Wading In To The Waters Of International Business
Starting one’s own business could be the dream a few has. Even when you do start a business even fewer can continue it to bring it to a successful one. Even fewer traders take it to international level and become well known entities around the world. It is hence not surprising to see more than 80% of international trade is done by a handful of companies.
Who can become an international business?
First of all, not every company sells or deals with goods that can become internationally attractive. For example, FMCG goods or Fast Moving Consumer Goods are not a good candidate for international business if you are starting anew. If you are aiming at a go in exporting your own products, target for local products that have a good demand in your own country and which logically have the same in another country as well. That is where an export trade company comes in; they will research on demand and supply and let you in on intel about what products are selling in what countries. An export management company on the other hand can help you with sending the products to another country i.e.freight management Darwin and selling, marketing and advertising them there.
Whom to target
If you are to target international markets first of all you need to decide and finalise who that is going to be. What areas are you going to market to? What sort of needs must people have for them to buy your product? It is important to decide on geographical areas as in countries and what cities within those countries you will target. Fir example, if you take USA, marketing for the whole country is not feasible especially for a start-up business. Hence based on what you are selling, what they have that can be a competitor to you and what sort of a profit you are looking at, you can decide which cities or states to go for. It must also be remembered to learn about local traditions and taboos as they will surely have a say in advertising and promotions. The more research you do, or get a company specialised, to do the more results you are going to get for targeting, advertising and pricing strategies.
Profiting from an international business
Unlike a local business, an international business will have some added costs. Transportation of freight forwarding itself will cost a hefty amount. The best solution for that is to use an experienced company which can take care of all that and work on an agreement for it all. Usually import-export companies use a commission method, some keep a retainer and some just operate on a case-by-case basis. When you are pricing the goods, of course, manufacturing costs and logistics will have to be taken in to account and pricing done accordingly. However make sure you cut costs when and where possible so that the products are not exorbitantly priced; high price itself can be a turn-down for some customers unless you market it as a luxury good. Whenever you are planning an expansion of a business, local or international, ensure you plan it right; that way, you can’t go wrong.