Chapter # 2 : Why International Business
We have all been hit by Covid-19 but there is a life after this.
Many markets are starting to go back to “normal”, as some in Asia and Europe. North America is slowly opening up and Latin America has still very high rates of the epidemic.
The market has changed and it is never going to be the same. We have realized how dependent we are on supply from other markets, but still, we need to trade both ways to be able to expand and to be competitive.
Many are working from home. Some will continue and others will slowly move back to our office and factories. To be profitable and spread the risks, we have to be in many markets but also source products and services from overseas.
Many companies have a major part of their business overseas, others have limited coverage and some have no international business. It is like the stock market. You have to spread the risks. The hurdle to expand is often mental. I do not know how, I am afraid to fail, it cost so much money, and how do I start?
To become successful in international business is a question of having the right attitude and understanding other cultures and how to conduct international business there.
Prepare your staff members now for the entrance and expansion into the international market.
There is plenty of good information on how to, and there are many professionals and individuals that can assist you in entering the foreign markets
Perhaps hire someone from outside as a coach.
Like when you learn to drive a car or fly an aircraft it is always easier to get up to speed if you have someone with experience that can assist you on your journey. Why make the same mistakes someone else has done. You need someone that has practiced it, i.e. with experience. When you train for your flight license, you want someone teaching that has been flying and have the experience, not someone that just studies aviation. The same is applicable for conducting international business. Find a mentor that can guide and assist you and your staff and can answer your questions and explain the pros and cons with different solutions. There are a lot of consultants that offer their services but not so many with the practical experience of conducting international business.
Also find people with experience from different markets, that understand the culture, how to conduct business there and have contacts locally in the country.
As to assistance Try to find a mentor with the experience you are looking for. It is good insurance and a good investment. See article Export manager to employ or to rent. The pros and cons plus The remote export manager
I have been conducting international business for over 50 years, in more than 100 countries I have a very broad experience and also very good knowledge in conducting business in some of the countries, I still learn, make fewer mistakes than when I started and still ask for assistance when I enter a market I am not familiar with.
It is not that complicated to find assistance. Perhaps you want to enter the Italian market. One of your neighbours is Italian; invite him/her for a glass of wine or Grappa and pick his/her brain. What do you need to think about when conducting business in Italy? What is the difference between southern and northern Italy? Is there an Italian trade organization where you live? Can you joint them and can they suggest some contact you can utilize to enter the Italian market?
Some of the answers on how to and how to find the right information and how to select a market are available in the videos and book mentioned above.
So what to do now? Forward this information to your staff. Perhaps even invest in some e-books or print books to start the process. They are also handy to have when you, later on, need to go back to find answers. By studying, you and they will understand it is not that complicated. You will also realize that the investment in new markets will not only increase your sales and spread the risks but also make your company more profitable and interesting to work at.
A company with international markets as clients will be more dynamic and will even create a better understanding of, and result in the domestic market,
It is never too late to expand on foreign markets, but do it now; there is no reason to wait. You cannot win if you do not enter the raise. International business is a two-way communication that also includes sourcing products that you can sell on the domestic market, i.e. increasing your range of products and services.
If you like some more sources on how to and country information, visit:
Good luck with your international expansion.
I hope you find the article of interest and learned some more about why international business is important. This is an appetizer to get started or to expand on the global market.
If you need more help, I will be happy to guide you in your next steps. Contact us, free first consultant.
Even if you are in another country, we can discuss further on e.g. Zoom or Skype.
Leif Holmvall, President
Export Pro Inc.
In our book “Export & Import – Winning in the Global Marketplace”
ISBN 978-0-9681148-1-0 those topics are covered in depth. You can also buy our book for less than $10 as an e-book visit e.g. https://www.amazon.com/dp/0968114814, where you can read part of the book.
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