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Factors to consider before expanding your business internationally

Friday, 21 de April, 2017

We have often heard talk about the "global market". Advances in information technology, logistics, sales, and freight transport have made it easier for many companies to expand beyond physical boundaries. But what should you consider before expanding your business internationally?

It seems that ecommerce has awakened the mentality of many entrepreneurs. But is it so easy to sell your products or services abroad? As every manager of a multinational company will know, internationalisation is not a one-day job.

The simple example of language can serve to express just one of the most obvious difficulties. If a client does not speak my language and does not even understand it, can I maintain a lasting relationship with him? The answer is not a firm no, but there would be difficulties, and in extreme cases it could become even more complicated.

But let's think of something more serious. Do the laws of the country allow me to market in it? In what way and under what conditions? Possibly even more transcendental is the question of whether my product will be accepted in that country or countries? Everything turns into questions. Some are easier to answer than others and in spite of everything must not be taken lightly.

What’s more, depending on the service or product being commercialised, internationalisation does not only involve taking a product across the border; sometimes it will be necessary to establish a physical post in that country. In this case we may already be handling budgets that carry a great risk for any company.

Each situation can be very different and that is why we must remain calm and make a thorough study before making any move to open markets. In the following infographics, we leave you with some of the factors that we could take into account before internationalising your company.

 

factors to consider before expanding your business internationally at EAE business school

 

Fuentes:

Joana Sánchez (9 de Abril de 2015). 10 consejos para la internacionalización de la empresa [Artículo]. Pymesyautonomos.com https://www.pymesyautonomos.com/vocacion-de-empresa/10-consejos-para-la-internacionalizacion-de-la-empresa/

Laurel Delaney. 20 Factors to Consider Before Going Global [Artículo]. Entrepreneur.com https://www.entrepreneur.com/article/75138

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