In previous times you could take advantage of market anomalies in different parts of the globe to start a business abroad, it was a much easier feat to perform, less risky and much more economically sound, but nowadays you can have many complications.
Despite the obstacles that opportunities may exist are quite wide for both large and small entrepreneurs, the most important thing is to keep in mind that they must build a legal client base within their national territory. If you want to know more about how to take your business to other countries, read this post.
How to take your small business to an international company?
The main thing is that your motivation does not go away and you stand firm despite the adversities, the truth is that you will encounter many challenges, but expanding internationally is not impossible if the right way is done, so we will give you some tips that may be helpful.
Attend international conferences
During this type of event you will get valuable opportunities to learn about different topics that can help you during this process. They are also the perfect opportunity for you to form key partnerships within your sector to grow potentially.
Research the market you want to expand to
Before becoming a global brand, you must understand what the impact this will have on your business. That’s why you should:
- Prepare a segmented market analysis, determining whether the product can compete with those of the local market in that region.
- Prepare an analysis on the product gap in a versus with the premises, the main question that you should ask yourself if there is any demand that local companies are not meeting.
- Do a SWOT analysis against the competition; this is important because your product will be more expensive than the local, so you must find a way that customers prefer it despite this.
Establish a high impact team
Many companies that have managed to be global use two different strategies, merge with executives of a parent company or simply build a team with local staff from scratch. The latter is something that takes time and can be risky, there is also the possibility that the launch should be advanced.
Prepare the product
Based on the analysis you previously made about the product gap, you must take the necessary measures to market your offers, making them different from high-impact ones.
Make sure you are on all online platforms
Without this it will be impossible for cross-border customers to find your brand and what you offer, the correct way to make yourself known is by positioning yourself in relevant networks, this not only helps you to have free advertising, but will strengthen your communication efforts, you will have a greater interaction with customers that others can see and make decisions about whether or not to trust your products.
International challenges when exporting a business
Keep in mind that a business territory in another country will not be identical to the one of origin, but if you are sufficiently familiar with everything related to the market you can have discussions about it without problems.
Some trade barriers such as currency, culture or the proximity that this country has with that of origin are factors that you should not neglect always look for homogeneity, the less differences exist between both territories better for you and your business, this it will make things much easier for you.
Some of the most frequent challenges you will have to face are these:
Cultural and linguistic barriers
If you do not know the language or you barely have a notion hire bilingual staff so that it can help you translate and communicate more fluently, on the other hand different cultural regulations can be an obstacle, it is best that you do a small but deep investigation regarding practices of that country to which you want to take your business.
Tax codes and their compliance
Learning all the tax codes, packaging standards and business regulations of the different countries to which you will take your company can be a great challenge. Foreign banks are sometimes reluctant to deal with accounts from countries with a lot of administrative burden, and you may need to set up a new business entity and a different account for businesses outside the country of origin.
It is not easy to persuade foreign customers to trust a brand if they have accessibility to similar products made by people from their home country. While some large and very popular chains have a great influence abroad, medium and small companies must work hard to convince the international market that their products are reliable and worthwhile.