Growing Business: Steps To Take Before Moving Into The International Market

Anita Ginsburg

January 19, 2015

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Thanks to advances in technology, there has never been a better time for companies to consider going international. International trade not only increases a company's profits and sales, it also helps create more jobs. However, to have a successful international launch, there are a few steps you need to take before going global.

Investment

First, you have to determine just how much your company can afford to invest in international expansion. There are many choices available, including basing the amount of investment on a percentage of the profits the company makes on domestic business operations, or using a system in which the company only pays for what it can afford.

Identifying Your Market

You have to determine what products you have and where the biggest demand is for your products. This requires you to do research. What you are looking for is the fastest-growing market for your products. However, you also have to make sure that there is room for another competitor and that the market in a certain area has not become over saturated.

Shipping

While you must determine what products you will ship overseas, you also need to determine with which company you will ship them. According the experts at Pack-All International, packaging is going to play a huge role in establishing your international connections. When you make a great product, you want it to arrive to its destination in good condition. This is why it's important to choose a shipper that is the best in its class. Poor shipping quality can ultimately make or break your business.

Hiring a Good Accountant and Lawyer

Laws can differ from country to country, so it's a good idea to hire a lawyer that specializes in international transactions. Sometimes these services can seem costly, but it's service that you cannot be without. Hiring an accountant will help you keep an eye on your overseas investments.

Preparing Prices

It's important to remember that the cost of living and prices of goods differs around the world. You won't simply be able to afford to sell a product for the same price as you sell it domestically. Oftentimes, you will need to raise or lower prices, so do field research by testing your prices on consumers and analyzing their reactions.

Consider Cross-border Partnerships

One easy way to jump into the international market is to form international partnerships with companies that are already well-established in the market you are hoping to expand. It's usually best to consider a partnership with a company of similar size.

By following these steps, you can ensure that your company successfully finds its international market. Failing to consider these tips before going international can result in a loss in your international investment. Plan your international strategy, and get everyone within the company on board before making this huge jump.