These days, globalization is the name of the game. More and more companies are moving out of their home countries and into a globally competitive market. While there are many ways to become a globally successful company, today we will be looking at some of the tried-and-tested ways that have worked for some of today’s biggest names.
It takes about 3 minutes to read the article.
To be globally competitive, you will need to answer a few questions:
- Are you targeting the right market? Trying to start a new car company in the Netherlands might not be the best idea, as the preferred mode of commuting is bikes. You need to know the market you are targeting to reach it.
- Will you be able to live there? Establishing a globally successful company will require you to, at least temporarily, live in your target country, so make sure it is one you can bear with.
- Do you know the legislature? You need to know how to set up a legal business in a foreign country to stand a chance. Otherwise, you might just find yourself in a compromising position by accident.
Next, there are a few things you need to know:
- Export your product. You can enter another market by exporting your product, however, this will involve shipping and contacting stores in your target nation.
- Make sure that you have targeted a country that either speaks English, or one you are fine with paying professional translation services for.
- Ensure that you know the culture. You should read a book or two about business etiquette before moving onto negotiations. Famously, this is what broke down multiple US–China negotiations.
- Make sure that you have localized all of your materials, including advertisements and packaging. Not every nation enjoys seeing packaging in a foreign language (e.g. Russia.)
- You need to research your target market properly, including spending habits, legislature and already existing competition.
If you make sure you have answered all of those questions, and you are following these steps, you are already beating your competitors on the global market!