Internationalization means opening up to and adapting to a market outside your country. It’s a concept that involves various meanings and numerous plans of action.
Expanding a company, or your own business, is now a strategy commonly adopted by many companies and professionals.
Today’s internet makes it easy to find all the necessary information for initiating this process on one’s own, but the solutions are numerous, and it’s precisely for this reason that it is necessary to get things straight from the start to maximize investments.
Internationalization: what it is
Internationalizing means doing business abroad, establishing business relationships with companies, consumers and institutions who operate in markets outside your homeland.
The outcome of the process is influenced by a series of variables that can be controlled and monitored through precise planning and international business strategies.
In fact, internationalization is not for everyone.
Internationalization: a strategy to support business development
Internationalization has principally two main objectives: to reduce costs connected to foreign suppliers and to increase revenue by widening the company’s target.
The decision to expand a business internationally is often taken as an alternative when domestic markets are stagnant; in other cases the choice to go international with a company comes from obtaining subsidies and vouchers provided by national entities and institutions to promote foreign trade. What’s important is that the strategy supports the business, taking into consideration all aspects, positive and negative, involved in the decision.
Internationalization: the basics
Especially at the start of going international there are various factors to consider and incorporate: choice of product, pricing, import and distribution channels, production location, sales promotion, identifying competitors, product sustainability.
Studies and evaluations have to be performed well in advance in the chosen location.
Thus the difference between having a strategy and not having one becomes obvious.
Before deciding HOW to do it, it’s important to understand IF it makes any sense to do it, and this is where SVA Group consulting comes in.