Market Research in Micronesia
The Federated States of Micronesia consists of over 600 islands in Oceania in the Pacific Ocean. Also known as the FSM, it is an English-speaking country with deep ties with the United States. It has four groups of island states, namely Kosrae, Pohnpei, Yap, and Chuuk. The country is famous for its ancient ruins, wreck-filled dives, and palm-shaded beaches.
Pohnpei is home to the nation’s capital Palikir. It is a great tourist stop. In fact, its sandy beaches and tropical jungles attract tourists. Another great thing about Pohnpei is that it is superb for hiking.
The FSM is one of the world’s thriving countries. Some of the industries are:
- Specialized aqua-culture
The FSM’s fishing industry is vital, and several foreign fleets operate here. It costs them millions of dollars each year to do so, and these license fees make up almost one-third of the country’s revenue. Marine exports, including the reexporting of fish to Japan, provide a large amount of its export revenue.
The islands have a tourist industry, but infrastructure has hampered it. Visitor spots include:
- Battle sites from the Second World War
- Scuba diving in each state
- The ruins of Nan Madol, an ancient city in Pohnpei
Tourism is one of the industries with high potential for growth.
On the other hand, farming is declining. Most of the farmers subsist on their produce. Bananas, coconuts, sweet potatoes, and cassava are the main crops. Very little export revenue comes from farming. In fact, only about one-tenth of the islands’ people work in the sector.
There’s also very little manufacturing. Most of it involves the export of betel nut in Yap as well as the button-making, using the trochus shell.
Benefits and Strengths of the Market
The FSM is doing well, and the market is easy to enter. Thus, companies can be more creative. It also allows them to provide a wider variety of goods for their consumers.
The citizens of the FSM tend to spend their money on:
- Household goods
Reasons to Grow a Business in Micronesia
The FSM presents many opportunities for investors and business partners. For example, it is a superb location with a close link with the US. These islands also have an under-developed natural resource sector. But, they have the infrastructure needed for business:
- The FSM Telecom Corp provides Internet, fax, phone, cellphone, and cable services.
- Deepwater port facilities and international airports in each of the four states. At least the ports can handle colossal container ships, including warehousing and transshipment.
- The FSM Development Bank offers services to investors. The country also has commercial banks, such as the Bank of the FSM and Bank of Guam.
- Businesses can find diesel generators in all the major centers. These generators provide 110-220 volt, 60-cycle electric power.
- Accounting and legal services are available and easy to access throughout the country.
Foreign companies in some sectors can receive partial government funding for the training of employees. The FSM has other advantages. For example, exports receive duty-free treatment in US markets, and the country also has preferential market status in Australia and New Zealand. The FSM uses the US dollar as its national currency, and English is the official language of business.
About Market Research in Micronesia
To conclude, the FSM is a small country that is thriving. Because of this, they are more open to accepting businesses that will help develop the country. By the same token, investors must carry out Quantitative and Qualitative research. Why? Because it’s the best way to gain data. Potential investors can also do Strategy Research. Further ways to obtain data are through Interviews, Surveys, and Focus Groups. Then, they can analyze how to grow their business in the FSM.