Gaining footage in international markets is one step closer for any business going global. There are a lot of benefits that come with such growth, ranging from the increased customer base to accessing cost-friendly talents and finding potential opportunities to dive in other markets. Managing an international business, however, comes with its own unique challenges. Business owners must then focus on strategies that guarantee continued success if they are to survive. Here are a few strategies that can help your international business remain successful.
1. Hire through PEO or EOR
Talking of challenges that international businesses face, one is managing an international team. Each company has its own labor laws and legal processes, which can be complex for any foreign business. These can sometimes take off the precious time that can be used in growing the business.
If you want to create an international team without the complexities of compliance, consider leveraging local employment solutions providers. If your business is in Singapore, for example, use Singapore employer of records such as Singapore EOR or Singapore PEO to hire local talents. Such bodies take up all HR matters for your team, leaving you ample time to drive growth for your business.
2. Seek to bridge the cultural difference
Another challenge international businesses face is the difference in culture. If a business is to be successful internationally, bridging the culture difference is a strategy it must adopt. You may find that a product that is loved in your home country differs with the preferences of the international market. That is why it is critical to localize your products so that they are in line with the local culture in that country.
In addition to localizing the products, it is best to adjust to the local method of marketing. Build a marketing strategy that will appeal to the locals by incorporating their culture, their language and their people.
3. Keep things simple
Most businesses fail in foreign markets for trying to scale up at a rapid speed. However, starting a business in a foreign country should be taken the same as when you were starting the entire business. Keep things simple and expand as you go. Have a growth strategic plan in hand to give you direction. Stick to the budget and identify areas that you can cut back on expenses. For instance, consider hiring independent contractors or part-timers with a variety of skills to cut back on labor costs. Instead of registering a legal entity in Singapore, consider using Singapore EOR or Singapore PEO to establish operations in that country. You will save a lot of money and time that you could have used in registering a business there.
4. Partner with local experts
Establishing a business in a foreign country demands that you understand the tax laws and other local regulations. This has to be done right from the beginning to prevent legal and taxation problems down the line. In addition, laws keep changing; and it might bypass you since you have another business to manage at home.
If you want to succeed and keep growing in a foreign country, it is important that you have local experts who understand the ins and outs of the laws. They will be on top of things whenever an unforeseen change is done. You will be able to manage the business better if you know that taxation and legal matters are in the hands of local experts.
5. Commit personal time for the business
Having reliable experts running your business doesn’t mean you staying at home and letting things happen. You have to be willing to get in the dirt and get things done. That means that traveling to foreign markets is inevitable for you. Getting firsthand information on challenges they are facing will give you insights on how to solve them. You will also get the opportunity to create valuable networks that can come in handy for future growth opportunities. You must create a budget for business travel if you are to remain successful.
International business can remain successful with the above strategies but having the right entrance into foreign markets can sustain it. Ensure that you get it right from the word go; have an agile growth strategic plan and a realistic budget. Work on the insurance, legal and taxation matters, hire reliable talents and seek to incorporate the new culture in your business model.
Dave Burrell is a business advisor for several companies in Arkansas. He has experience working in a range of industries and providing technical support in topics such as business growth, market expansion, and product development. Currently, he is also serving as an Expert at Globalization Pedia and provides technical advice for its China EOR solutions targeting U.S. International businesses. Burrell is passionate about family, languages, traveling, and reading.