The internationalization of its own business is one of the goals of many entrepreneurs. But to achieve this it is necessary to create a targeted plan, which aims to satisfy all the steps necessary to ensure that the internationalization gives positive results and benefits to the company. If there is no analysis behind it, in fact, there is the risk of making a leap into the void that can cause serious damage, which for the small and medium companies may also be irreparable from an economic-financial point of view.
That’s why we at LC International, with our agents around the world and our experience in the field of internationalization, scrupulously analyze the needs of each company keeping in mind these 10 rules, fundamental for those who want to open up abroad.
1 – Create a detailed export plan
As anticipated, without a plan, any internationalization project is bound to fail. It is necessary to obtain information, activate contacts, eventually adapt the products and services offered to the needs of local markets, and so on. The export plan is also fundamental for access to credit and financing, which you can easily find by registering on our portal.
2 – Define targets based on resources
To understand if a company is ready to export it is necessary to proceed with the analysis of internal resources: the skills and experience of human capital, technical and financial resources.
3 – Select the markets
It is essential to focus the company’s strenghts in the different foreign markets, the characteristics of potential customers, the weakness of competitors and the infrastructural factors.
4 – Create a competitive strategy
The identification of the targeted segments is at the base of every plan or strategy, and these include, among others, the communication strategies to be adopted, the distribution method, the condition of sale and payment, the possible local partners, the modalities of presence on the territory.
5 – Efficiency of the organizational structure
To manage the internationalization process the internal organization of the company has to be redefined, and/or ask a consult with consultancies able to follow the progress in a continuous way so as to monitor all the results and calibrate the strategy on the basis of these.
6 – Attention to cultural and legislations diversity
An element that is often not taken into consideration is the cultural aspect of the chosen country. The lack of attention to differences can however jeopardize the outcome of the negotiations. In the same way, the detailed knowledge of local regulations is a must.
7 – Choose the most effective means of payment
Payment conditions, in particular the time between payment and delivery, are a marketing lever that can be essential in certain countries.
8 – Don’t underestimate the infrastructural criticalities
It is necessary to evaluate the physical distance between seller and buyer, the communication difficulties, the risks of damage to the goods, and all the relative dynamics that can benefit or disadvantage the negotiation.
9 – Manage documentation at it’s best
Foreign trade inevitably generates a great deal of documents and opens up a series of demanding practices.
10 – The company is not alone in foreign markets
The difficulty of drawing up such a complex plan may seem daunting. This is why it is inadvisable to do everything yourself. It is worth considering the possibility of collaborating with external professionals and consultants and funding opportunities promoted at national or international level (calls for tenders) in our portal.
The LC International team can help you plan the entry of your company and your products into foreign markets, or to consolidate your position, if already present. Contact us without obligation for advice, we are at your disposal.