Modern Business Magazine January 2016 | Page 54

MODERN EXPORTING What you Must Know About Developing Your Business Internationally By Marjane Beaugeois It’s never been easier Exporting and importing in many parts of the world has never been easier. There are many new ways of finding new markets, distributors and suppliers thanks to the internet and the myriad of international trade platforms. Assess your potential for export So why should your business be restricted to your domestic market? There are many more customers for your goods and services, your franchise system or even your intellectual property out there. Though, there could be some challenges to operate away from a familiar environment. The decision of entering foreign markets implies a long-haul commitment with financial and operational consequences and is likely to impact the course of your business, for the better we all hope! But taking the opportunity of a larger customer base doesn’t need to be a guess work! Assessing your ability to export is a start and long with a good 54 ModernBusiness January 2016 preparation is primordial as the success in exporting requires a lasting presence in your selected markets. An export diagnosis questionnaire is a tool to explore the strengths and weaknesses of your business through a simple checklist and helps evaluate your readiness for developing internationally. Choose carefully your target markets Starting an export business may be a strategic decision as a solution to a simple need for selling more and selling fast a surplus production or seasonal stock or an opportunistic move, taking advantage of an enquiry for your goods or services in which case, beyond the initial phase, there is still a need for adopting a more diligent approach in selecting the markets you would like to do business in. Selecting similar markets You would select these markets for their fairly familiar business environment. They are limited in number and are usually safer but are likely to be mature, stagnating markets in which, you are likely to encounter a similar level of competition. For Australian businesses, New Zealand is a good example and vice versa. Markets with the high potential for growth You would consider these markets if your company is specialised in niche technology or your domestic market is too narrow for a fair return on investment or may require fast, seasonal, higher volume sales. In such scenarios, markets with high level of similarities do not always offer the best business opportunities. It makes sense to identify countries that have greater potential for growth. Needless to say that these markets are likely to be riskier and require stronger commitment Know your markets Regardless, of what market you choose, it is essential that you familiarise yourself with the target country. Business ethics and culture vary hugely from a country to another even within the same region. Visit relevant international fairs, go on a discovery tour of