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Tuesday, December 28, 2004

America becomes global marketplace

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By

Part two of five

Coke, Big Macs and IPods.

The United States creates some of the world's most innovative products, dominating brands and profitable business models, exporting them around the globe with tremendous success.

Of the world's 100 most valuable brands, 62 are American, according to Interbrand, a consulting group that annually evaluates products. It's a fair accomplishment for a country that produces less than one-third of the world's economic output.

"It's testimony to the superior marketing and business acumen of American companies. We punch 200 percent of our business weight," says John Quelch, a Harvard Business School professor who has studied and written about global brands.

The successes of companies such as Coca-Cola, McDonald's and Apple create wealth and jobs in the United States and overseas. But American brands also generate resentment, copycats and fierce competition.

Business and commerce is one arena where the world is increasingly "American." This series examines nonmilitary, nonpolitical aspects of this pervasive U.S. influence -- from democratic ideals and entrepreneurial ingenuity to language, sports and popular culture -- and some of the consequences of this influence.

The United States is the world's leading exporter and importer, and its companies spend more money establishing and expanding overseas operations than those of any other nation.

In 2003, U.S. exports of merchandise and commercial services totaled $1.01 trillion, according to the World Trade Organization (WTO). Top exports include $46.1 billion in semiconductors, $31.3 billion in computer accessories, $36.2 billion in vehicle parts, $22.1 billion in cars, $23.3 billion in civilian aircraft and $20.5 billion in pharmaceuticals, according to 2003 Commerce Department statistics.

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