MBDA National Director Highlights Opportunities for Partnerships as a Global Growth Strategy at London Symposium
The Commerce Department’s Minority Business Development Agency (MBDA) National Director David A. Hinson traveled to London this week to discuss mergers and acquisitions as a global growth strategy for middle-market minority businesses. At the Third Global Merger & Acquisition Symposium: The New Economics for the Private Middle Market, Hinson explained that minority-owned businesses offer international investors above average return prospects and a powerful market entry vehicle into the United States and other countries.
“Within every market there are hidden and often undervalued opportunities that support both market entry and the potential for outsized profit,” Hinson said. “One of these hidden opportunities within the United States is called the minority business community.”
The U.S. minority business community represents $1 trillion of U.S. economic output, and if measured against the size of countries around the world, it would be the 17th richest nation. The minority business sector has also shown the greatest growth dynamics in the U.S. economy in terms of gross receipts, growing at 56 percent based on the latest Census Bureau data.
Now totaling 5.8 million, minority-owned companies in the United States have over $2.46 trillion in total annual purchasing power.
“Partnering with a U.S. minority-owned firm and leveraging not just the firm’s U.S. market presence but the “Made in America” brand can be a winning proposition for a new entrant to a foreign market.”