger company. Based on discussions at the SFA/Ibec Business Connect marketplace event in February 2018, the report contains insights and advice on issues including:

•How to find out about B2B opportunities
•Establishing relationships in your target organisations – who to approach, how and when
•Getting through price negotiations with your margin intact
•Pitching dos and don’ts
•Selling innovative solutions – how to make large companies come to you

Mr Spollen-Behrens continued: “Integrating indigenous businesses into the supply chains of the FDI sector is win-win. Securing a large B2B customer has the potential to transform a small business, allowing them to scale and increase productivity. For larger organisations, working with small firms provides access to a pool of local suppliers, the flexibility to innovate rapidly and an opportunity to demonstrate their positive impact on the communities in which they are based. We would like to invite businesses to come forward with case studies that showcase these benefits, which will be profiled at the next Business Connect event.”

Ends

For queries or to arrange an interview, contact Sven Spollen-Behrens, SFA Director, on 087 1609403 or sven@sfa.ie

Issued by Linda Barry, SFA Assistant Director, 01 605 1626 / 087 1472811, linda.barry@sfa.ie


Editor’s notes

The full Business Connect report is available here. The Business Connect event took place in the Aviva Stadium on 1 February and was attended by 350 companies, large and small.

The SFA is the trusted partner of over 8,500 small businesses (less than 50 employees) in Ireland. Its vision is of Ireland as the most vibrant small business community in the world – supporting entrepreneurship, valuing small business and rewarding risk takers.

More information about the SFA is available at www.sfa.ie or on Twitter @SFA_Irl
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