Expanding a business internationally presents many unique challenges. While technology has certainly helped to make it easier to branch out abroad, it hasn’t fully eliminated the difficulties you’ll face along the way.
So, if you’re planning on taking your business international, here you’ll discover some of the main things to factor in before taking the plunge.
Do as much research as you can
This is potentially the most important tip you’ll want to follow before you expand internationally. Researching the market in your chosen country is crucial to determining how successful your business could be. There may well be a market for your goods in the UK, but is there the same level of need in your international destination?
You’ll also need to research the legalities of doing business abroad. Different countries have differing restrictions so it’s vital you familiarise yourself with these before expanding. Registering with ACRA for example is required for business incorporation in Singapore. Doing as much research as you can will help to ensure your international launch is successful.
Visit the country you’re branching out to
Even though you don’t technically need to set up a local office in your chosen country, you should at least visit it before expanding. This is because you need to get a feel for the culture, as well as see what your competition in like over there. It helps you to develop a much better understanding of the country, it’s marketing techniques and your target market.
Ideally, you will want a local base too, but if your budget doesn’t allow for that just yet, a visit to the country is enough.
Build up relationships with suppliers
If you operate an e-commerce business, one thing you’re definitely going to need is a good international delivery system provided by a reputable third-party logistics company such as the Worldwide Logistics brand. Shipping parcels abroad can prove both problematic and expensive. So, you’ll want to make sure you’re choosing a reputable logistics provider such as Whistl.
You’ll also want to look into local suppliers in the country you’re planning to expand to. If you can find local suppliers, it could save you a significant amount of money in the long-term.
Make sure your current operations are strong
It’s pointless trying to expand your business internationally if it isn’t performing well at home. Therefore, you’ll want to ensure your existing business is strong and problem-free before branching out.
International expansion comes with a lot of different challenges. So, the last thing you want is to be having to deal with issues with your home business too!
These are some of basic considerations you need to make before expanding a business internationally. Ideally, you’ll want to take as much time as you can to research and plan the expansion before actually going ahead and doing it.
