The question is not trivial because too often business internationalization is confused with exporting: It is not simply a matter of looking for sales opportunities abroad.
This idea might have been fine until 15 or 20 years ago, at a time when all you needed to do to expand your business abroad was to arm yourself with a catalog, suitcase and good will.
In fact, today's markets have changed profoundly, and continue to do so very rapidly: the emergence of low-cost producing countries, the arrival of increasingly digital tools, and the economic and financial crises of recent years have ended up revolutionizing the business internationalization model.
Octagona has long argued that internationalizing a business Now requires a specific strategic choice, which is as untethered as possible from occasional and non-constant sales opportunities.
In fact, internationalization requires preparation, a concrete idea, a necessary open-mindedness to change, a proceeding by steps and not a simple “let's try and see.”.
Internationalizing one's business should be a thoughtful choice and not a necessity. It should not be an escape route to take when the situation in the domestic market is uncertain
The reason is quickly stated: it is true that opportunities can be found in international markets, however, it is a fact that the company that enters them Without the proper preparation risks not being able to be able to grasp them.
Every entrepreneur knows how important it is Ask questions before acting: this is the essence of strategic planning. That is why to pose the right questions is the element that makes a difference In the international growth of your business.
In this week's in-depth study we have selected a few that you absolutely must take if you want to expand your business abroad. If you can answer yes to many of these, then you will know. your company is ready even now to begin a path of overseas expansion.
- Which countries are best to target? Why, and how did you choose them?
- Which and how many products Does it make sense to propose in target markets? How do they differ from the competition?
- You have a production capacity able to respond without further major investment to any requests from abroad?
- Have you already identified the more effective logistics model Evaluating the pros and cons of different options?
- You know how to handle issues related to any customs barriers and required certifications?
- Do you know how to manage a international payment?
- Do you have sales documentation and a version of the English and/or local language website?
- Do you have a Company Profile (brochures, digital brochures) that can explain in detail the Added value of your company and your products?
- Have you done an analysis of the purchasing habits and major payment systems used in the target countries?
- You already have a System to manage all new clients Who will come into contact with your company?
There would then be many others: what target audience to provide? How to reach the target audience (agents, distributors, direct export)?
There are many questions, but the ones we have reported are sufficient to understand whether your company is ready for a path of overseas expansion.
Why it is impossible to do internationalization if you don't have clear ideas and answers, if you do not understand that you cannot improvise, if you do not have a clear strategy of what you want to do.
Thus, finding clients abroad is not a strategy: it is a goal, which must be achieved through A strategy.
In this article we have seen how important it is to prepare for a proper path to internationalize your business, in a way that is conscious and sustainable in the long run.
If answering the questions above has made you realize that your business is not fully prepared, Octagona can help you achieve your goals of growing turnover and profits: contact us and tell us about your internationalization project by clicking below.
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Export is the search for sales opportunities abroad, while internationalization is a structured strategic choice. According to Octagona, it must be decoupled from occasional and inconsistent sales and requires preparation, a concrete idea, openness to change, and a path with successive steps, not just a simple “try and see”.
The “catalog, suitcase and good will” method worked until 15 or 20 years ago, but the markets have changed a lot. They were influenced by the emergence of low-cost producing countries, the arrival of increasingly digital tools, and the economic and financial crises of recent years, which revolutionized the model of internationalization.
Internationalization should not be a way to escape an uncertain domestic market, but a well-considered choice. Foreign markets offer opportunities, but an undertaking that comes without adequate preparation risks failing to seize them. Starting out out of necessity without a strategy therefore increases the risk of failure.
Before leaving, it is advisable to consider ten aspects: target countries and selection criteria, products and differentiation from the competition, production capacity, logistics model, customs barriers and certifications, international payments, documentation and a website in the local language, company profile, local buying habits, and a system for managing new customers.
The company is ready if it can answer affirmatively to many of the ten strategic questions about countries, products, production capacity, logistics, customs, payments, materials in language, and customer management. It needs clear ideas and answers, and a defined strategy, because internationalization cannot be improvised.
No, finding customers abroad is a goal and not a strategy. It must be achieved through a strategy that defines target markets, channels such as agents, distributors or direct exports, and subsequent steps. Only with a prepared path does international growth become conscious and sustainable in the long term.
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