In our previous article we spoke about the benefits of doing business globally, and highlighted some of the qualities that a great global business should have. If you feel that your business may have global potential but aren’t sure how to take the next step, here are some ins and outs of global business that will help you to expand your reach overseas.
Finding an overseas market
Having products or services that will sell overseas is excellent, but which markets should you focus on? In general, a country with a strong economy, low tariffs for imported goods, and a good legal and financial sector should be a good place to do business. Realistically speaking, it’s also easier to trade with an English-speaking country, or at least a country where English is a common second language.
The in-depth details of finding an overseas market should be dealt with by a marketing consultant – this needn’t cost you a lot, and you could consider offering a colleague with experiencing in overseas marketing a share of profits in exchange for a low consulting fee. Meanwhile, you can visit the Globetrade website which gives excellent advice, statistics, and other useful information for entrepreneurs wanting to expand their trade with foreign markets.
Understanding Your New Market
Entrepreneurs should remember that people in different countries have slightly different spending habits and cultural values which might influence the way they respond to marketing and advertising. If you’d like to do some research of your own, you could search the internet for award-winning ads and commercials from the country you’re interested in – pay attention to the similarities and differences you notice compared with the marketing style of local businesses.
Complying with local laws
Before you export a product or service to a foreign country, make sure you are allowed to do so legally. Some countries have high import tariffs on certain goods or have banned them completely – for example, it probably wouldn’t be wise to export rice to Japan due to incredibly high import tariffs on that product.
Certain products or services may not be legal to sell in certain countries. If you are trading in goods that contain chemicals, animal products, or medical supplies, you’ll need to be extra careful. Services are usually easier to market overseas, but you will need to ensure that you can offer support to your clients overseas.
Finding a representative
Whether you are importing or exporting, finding a reputable agent or representative in your new market is a great way to expose your product to a wide audience. The person or company should have a good reputation and a proven track record in the country you’re interested in.