Covid-19 has massively affected commerce around the world. Consequently, forcing companies to rethink their business models. But, forward-thinking businesses are still looking to expand overseas.
How do we know?
A recent study of 166 CFOs and Finance VPs at large companies found that most businesses surveyed weren't put off from expanding - despite the pandemic. In fact, 45% of respondents were either expanding internationally or only slightly delaying their plans.
There are some glaring things that businesses need to consider when expanding. Most notably, a long-term recruitment strategy, trade agreements, and a robust customer-focused outlook.
But what are the more surprising needs for an international corporation? Let’s take a look at requirements to be a successful global company:
1. The Right Technology
The tech stack you’re currently using must be flexible enough to adapt it for international use. Technology has to be part of your global business plan.
It's imperative to use automated real-time tools to collaborate and communicate with overseas colleagues. This includes managing any language barriers you may face.
Similarly, your tech stack needs to handle the translation of all external-facing websites and social media profiles. The same goes for tracking information and managing paperwork.
2. Learn The Local Rules
What works in the US won’t always work in other continents and countries. To avoid potential pitfalls, be aware of the legal and cultural customs that could impact your business arrangements.
Being unaware of regional laws and traditions could cost you your corporation.
3. Hire a Market Research Analyst
Any business that's serious about going global, needs someone keeping an eye on the international market conditions. Needless to say, this involves conducting global market research.
Ideally, you'll need someone on your team with statistical, communicative, and analytical skills. All of which are essential for gathering information on socio-economic trends and profiling your target customers.
The right person should also have an understanding of global cultures and fluency in other languages.
4. Language Skills
Although almost 22% of US residents today speak a foreign language, English isn't the business language of choice in many countries outside the US. One study found that 76% of consumers won't do business in a language other than their own.
Studying some basic language skills is helpful. It's also worth businesses ensuring that their call centers have multilingual speakers available. This is where using a language services vendor could come in handy.
5. Understanding Paperwork Requirements
Before any company expands internationally, it’s wise to be fully aware of different regulations and subsequent paperwork generated. Ideally, technology can help organize contracts, forms, and correspondence, so it’s readily accessible.
It may also be wise to hire a reputable local law firm specializing in international business expansion to avoid legal pitfalls.
The Bottom Line on Business Needs for an International Corporation
Running an international corporation is no picnic, but it can be a satisfying and rewarding choice with plenty of growth potential and increased profits. But only if all the right preparations are in place before diving in headfirst to become a global business.
Is your business about to become an international corporation? Then you need to keep reading the Bootstrap Business Blog to learn more about being a successful global company!
