Tradewinds
Business in American Samoa?
You may have grown up watching “Adventures in Paradise” or “Gilligan’s Island“, or reading Michener’s “Tales of the South Pacific“. You certainly know the music.
The Pacific isn’t really like that, you know. It’s hard to live on some of these islands, and it can be tough to do business out there. You need to be prepared to deal in small quantities, cope with logistics issues, and be creative on payments terms. Still, there are companies that do well in the Pacific, and I know many businesspeople who have become so enchanted, they have moved themselves, their businesses and their families to islands in the Pacific. It can be a heady brew of beauty, ugliness, firm friendships, backstabbing … hmmm, maybe it is something like those old stories after all.
Marshall Islands - Not What You Think
It is hard to know where to begin if you want to find business in the Pacific islands. A good starting place may elude you, because few international marketing sites or companies know anything about these tiny markets. A good place to start, one that may surprise you, is with the U.S. Department of the Interior. Check out Island Business Opportunities for market analyses and some business opportunities in American Samoa, Guam, the Commonwealth of the Northern Marianas Islands, Palau, the Federated States of Micronesia and the Marshall Islands. (They also cover the U.S. Virgin islands.) Why Interior? It may seem counter-intuitive, but Interior is the prime U.S. agency dealing with the American Pacific territories (American Samoa, Guam, CNMI) and they used to have much of the responsibility for the former Trust Territories, now independent (Palau, Micronesia, Marshalls). Interior is currently advertising procurements in Guam, the CNMI, Micronesia and the U.S. Virgins.
Micronesia - Deals to be Done?
The big business story in the Pacific right now is the move of about 8,000 Marines and their families from Okinawa to Guam. These contracts are hotly contested and can mean big money. The total cost of the move, and expansion of bases on Guam, is something above $10 billion. One of my earliest posts was about Hooter’s and others opening up shop on Guam to cater to the young Marines. There is still business to be done and niches to be found.
You have to think outside the box to do business out here. One Japanese company made a killing by giving away its ice makers to fishing co-ops, but charging them high prices for refrigerants. Then, there was the circus I helped to make a tour of the Pacific islands. The giraffes couldn’t make the trip (too tall for airplane holds), but they did manage a small elephant. It was the dog acts they should have left behind, but that’s another story …
