Taking your business global can come with many challenges. Nevertheless, overcoming those challenges and achieving a global pool of long-term customers is worth it. This article will briefly discuss a few challenges you may need to consider when expanding your global growth in business.
- The need for human resources:
When expanding your business to another country, you must ensure you have a sufficient workforce to overcome the challenges and look over matters in a foreign country. If you’re deciding to shift some of your employees, you need to start looking for additional recruitments to take their place. This on its own can come with new challenges, including investing in their training and development of skills according to the company’s requirements and additional funding.
- Lingual and cultural differences:
When considering expanding to foreign lands, choosing countries with similar, if not the same, cultures and languages would be wise and more strategic. The culture of locals consists of the art, traditions, food, holidays and their various ways of communication with each other. Your business needs to meet its cultural needs, to an extent, along with being relatable. If locals cannot relate to your product or service, they will not be willing to engage. This challenge can especially be overcome in various ways, for example, by hiring an employee who is well versed with foreign traditions and can speak some of their languages, if not all. Furthermore, learning the culture of the locals, you’re targeting for your business is an important strategy.
The language barrier can be overcome by providing services, emails, webpages and social media posts in the foreign language.
- The long-distance:
Physical distance can pose major challenges when expanding your business, even if it’s to a neighboring country. Video calls and telephonic conversations with your distribution partners and employees are not quite the same as being able to discuss business-related problems and prospects face-to-face. Frequent flights to and fro are not practical, considering the costs of traveling and adjusting such costs in the given budget.
- Shipping costs, custom laws and freight:
Different countries will have different laws concerning shipping and product distribution, which need to be researched well before expanding your business. Moreover, you need to keep in mind the costs related to shipping, freight and logistics and figure out a method to monitor those costs, especially considering the global profit expansion is bringing to the company. Research and a little background homework can go a long way in preventing small inconveniences that can eventually take a toll on the business.
- Foreign Politics, Policy, and Relations:
Business dealing in a foreign land is not going to be entirely a straightforward process, considering the political situation and relations between two countries. Therefore, it’s crucial to read up and be well aware of the challenges you may face when broadening your business.