At a time when everybody seems to be retreating inwards and globalisation is seen as a dirty word in many circles, it’s never been more important for companies to consider their global expansion plans. But taking your company global is no small feat and requires preparation, planning and solid execution.
Why expand globally?
The simple answer here is that you have an exposure to a wider marketplace and a wider potential customer base. Global business expansion means you can drastically expand the life of existing products inn new markets, reduce existing dependencies on your home market and learn how to compete with foreign competition, which will hopefully mean you’ll gain a fresh and incredibly valuable skillset.
How to go global?
Strategise – Every expansion plan needs to begin with a solid globalisation strategy. Meet with your team early on to examine the conditions of the market you’re trying to enter and develop a strategy accordingly that takes into account the economic, market and cultural considerations, as well as the current government and legislation. A major part of the strategy process is also building your global expansion team and making sure that your products or services are ready to go. This also means that localisation should be a large part of the process.
Consult – If you’re intending to expand globally for the first time then you’re wading into a very deep pool that won’t treat those wearing water wings very kindly. As such, it always helps to have somebody on your side who knows what they’re talking about. RSM is a consultancy firm that specialises in helping businesses go global and will help established businesses to integrate global growth strategies into their existing models with ease.
Be prepared – There are some incredibly litigious countries out there that might work to rules that you find unfamiliar and difficult to comprehend. Be ready to review and learn to understand local regulations specific to your industry and know what compliance and certifications to obtain when necessary, otherwise you’ll undoubtedly hit a hurdle somewhere along the line.
Budget – Using the data from the steps above and after talking to a consultant, develop a 3 or 5-year budget that is realistic and a first year business plan that can be tracked alongside real-time reporting. That way you are unlikely to go overboard and spend more than you are earning.
Make relationships – Finally, perhaps the most important aspect of any global expansion plan is to establish strong relationships with local businesses. If you are able to create alliances and build partnerships with brands that are established in these new markets you hope to conquer then you will be better placed to develop a global ecosystem and make your global expansion plans succeed.
