ReportWire

Tag: Global Expansion

  • Zylox-Tonbridge to acquire German medical technology company Optimed

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    Zylox-Tonbridge, a Hong Kong-listed company specialising in neurovascular and peripheral vascular interventional products, has agreed to acquire German medical technology company Optimed.

    Under the agreement, Zylox-Tonbridge will acquire Optimed’s equity interest in multiple steps, with an option to purchase the entire shareholding from current owners.

    Optimed focuses on the research, development, production, and distribution of devices for minimally invasive therapies globally.

    Optimed has been in operation for nearly 30 years, establishing a sales and service network that extends to more than 70 countries.

    The company offers a range of products in the peripheral venous stenting segment, including devices designed for the iliofemoral veins, vena cava, and iliac bifurcation.

    Clinical evidence for its venous stents includes data from trials such as sinus-Venous and STEVECO, the first prospective, multicentre, randomised study in chronic deep venous obstruction.

    Results from these trials indicated improvements in quality of life and clinical severity compared to conservative treatment.

    Zylox-Tonbridge’s acquisition of Optimed is designed to accelerate global expansion by creating a unified platform that spans research and development, manufacturing, and commercialisation.

    By integrating both companies’ sales networks and leveraging Optimed’s established relationships with European clinical experts, Zylox-Tonbridge aims to bring products to market more efficiently and extend its international reach.

    The partnership is expected to deliver operational synergies through an expanded manufacturing base in Germany. This will support a reliable supply of medical solutions for European and global markets.

    After completion of the transaction, Zylox-Tonbridge will merge its sales, marketing, and customer service teams with those of Optimed to establish a unified global commercial organisation.

    Rüdiger Hausherr will continue as CEO of Optimed and report to Dr Jonathon Zhong Zhao, chairman and CEO of Zylox-Tonbridge.

    Zhao said: “This acquisition marks an important milestone in Zylox-Tonbridge’s global strategy, enabling the company to leverage a broader European-based platform to accelerate its global expansion.

    “We are very pleased to welcome Optimed to the Zylox-Tonbridge Group and look forward to combining our complementary product portfolios and manufacturing platforms to bring high-quality, innovative and affordable solutions to more patients and physicians worldwide, while driving the company’s next phase of growth.”

    “Zylox-Tonbridge to acquire German medical technology company Optimed” was originally created and published by Medical Device Network, a GlobalData owned brand.

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  • Going Global? How to Hire Ethically While Growing Your Business

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    I’ve noticed that whenever leaders talk about growth, the conversation almost always turns to global expansion. And it makes sense — new markets and global talent can unlock enormous opportunities. But I’ve also seen that how you expand matters just as much as where. 

    Some organizations expand responsibly, creating opportunities for workers and building long-term business resilience. Others fall into extraction, chasing short-term gains at the expense of local talent and economies. 

    We believe there’s a clear difference between expansion and extraction. Our latest Global Impact Report highlights what responsible expansion looks like in practice through a review of data across our platform and first-hand feedback from those hired via Oyster. Based on that information, we see three areas that matter most: trusting and tapping into emerging markets, committing to fair pay, and equipping managers to lead with empathy.

    To fully understand the difference between expansion and extraction, here’s a quick breakdown. 

    Expansion happens when companies enter a new market in a way that benefits everyone. The business gains access to skilled talent, while workers and local communities gain new opportunities and investment. It’s a mutually beneficial model: as the company grows, so does the positive impact for people.

    Extraction, on the other hand, is when companies enter a market to take advantage of short-term benefits, like lower labor costs or weaker regulations, without regard for fairness or sustainability. It may seem efficient at first, but the reputational damage can quickly erode a company’s ability to thrive in that market.

    The difference matters. Global hiring is one of the most powerful ways to fuel growth. But done irresponsibly, it can backfire. That’s why ethical hiring practices, like the ones we’ll explore below, are the true differentiator between expansion and extraction.

    Trusting and tapping into emerging markets

    When it comes to the impact on people, expansion means meeting talent where they are and creating pathways for long-term success. Our report shows steady progress for both initial and subsequent hiring in emerging markets. Our definition of “emerging markets” is based on the International Monetary Fund classification for emerging economies, and it refers to regions with growing economies and vibrant talent that are often underserved in the global employment landscape. 

    On our platform, 37 percent of companies’ hiring through us bring on talent from emerging markets. For subsequent hires, this figure jumps to 48 percent. This increase between first and subsequent hires shows that employer confidence in emerging market talent often grows over time.

    Remote work makes this possible. By building distributed teams, companies can hire across borders without requiring relocation or establishing local entities. The result is a democratization of opportunity. Skilled workers in regions once overlooked now have access to high-quality jobs, while companies benefit from fresh perspectives and diverse thinking.

    In my experience, the best way for leaders to approach emerging markets is to:

    • Invest in development. Building skills and career readiness in emerging markets means you’re not just hiring talent, you’re helping fuel growth. Training, mentorship, and career development unlock long-term value.
    • Engage as partners. Expansion works best when companies treat talent not just as workers, but as collaborators who shape business growth.

    Fair pay is the foundation of expansion

    Even the best intention to grow through expansion can slip into extraction if compensation isn’t fair. An ethical compensation strategy is the foundation of responsible expansion. Without it, global hiring risks perpetuating inequality or undervaluing local talent.

    That’s why benchmarking is essential. Leaders must ensure that salaries are competitive both locally and globally, and that they close gaps where inequities persist.

    Besides being the right thing to do, fair pay is also a strategic advantage. Employees who feel valued are more engaged and more likely to deliver their best work. And increasingly, it’s not just about values—pay transparency and equity laws are being enacted across countries, making compliance another reason leaders must get this right.

    For leaders, the takeaway is simple but critical: 

    • Pay equitably. Fair and equitable compensation should be a non-negotiable part of your hiring strategy across new and existing markets. 

    Management needs to expand, not extract

    The way companies lead their distributed teams is an important part of expansion. Too often, leaders fall into the trap of imposing their own cultural norms, expecting one-size-fits-all conformity. This form of leadership extracts, because it prioritizes efficiency and control over empathy and respect.

    True expansion requires managers who adapt their style to local contexts. Empathy and cultural sensitivity are the hallmarks of leaders who can unlock the full potential of global teams. 

    When I think about how to best support managers through global expansion, I always come back to this:

    • Management isn’t one-size-fits-all. It requires adapting and understanding local cultures. This cultural empathy is essential to global success.
    • Autonomy should be encouraged, while continuing to respect local norms and hierarchies. 

    Choosing expansion helps your company grow globally

    Expansion fuels growth. Extraction undermines it.

    Companies that will thrive in the next decade are those that expand responsibly, by trusting talent in emerging markets, ensuring fair pay, and training managers to lead with empathy. These practices strengthen teams and create shared value for both businesses and communities.

    At Oyster, we’ve seen firsthand that the more we grow, the more positive impact we can deliver. That’s the promise of expansion over extraction. And it’s the future of global business: growth that’s mutually beneficial and built to last.

    The opinions expressed here by Inc.com columnists are their own, not those of Inc.com.

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    Tony Jamous

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  • How to Succeed in Overcoming the Language Barrier in Multilingual Markets | Entrepreneur

    How to Succeed in Overcoming the Language Barrier in Multilingual Markets | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    As entrepreneurs continue to look for ways to expand their global footprint, they often encounter a significant hurdle: the language barrier and the risk it presents. Miscommunication and misunderstandings can lead to costly mistakes, drains on company time and missed opportunities.

    As CEO of INS Global, I have seen firsthand thousands of success stories for businesses that have successfully made the leap into multilingual markets. Though it may seem counterproductive at first, bridging the language gap and expanding into a new market can be one of the most profitable ways to grow a business today. Strategically equipping your company to overcome language barriers will set you up for long-term success in future markets.

    Related: Going Global? 3 Strategies to Ensure Nothing’s ‘Lost in Translation’

    Identify language and cultural challenges

    Current employees’ lack of language proficiency in the target market’s language is the most obvious barrier for businesses expanding into a new market. Therefore, the most obvious solution to identifying language barriers is to simply “hire bilingual employees,” but this short-sighted and reductive reasoning may not actually be the best long-term solution. Bilingual employees will certainly assuage the ability to communicate with customers, suppliers and employees. However, cultural nuances can complicate matters, as what is considered polite or respectful in one culture may be offensive in another.

    The potential risks of miscommunication are significant and can result in lost sales, damaged reputations or even legal issues. For example, marketing campaigns that hit the easy button by making literal translations risk failing to fully capture idioms in other nationals that could offend a target audience. In the 1980s, when KFC first launched in Beijing, it made a translation mistake to its logo. While “finger-lickin’ good” chicken sounds appetizing, its literal translation was made to read “eat your fingers off.” Learn from similarly embarrassing literal translation mistakes made by international companies including McDonald’s, Clairol, Sony and Rolls Royce, and be sure to take into account both language and cultural nuances in your workflows.

    Effective communication strategies

    To overcome such language barriers, businesses that prioritize effective communication as a business strategy are likely to find better success in their new target market. Here are some practical strategies:

    • Translation services: Hiring professionally certified translators ensures that messages are accurately conveyed. While machine translation tools have improved, human translators can better handle nuances and cultural context and ultimately save you time and money by getting it right the first time.

    • Language training: Investing in language training for employees who interact with customers, suppliers or partners can significantly improve communication. This can be done through online courses, language exchange programs or in-person classes.

    • Multilingual customer support: Providing customer support in multiple languages demonstrates a commitment to serving customers worldwide. This can be achieved through hiring multilingual staff or partnering with a customer support provider that offers multilingual services.

    • AI-driven translation software has become increasingly sophisticated, offering more accurate and natural-sounding translations. This software can also be used by website chatbots in multiple languages to assist with customer service and troubleshooting.

    • Cultural sensitivity: Understanding and respecting cultural differences is essential for effective communication. Businesses should conduct cultural research early on in product development and marketing campaigns and train employees to be mindful of cultural nuances, especially if employees will be living in multiple countries working for the same company.

    Related: Multilingualism and Cultural Fluency Are the Drivers of Tomorrow’s Workforce

    Localization for success

    Localization is the process of adapting products, services or marketing materials to a specific market. It involves more than just literally translating content; it also entails considering cultural preferences, local customs and legal requirements. For example, a company selling food products might need to adjust the ingredients or packaging to cater to local tastes and dietary restrictions.

    Netflix used localization to its benefit when entering the video-on-demand streaming marketplace in India in 2016. The company intentionally went beyond strict translation services to enter the market by also considering the cultural and consumer ecosystem in India. Netflix strategically utilized local social media influencers, dubbed in Indian dialects (in addition to adding translated subtitles), an enhanced budget-friendly mobile app for viewing due to Indians’ viewing habits and even developed original content for this new market.

    Netflix went beyond simply purchasing the rights to Bollywood movies to grow its market share in India and instead embraced adapting to the Indian market as a core market, rather than just an “extra” market. As of its July 2024 Q2 Earnings Report, India is now the second-largest market for Netflix.

    By localizing operations to a new market and taking consumer preferences into account, businesses can better engage with customers and increase their chances of success in new markets.

    Partnerships as a solution

    Partnering with a company that regularly works with multilingual workforces can provide the peace of mind and market-specific intelligence businesses may need to break through with minimal risk and maximum reward.

    Companies like INS Global can partner with businesses looking to expand into multilingual markets by providing invaluable support and expertise. As an Employer of Record (EOR) provider, we offer localized HR solutions, including payroll, benefits and compliance. This ensures that language barriers and local regulations do not hinder employee engagement or operational efficiency. For example, by using an EOR, businesses can get help hiring local talent, which will provide them with access to skilled professionals who understand the language and nuances of their new target market. EORs can also ensure that businesses adhere to local regulations including wages, overtime, benefits and tax requirements.

    Related: Multilingual Support: Speak Your Customer’s Language

    By implementing effective communication strategies, embracing localization and leveraging like-minded partnerships, businesses can successfully navigate the challenges of operating in multilingual markets and mitigate unnecessary risk. Overcoming language barriers should be seen as the next and best way to achieve sustainable growth.

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    Wei Hsu

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  • Your Current Marketing Plan May Not Work Overseas — Copy Strategies From Spotify and Snickers to Succeed Anywhere | Entrepreneur

    Your Current Marketing Plan May Not Work Overseas — Copy Strategies From Spotify and Snickers to Succeed Anywhere | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Expanding into new international markets presents an exciting yet formidable challenge. With over two decades in the PR industry, I’ve navigated the complexities of diverse cultural landscapes and I’ve seen firsthand how a PR strategy that thrives in the U.K. might not resonate, for example, in the U.S., Asia or Brazil. The key to a successful international PR campaign lies in understanding and adapting to the unique characteristics of each market.

    So, how do you ensure your PR strategies are optimized for foreign markets? This article will explore how to elevate your PR game to meet the demands of international audiences. Drawing on inspiring examples from leading brands and our own successful expansions into various markets, we’ll provide insights to help you scale your business effectively.

    Related: 10 Expert Insights for the Optimal (and Most Effective) PR Budget in 2024

    Understanding the new market

    Before venturing into a new market, comprehensive research is critical. This involves delving into the region’s culture, consumer behavior, current market trends and competitive landscape. For instance, conducting targeted surveys can shed light on customer sentiments toward your competitors and identify key issues your target audience faces. This insight allows you to tailor your PR campaigns to address those specific needs.

    Understanding the local culture is equally important. A prime example is Uber’s adaptation to the Indian market by offering cash payments and auto-rickshaw options. This localized approach garnered significant media attention and resonated with the Indian audience, highlighting the importance of cultural adaptation in PR strategies.

    Localized content and messaging

    A one-size-fits-all approach to PR and communications is rarely effective when entering new markets. The success of your PR efforts hinges on your ability to adapt content and messaging to the local context. Here’s how you can ensure your PR campaigns resonate with the new audience:

    1. Tailor your content: Use insights from your market research to customize your messaging. This involves adapting your brand’s tone, style and content to align with the cultural and linguistic preferences of the local audience. For example, in Germany, where directness is valued, a straightforward approach might be more effective; whereas, in Japan, a more subtle and respectful tone might be preferred.
    2. Engage local PR experts: Collaborating with local PR firms can be helpful. They have a deep understanding of the cultural nuances and can help craft messages that are both culturally sensitive and engaging. They also offer insights into local media landscapes and consumer behavior, which can guide your PR strategy.
    3. Incorporate cultural significance: Recognize and respect local holidays, milestones and cultural events. Tailoring your PR campaigns to reflect these significant moments can enhance audience engagement. For instance, incorporating local stories and testimonials in your campaigns demonstrates your brand’s commitment to understanding and valuing local traditions.
    4. Be sensitive to local norms: Ensure that your campaigns do not inadvertently offend or alienate the local audience. Familiarize yourself with cultural sensitivities and avoid using stereotypes or imagery that may be deemed inappropriate.

    A nice example of localized content across regions is the Snickers campaign “You’re not you when you’re hungry,” which ran for over six years across 58 markets. While the message remained the same globally, its presentation was tweaked for different markets. For instance, U.S. audiences were treated to the famous Betty White Superbowl ad in 2010, while in the U.K., the campaign was launched using Twitter (now X). National newspapers picked up the story and a campaign of just 25 tweets reached more than 26 million people.

    Related: Beyond Borders: Five Tips For Expanding Your Business

    Building relationships with local media

    Cultivating positive relationships with local journalists and media professionals is crucial for gaining favorable coverage. If you’re not familiar with the local media in a new area, a quick online search can help identify key newspapers, TV stations, radio channels and news sites.

    Spotify’s launch in India in 2019 serves as an excellent example. By engaging local media with relevant campaigns and participating in social media trends, Spotify gained substantial media coverage and built a strong presence, reaching over 100 million listens from more than 55 million active Indian users by December 2023.

    Face-to-face interactions, such as conferences and product launches, can significantly enhance media relationships as well. Research shows that 61% of people consider such direct engagement the most effective marketing channel.

    My team has experienced how valuable these interactions can be by attending major conferences like Latitude59 in Estonia and Money20/20 in Amsterdam and Thailand. These events provide invaluable opportunities to meet media representatives through side events, partnerships with organizers and pre-booked meetings. By building relationships in these settings, we’ve been able to collaborate on article pieces and extend invitations to our own media events, further solidifying our presence in these markets.

    Related: Why Local Media is the Secret to Getting Free PR

    Utilizing sponsored content

    Sponsoring content is another effective strategy for penetrating new markets. By sponsoring sports teams, events, TV shows or online content, you can increase brand visibility and control the narrative presented to your audience. Sponsored content allows you to maintain creative control while ensuring rapid visibility across key media outlets.

    For example, our own experience with a sponsored article in IBTimes significantly boosted our visibility as we expanded into the Asian market. The article highlighted our strategic move to incorporate a wholly-owned subsidiary in Hong Kong, effectively targeting a specific audience interested in market expansions and financial operations. This demonstrates how a timely paid piece can be more efficient than waiting to cultivate a new media relationship, especially when immediate visibility is crucial.

    By combining paid and organic PR, you can maximize the impact of your brand in new markets and deliver its message more effectively.

    Related: Does PR Actually Help Increase Sales? Yes — Just Do It Right and Be Patient

    Leveraging influencers and local advocates

    Influencers play a crucial role in amplifying your brand’s reach in new markets. Their established trust with their followers can significantly enhance your product’s credibility. To leverage this, identify influencers who align with your brand values and offer them exclusive access to your products. This strategy helps build trust and effectively engages new customers.

    While global celebrities can boost brand visibility, partnering with local influencers and advocates who genuinely connect with the target audience can be more impactful. For instance, Nike’s “Nothing Beats a Londoner” campaign successfully used local athletes to connect with young Londoners, resulting in a significant increase in searches for Nike products.

    Another great example is the fintech company Wise, originally founded in Estonia, which specializes in international money transfers. To promote their international Visa debit card in Brazil, Wise recently launched a national campaign featuring local influencers and brand ambassadors. The positive media coverage and high engagement levels indicate that this localized approach is already proving successful.

    Related: How Can Startups Leverage Influencers?

    Developing a local network

    Just as leveraging local influencers and advocates is key to establishing your brand, developing a robust local network is equally important. A strong network can open doors to future partnerships, provide valuable insights and offer resources that are crucial for navigating the cultural and regulatory landscapes of a new market.

    When we expanded to Estonia, we experienced firsthand the power of a local network. Through Estonia’s e-Residency program, we were able to quickly and efficiently set up our company and operate globally from a digital hub. But the benefits didn’t stop there. The program introduced us to key stakeholders, bridged connections with local media and even provided a platform for us to share our news. This network facilitated our entry into the market and laid the foundation for sustainable growth.

    By actively cultivating relationships with local business leaders and government agencies, your brand can gain the support and credibility needed to thrive in new markets. Engaging with local chambers of commerce, industry groups and other community organizations can also help you stay informed about market trends and opportunities, making your PR strategy even more effective.

    Monitoring and measuring success

    Last but not least, ongoing monitoring and evaluation are essential to gauge the effectiveness of your PR strategies. Establish KPIs to track progress against your objectives and measure ROI. Utilize tools like Google Analytics, social media monitoring and sentiment analysis to track engagement, brand awareness and media coverage.

    As discussed, entering new markets successfully demands a well-researched and strategically tailored PR approach that adapts to local consumer needs and cultural nuances. By applying the insights shared in this article, you’ll be well-equipped to effectively navigate international landscapes, build brand awareness, trust and credibility in new regions and drive sustainable growth for your brand.

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    Alexander Storozhuk

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  • 5 Effective Strategies for Building a High-Performing Global Team | Entrepreneur

    5 Effective Strategies for Building a High-Performing Global Team | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Global expansion is a huge move for your business that can complicate matters when you want to increase the size of your team. Hiring qualified employees from abroad can be complicated. Many things have to be considered, including new rules or regulations in different countries that need to be followed and cultural differences that may also arise.

    In the ever-changing global business environment, the use of appropriate technologies and strategies can set apart successful firms from average or struggling ones.

    In light of this, how do you then put together an amazing global team? Through my own experience, I’ve discovered 5 key strategies that can set you and your team up for success.

    1. Support workplace diversity and Inclusivity

    If you establish an inclusive and efficient system culture across your globally expanding enterprise, then performance will increase immediately. However, one should also bear in mind that cultural disparities exist among team members from diverse backgrounds. You will need to create a workplace that respects and recognizes each person’s culture while also fostering an understanding of various traditions and opinions.

    There’s a need for companies to consider various holidays people celebrate in different countries so as not to be seen as ignorant or insensitive by their own employees who come from other places. Common concerns revolve around non-verbal communication like gestures at work, dress codes in offices and how we relate with one another socially . One way out is by employing experts who specialize in diversity issues across cultures, such as customs or traditions, to ensure a safe and respectful work culture.

    Related: Life’s Too Short to Work With Incompatible People — Follow These 3 Secrets To Building High-Performing Teams

    2. Leverage EOR Service

    If you are expanding your business globally, it may really help to hire an Employment of Record (EOR) service provider. An Employment of Record legally employs your team members in their local country on your behalf. It enables you to access the best skills from anywhere around the world without necessarily having to go through the lengthy procedure of first establishing foreign legal entities yourself.

    When you partner with a good EOR, you get a bunch of sweet benefits:

    • Faster access to global talent: You can start building your team abroad as soon as possible instead of waiting months for all the legal paperwork to go through.
    • Less worry about compliance: EORs take care of handling all those local employment laws and HR requirements that give you headaches.
    • Cost savings: EORs have the expertise to help minimize your operational costs when hiring globally.
    • Flexibility: You can easily scale your global team up or down as your business needs change.
    • Specialized expertise: EORs have tons of experience helping companies expand globally the right way.

    Lean on EOR specialists so you can focus less on annoying HR logistics and more on finding superstar talent around the world.

    3. Invest in management training

    To succeed globally, you need awesome managers across the board. That’s why strategy number three is to invest heavily in management training.

    Make sure your managers are pros at leading global teams. A quality manager in a distributed team excels at nurturing career growth, making the most of their unique talents, ensuring smooth conflict resolution, and guiding through change and uncertainty. They build adaptability and psychological safety, encouraging open communication.

    Additionally, the ability to encourage and inspire individuals as a manager will create an environment in which every team member feels welcomed and encouraged. Each one’s unique strengths can be recognized and leveraged for the success and cohesion of the team.

    In fact, managers account for 70% of the variability in team engagement. Well-trained managers unite your global workforce and amplify your culture anywhere.

    4. Focus on building trust

    When your team is distributed worldwide, success depends a ton on trusting relationships. That’s why strategy number four is to focus on building trust and connections, even from afar.

    Building trust in a global team requires participation in a variety of activities that promote bonding and camaraderie. Icebreaker games during meetings and setting up Slack channels for casual talk all help team members bond. Hosting virtual coffee talks or happy hours provides for socialization outside of work, whereas annual in-person offsite gatherings provide valuable face-to-face interactions.

    Furthermore, it is critical to tailor communication techniques to each direct report, publicly acknowledge wins and progress, and listen deeply to understand different perspectives. These actions make team members feel appreciated, heard, and connected, ultimately building trust within the team.

    When managers invest in relationships, their teams perform better. Trust accelerates team cohesion, collaboration and results.

    Related: 10 Simple Steps to Build an Exceptional and Efficient Team

    5. Set up clear communication channels

    When organizing a clear communication protocol, time zone differences could become a major, even impactful, issue. Face-to-face meetings between team members may be nearly impossible when they work from different areas of the world. That’s where video conferences can ensure fast and efficient dialogue.

    A number of video conferencing tools recently achieved global use as remote work grew in popularity. Tools like Zoom and Google Meet help businesses hold on-the-spot presentations, webinars, and team meetings with accurate, real-time visuals. They also give team managers the ability to arrange one-on-one check-in sessions with employees, allowing them to discuss workload and other relevant concerns.

    Expanding your business globally does not always mean success. However, you can achieve this goal through careful planning, effective communication, and an all-inclusive corporate culture. Above all, using local collaborators in the form of an Employer of Record exponentially increases the chances of building a winning team.

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    Pritom Das

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  • Here’s What Every Business Needs To Know About Global Logistics In 2024 | Entrepreneur

    Here’s What Every Business Needs To Know About Global Logistics In 2024 | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    The pandemic made global supply chain issues a common dinner table conversation. Now, with escalating geopolitical tensions and competing manufacturing hubs in China, India and Mexico, it can be hard for businesses to understand what the best strategy is for moving goods internationally.

    Yet, despite the complexities affecting our global supply chains, the opportunity for businesses to engage in international trade has never been better. Advances in technology continue to make it easier to automate logistics. In fact, according to Acumen Research and Consulting, the global logistics automation market is predicted to reach $133 billion USD by 2030.

    Not only is technology making supply chain logistics easier for businesses to manage, but in a down market, there can be opportunities to negotiate better deals with overseas suppliers, find new customers and create business models that adapt to future market conditions.

    Regardless of your motivation, if you’re a business looking to expand abroad, here are three tips that can give you a competitive edge:

    1. Understand regulatory requirements in advance

    Paperwork may seem tedious, but in the world of global logistics, an incorrect or incomplete form can determine whether or not your shipment gets across the border. As the leader of a customs brokerage and freight forwarding business, I can tell you brokers spend a disproportionate amount of time following up with clients to complete the appropriate paperwork to clear customs.

    Understanding simple but important details like what determines your product’s country of origin is instrumental for budgeting and planning. For example, if a business purchases materials from China and further develops them in the U.S. before resale, many leaders assume they qualify for reduced duty through North America’s free trade agreement (now known as the Canada, U.S., Mexico Agreement) — but this isn’t always the case. Products must meet a specific set of criteria to leverage the lower duty rates. Missed details like this can cost businesses a significant amount of money unexpectedly.

    It’s also important to understand how exchange rates are calculated. Many businesses are surprised when they have to pay more for duty on a shipment when it arrives than they originally estimated. That’s because duty is calculated based on the exchange rate at the time the goods arrive at their destination. Exchange rates fluctuate, so it’s important for businesses to bear this in mind when creating budgets.

    Related: Your Customers Don’t Care Where Your Ecommerce Business Is Based, So Be Ready to Ship Anywhere in the World

    Factor In geopolitical tensions and changing market conditions

    From China’s recently passed “retaliation tariff” to attacks on merchant ships in the Red Sea, growing geopolitical tensions are causing businesses to rethink their trade routes.

    How a business navigates geopolitical disruptions largely depends on whether it is looking for a short-term or long-term strategy. If a company is looking for a short-term strategy, for example, it can likely adapt more swiftly to trade route disruptions. Businesses focused on long-term logistical planning, however, need to factor in the big-picture implications of geopolitical stability.

    Take, for example, the current tensions between the U.S. and China, which have caused more manufacturers to set up operations in Mexico. If the U.S. decides to permanently shift its purchasing from China to Mexico, this change would have significant implications on the trade route’s pricing and capacity in the long term.

    Businesses entering into international markets should factor in what parts of the supply chain are likely to be disrupted within the time frame they are targeting and consider whether or not they are well positioned to pivot, as necessary.

    Related: How to Find International Customers and Partners as You Expand Your Market

    Build strong relationships with international partners

    One of the most overlooked factors in navigating global logistics is the importance of building strong relationships with partners abroad. Businesses seeking strong international partnerships must learn and adapt to the customs and cultures of the regions they operate within.

    In my work, I do business with partners in multiple countries. Every year, when I attend their annual conferences, I notice the difference between leaders who respect the local customs and those who operate as though they were on home soil. Often, this attitudinal difference determines who establishes long-lasting, cooperative partnerships that lead to better pricing and referrals and who loses business altogether.

    According to the International Labour Union, a staggering 70% of international ventures collapse due to cultural disparities. Every culture has its own etiquette. Doing a little research on the communication rules and accepted behaviors in the countries you’re operating in can go a long way toward establishing a cooperative partnership.

    As a seasoned leader in international logistics, I’ve seen firsthand the transformative power of adapting to global market dynamics. For businesses venturing into international terrain, understanding regulatory landscapes, geopolitical shifts and cultural nuances not only mitigates the risk of expansion but can help maximize the opportunity.

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    Mike Chisholm

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  • 7 Factors Entrepreneurs Must Consider Before Going Global | Entrepreneur

    7 Factors Entrepreneurs Must Consider Before Going Global | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    When you decide to expand a business globally, there are some serious considerations you need to make. Even though there are big rewards from global expansion, there are also significant risks. Making this bold move as an entrepreneur means facing challenges you must be prepared for. With careful consideration of these challenges and all the factors that come into play, you could avoid making mistakes that would harm your business.

    Here are the most essential factors you must plan for before leaping to take your company global.

    Related: 5 Key Points to Consider When You Are Expanding Your Business Globally

    1. Markets and trends

    The market in one country may differ significantly from that in other countries. Even between close-knit areas or countries that border one another, the culture and the challenges can be unique. If you’re not planning for that and are unaware, it could affect your company. You may end up without a market in your new location. It could be that the trend you’re trying to get in on has already passed that area, leaving you behind the competition.

    2. Economic factors

    How is the economy in areas of the globe where you plan to expand? That’s another consideration I suggest looking over carefully. The population in the new location may love the look of your product and what it can offer, but if they can’t afford it, you won’t make sales. Not only that, but even an affordable product must align with its competition based on price and features. Make sure the economy can support your decision to expand.

    3. Political factors

    Avoiding politics, especially with customers, is generally a good idea. Still, the fact remains that the region you’re expanding into can affect whether your product is well-received or not. Just like you likely wouldn’t try to sell conservative t-shirts in a heavily liberal area, you want to make sure there aren’t any political factors that will affect your global expansion. Countries restricted due to their government might not be good choices for your expansion efforts. You should choose countries and areas that make your company’s expansion as easy and seamless as possible.

    4. Entity set-up requirements

    Are you going to have to spend years and thousands of dollars just to get permission to legally operate in a particular area of the world? If so, bringing your products there may not be worth it. Set-up requirements for your business entity can take time, and there will likely be some expense, but the area’s requirements should be manageable overall. There are likely other areas you can choose that won’t have these issues.

    Related: 6 Obstacles of Expanding Your Company Internationally — and How to Overcome Them.

    5. Legal barriers

    Much like politics, the legal aspects of moving your company’s offerings into more global areas must be considered. For example, if you want to expand your company’s online presence and ship to more countries, that’s typically easier than setting up physical locations. Some countries may make it difficult for you to operate a business when you have no other legal ties. Even if you get through all the red tape, you’ll be behind your competition immediately. That might not be a safe business move.

    6. The competition

    Concerning the competition, it also matters when considering going global as an entrepreneur. Moving into a market heavily controlled by well-established companies might not be your best option. Instead, consider areas with limited competition for your product but where there’s still a market for what you’re selling. Finding the right places can take time and research, but that can be time well spent when you don’t have to compete as hard for customers.

    7. Workforce needs

    Your workforce will be important, and that’s even more significant as your company grows its presence in a country or region. While many jobs can be handled online from nearly anywhere, some still have to be done in person. If your company needs a presence in a new area, you want to be sure there are enough potential workers with the skills and experience you need. Then you won’t need to provide as much training and can see more growth faster.

    Expanding into the global market might be the best thing you could ever do for your company, but only if handled correctly. Well-established entrepreneurs know that companies have to take that kind of expansion seriously if they’re going to see success. Before becoming a global company, consider the seven factors above and ensure you’re truly prepared for your business’s next adventure.

    Related: Successful Leaders Think Globally — How to Expand Your Business Abroad For Maximum Success

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    Igor Borovikov

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  • 5 Simple Ways SMBs Can Enter a New Global Market | Entrepreneur

    5 Simple Ways SMBs Can Enter a New Global Market | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    As a small or medium-sized business (SMB), do you have your sights set on expanding your reach to new customers by entering a new market … specifically a market overseas?

    As CEO of INS Global, I have seen firsthand how SMBs can expand effortlessly by studying the lessons of expanding multinational companies (MNCs). Here are five actionable ways to achieve new market entry without having to start from scratch.

    Related: Successful Leaders Think Globally — How to Expand Your Business Abroad For Maximum Success

    1. Look before you leap: Conduct market research

    Entering a new market that at first glance looks profitable and stable is an exciting proposition. However, take time to deeply understand the market you are about to enter. MNCs often conduct extensive research prior to entry, and SMBs can collect the same kind of information on a smaller scale. When car maker Toyota entered the U.S. market, it manufactured cars that were reliable, spacious and comfortable, as American consumers value these qualities. Its market research paid off, and Toyota is a leading automaker in the U.S. today. Be sure to analyze your target market prior to entry:

    • Collect data directly from the new market: This may come in the form of government reports, trade association communications and following thought leaders in the new market.

    • Identify your target market and research the competitors: What are their strengths and weaknesses, and where can you differentiate yourself from the competition?

    • Prevent potential roadblocks: Are there special regulations that apply to your industry or product category? What is the current and forecasted level of demand for your product or service?

    2. Set goals for small progress

    Don’t let planning become a form of procrastination. Your primary goal of expanding your business should stay front and center. Otherwise, you risk spending all your time focusing on “what if” instead of focusing on “what’s next.” Focus on taking small steps forward and adjusting as you go, making sure to get out of your own way.

    Starbucks has widely been hailed for finding success in China’s marketplace in a way that has been elusive to other MNCs. At first, Starbucks launched a single store in China to test receptivity. It did not wait until it had the perfect model, the perfect menu or the perfect long-range plan in place. The company started with a small step into the Chinese marketplace. Because it initially focused on optimizing one store, it was able to quickly make needed adjustments prior to full-blown expansion. As of 2023, Starbucks is now opening more than one store every day in China.

    3. Collaborate with other SMBs in your new market — even competitors

    By collaborating with other small businesses currently in the existing market or those looking to enter the same new market, you can lower the risk, share costs and gain access to shared resources. For example, in 2009, competing cell phone companies Vodafone and Telefónica formed together a strategic partnership to enter new European markets. As an SMB, consider partnering with a company that can help navigate a new business expansion. At INS Global, we help companies expand with success, by specializing in finding local candidates that are perfect to fill the job in your new location. The best part is our clients don’t need a legal entity in the new country. We hire and pay their employees legally as their representative.

    Related: Here’s How to Make Your Expansion Into New Markets a Success

    4. Stay visible and build your network

    You may be thinking to yourself, “I don’t have time to put out a newsletter, scroll through LinkedIn daily or post on social media.” Networking may seem like the first item to fall off of your to-do list, but if you don’t grow your company’s online visibility or fail to tailor your company’s value proposition to new markets, you could be missing out on access to new opportunities and increased brand awareness.

    Building relationships through intentional networking can help you gain access to new opportunities within new markets. You can also find another SMB that has successfully entered a new market (possibly even your new target market!) and seek their mentorship, guidance and coaching on business growth, the local market and cultural nuances.

    5. Avoid autopilot at all costs

    SMB entrepreneurs aren’t the only ones who suffer from hitting the “easy button” when entering a new market. As you look to enter a new global market, take time to learn from the mistakes of MNCs. It’s hard to imagine a multinational company like Target struggling to find success, but that’s exactly what happened when Target tried to simply duplicate its U.S. business model.

    The cultures and market seemed so similar, what could go wrong? Due to its lack of understanding the local Canadian market, the foreign exchange rates and Target’s inability to quickly adapt to such challenges, Target’s 2013 entry into the Canadian market was deemed a failure. Just two years later, the retailer closed all of its stores in Canada.

    Target’s failure does not mean you will inevitably fail if you enter a new market with the exact same product and business model that you are currently using. But by staying vigilant and adaptable, you can overcome any unforeseen challenges that you may not have originally considered.

    Entering new global markets can be a great way to expand your small business, even though it can be an intimidating journey to begin. By following the tips in this article, you can increase your chances of success and accelerate your growth.

    Related: Is Your Business Ready for International Expansion? Here’s What You Need to Know.

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    Wei Hsu

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  • 6 Obstacles of Expanding Your Company Internationally — and How to Overcome Them. | Entrepreneur

    6 Obstacles of Expanding Your Company Internationally — and How to Overcome Them. | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Expanding a successful startup internationally can be exciting, but it’s not without its challenges. What works in one country might not necessarily translate smoothly to another. The world is a diverse tapestry of cultures, legal systems and market dynamics. Let’s explore the obstacles that startups should manage when venturing into the international arena, complete with real-life examples that shed light on the complexities of global entrepreneurship.

    Related: Successful Leaders Think Globally — How to Expand Your Business Abroad For Maximum Success

    Cultural challenges

    Culture is like a hidden iceberg that can sink your international business if not navigated carefully. Cultural challenges are often pivotal aspects of international business expansion. A profound understanding of local customs, values and preferences is indispensable for success.

    For instance, McDonald’s faced a significant cultural challenge when entering the Indian market, where vegetarianism is prevalent. To resonate with the predominantly vegetarian customer base, the company astutely adapted its menu. This transformation included the introduction of a variety of spicy sauces and condiments, along with local favorites like masala fries. This strategic move not only ensured the acceptance of the McDonald’s brand but also significantly boosted its popularity in India. This example underscores the vital role that cultural sensitivity plays in international expansion, as it can be a decisive factor in whether a business thrives or struggles in new markets. Understanding and respecting local cultures can turn challenges into opportunities and create lasting success.

    Team dynamics

    Managing a team spread across different countries can be a complex jigsaw puzzle. Critical decisions about staffing levels, choosing between local or international teams and HR processes weigh heavily on the success of international ventures. Recruiting and relocating foreign teams to specific countries often entail intricate processes, extending over several months. Consequently, meticulous and timely preparations become invaluable in alleviating stress and conserving significant resources.

    Related: 3 Steps to a Successful International Expansion

    Product adaptation

    Your product may be a hit at home, but it might need a makeover abroad. Nestlé’s experience in Japan is a classic example. They realized that their standard ice cream bars were too large for Japanese freezers. So, they downsized the product, ensuring a snug fit.
    Had Nestlé not recognized and addressed this issue promptly, it could have led to a series of potential losses and setbacks, including financial losses, reputation damage, market share erosion and missed opportunities. By adapting their product size to Japanese preferences, Nestlé not only prevented potential losses but also tapped into a market segment they might have otherwise missed. Small changes can make a big difference in product acceptance.

    Marketing mishaps

    Marketing is a minefield where a misstep can have serious consequences. Procter & Gamble (P&G) learned this the hard way during the mid-1970s when they ventured into the Japanese market with Pampers disposable diapers. In the United States, P&G’s diaper advertisements featuring storks struck a chord with parents eager to bid adieu to cloth diapers. However, this approach fell flat in Japan, where storks had no association with delivering babies. Instead, Japanese folklore featured giant peaches. A comprehensive understanding of local customs and traditions is essential for success in diverse global markets.

    Navigating legal landscapes

    Setting up a business internationally involves grappling with legal complexities. Airbnb, for example, had to adapt to varying regulations in different countries. Some places imposed restrictions on short-term rentals, while others required hosts to register. Adhering to local laws and regulations is essential to avoid legal troubles. Additionally, choosing the right legal structure for your business is crucial, considering ownership restrictions in some countries, such as specific limitations on foreign ownership and requirements for local shareholders or partners. Selecting the appropriate company type, appointing directors and securing the necessary permits are all fundamental steps in this intricate legal process.

    Related: 4 Tips for Expanding Your Business Globally

    Licensing, permits and intellectual property protection

    Securing the necessary licenses and permits for your business can vary significantly from one jurisdiction to another. Just because you have the required permits in one country doesn’t guarantee the same in another. This intricate process involves understanding and complying with diverse legal requirements. In addition to licenses and permits, safeguarding intellectual property (IP) rights is paramount. Apple’s protracted struggle with Chinese counterfeiters exemplifies the hurdles of protecting IP in a global marketplace. Your business must navigate these intricacies diligently to operate smoothly and safeguard your innovations and assets.

    Expanding internationally is a thrilling journey filled with opportunities and hurdles that test the mettle of startups. As exemplified by real-life cases like McDonald’s catering to Indian tastes and Nestlé’s ice cream adaptation in Japan, the ability to adapt, respect local norms and navigate the intricacies of diverse markets is the cornerstone of international success.

    Each obstacle conquered not only adds to a company’s expertise but also unlocks the potential for broader global reach and influence, creating a more resilient and adaptable organization. International expansion may not be a piece of cake, but with the right preparation, a keen mindset and an unwavering commitment to understanding and embracing global diversity, it can be an immensely rewarding adventure that propels businesses to new heights of success.

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    Olga Fleming

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  • Can We Trust AI For Language Translation? | Entrepreneur

    Can We Trust AI For Language Translation? | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Are you fluent in speaking your customers’ language? Research indicates that 65% of people prefer consuming content in their native tongue and 76% prefer products that provide information in their own language.

    To appeal to international buyers, establish meaningful connections and remain competitive, businesses must ensure that their content is accessible in the native language of their customers.

    AI has become the talk of the town for making its way into every industry and fundamentally changing how we work. So, is AI language translation technology advanced enough to meet the language requirements of global companies?

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    Nikita Agarwal

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  • Why a Recession Can Be a Good Time for Expansion | Entrepreneur

    Why a Recession Can Be a Good Time for Expansion | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    “We very much believe strongly in investing through downturns” is a famous remark by Tim Cook, CEO of Apple Inc. With this philosophy, Apple has time and again managed to not only survive but thrive during periods of economic upheaval. At a time when major tech companies were shutting down shops during the recession of the dot-com collapse, Apple focused on acquiring graphics and productivity software companies.

    Opportunity and hidden value are often-overlooked aspects of recessions, but it takes the right entrepreneurial mindset to see the potential upside of recessions in the first place.

    The mainstream and more conservative approach calls for minimizing costs and risks and “waiting it out” until the economy improves. Indeed, the current economic climate, with a boogeyman recession that has been looming “just around the corner” for a year or more, has induced similar feelings of uncertainty, caution and a desire to tighten things down and wait until sunnier skies prevail.

    But does this strategy make it harder for you to spot new opportunities that may arise? Could a shift in mindset to viewing recessionary periods as rife with opportunity help take your business to the next level?

    As someone who has helped scale hundreds of companies, I sit firmly in the camp that views recessions as opportunities for growth. It doesn’t mean I act or advise clients to act recklessly. Far from it. In fact, investing in new markets, technologies or sectors during challenging economic times requires even greater awareness of market conditions on the ground and an ability to perform due diligence optimally.

    International expansion, my area of expertise, is one area in particular where businesses can find greater value or opportunity during periods of economic uncertainty or downturn. But how do you spot those opportunities, particularly in a market where you have no presence and limited knowledge?

    Related: Is a Recession Actually a Good Time to Expand Your Business?

    Spotting value in overseas markets

    Through accurate assessment of internal and external factors, you can maximize your chances of spotting value overseas in the wake of reduced competition. For instance, you can reprioritize your expansion plans by focusing on markets that are hit harder than most during a recession. This will increase your chances of success as your competitors are likely to be on the defensive in such markets. Businesses operating in industries relatively immune to a recession, such as consumer staples, shipping, utilities and healthcare, tend to fare better than others when executing expansion plans in recession-hit economies. What opportunities may offshore markets yield for your company in these areas?

    Once you’ve evaluated your product/market fit in new markets and identified any gaps you may be able to close, you stand to benefit immensely by identifying and investing in undervalued assets and opportunities. These investments can develop into a sustainable competitive advantage to last for the long run.

    Identify top talent

    Recessions are almost always accompanied by companies laying off employees in droves to stay afloat. This often results in even the best employees departing despite stellar job performance and drive to grow. This creates a unique scenario where the supply of top talent increases while demand decreases.

    If the world were to experience another Great Recession, the job market would be flooded with people looking for opportunities even at lower compensation in return for job security and a growth ladder. Your business can take advantage of this skewed job market by seeking out top talent and investing in it.

    This human resource investment can prepare your company for success in the future. You can hire skilled, ambitious and growth-oriented employees at less-than-market rates to become partners in your future vision.

    Related: Most Businesses Slow Down During a Recession — Here’s How to Keep Pace and Grow Your Company in 2023

    Explore incentive programs overseas

    It is not uncommon for a country to offer incentives to foreign players to pursue investment and expansion plans during a stagnant economy. This can be a win-win for the affected economy and the foreign businesses setting up shop in a new market.

    For instance, China’s recent stimulus package in the wake of its zero-Covid policy, tax cuts and liquidity injections are meant to spur demand and kickstart business activity.

    Such government incentives are great for providing a cushion for your global expansion plans and gaining a first-mover advantage. While your competitors are busy firefighting a recession, you can strategize and pivot to expanding rather than cutting back.

    To avoid missing out, you need to stay up-to-date with the policy changes and new incentives, which can be quick and time-sensitive. One way to spot opportunity in an unfamiliar market and act quickly is to leverage the local expertise of a Professional Employer Organization (PEO).

    Expand through a recession with a local expert

    A recession can be a challenging period for growth, especially when expanding into a new country, and it is not for everyone. There are often unprecedented market forces to tackle in addition to intense competition and thin margins. But if you manage to focus on your strengths while minimizing your risks, you can use the recession to your advantage.

    A recession offers unique value that simply requires experience and the right timing to yield significant rewards. Partnering with a trusted PEO partner like INS Global is one such strategy that helps you leverage decades of global expansion expertise while being fast and effective.

    Related: How Great Entrepreneurs Find Ways to Win During Economic Downturns

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    Wei Hsu

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  • How Working With Startups from Around the World Can Improve Your Business | Entrepreneur

    How Working With Startups from Around the World Can Improve Your Business | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Growing up in rural Illinois, I had little international communications experience. In fact, it was actually sitting at a big zero by the time I got to college. In my first few jobs, I lived and worked in big (and then bigger) cities and grew experience working with people from all over the world. It energized me to learn about different cultures, customs and communication styles. Colleagues and clients inspired me to travel and increased the “countries to visit” portion of my bucket list.

    Launching a virtual public relations agency meant the in-person meetings may have reduced, but the ability to connect with even more people worldwide increased exponentially.

    Our agency works with partners all over the United States and India, Israel, Finland, England, APAC and more. One of the best things about working in the tech space in many countries is that great partnerships tend to lead to more great collaborations and opportunities (and even friendships).

    We have a CMO partner in Israel who has hired us in her last three positions, recommended us to other Israeli tech companies and is someone I would now consider a personal friend. It was upon working with her years ago we quickly discovered the growing Israeli tech scene and made a point to connect with others in the space.

    While a personal example, working and collaborating with international partners has given my team and me priceless experience in international business relations.

    If your business allows it and you have not started working with partners outside your own country of origin, I highly recommend it.

    Related: Surviving the Storm: 10 Effective Communication Strategies for Startups to Survive the Economic Downturn

    1. The early riser benefit

    Working on the west coast, I often have early morning meetings to coincide with my east coast counterparts’ and media schedules. But it’s also a perfect time for international calls to take advantage of the overlap between working hours. It may also help you be more productive by working during your peak hours. By working with companies on the other side of the world, you can schedule your work around your natural energy levels.

    Once you’ve connected at the end of their day and the start of yours, the rest of the day means fewer interruptions by Slack, WhatsApp, emails and other distractions.

    This may ultimately increase your bandwidth to take on additional clients as time management improves due to time zone communication.

    Related: Should You Head to the East or West Coast to Launch Your Startup?

    2. Collaborative learning

    International partners foster a more collaborative environment. Working with brands from other countries can help a PR agency learn about new cultures and how to do business in different parts of the world.

    This knowledge impacts and develops new strategies and tactics that can be used to help their clients succeed. It’s far too easy to become complacent in your country’s norms, and it’s essential to hear, see and learn about other ways of life, trends and cultures.

    3. Gain access to new markets

    “The world is a small place” is true when you specialize in an industry. As mentioned above, many countries have ecosystems in particular areas, and it can mean ongoing referral partnerships after a single successful engagement.

    Working with brands from other countries ultimately helps a PR agency to gain access to new markets. This is a great way to expand the business and reach new customers.

    4. International partners

    In our case, companies looking to hire us to increase their presence in the North American market may have a country-specific PR agency they work with. That means we get to partner with another team who already shares a common bond through our profession.

    It provides several benefits, including:

    • Access to new markets: Partners have the local knowledge and expertise you need to succeed in new markets.
    • Cultural understanding and language skills: This is essential for developing successful localized PR campaigns.
    • Network of contacts: Both teams support the shared build of media contacts. This can help get your foot in the door and for developing new opportunities.
    • Cost-effectiveness: Many times, the collaborative hiring of partner agencies costs far less than hiring two agencies separately.

    Related: 5 Ways to Connect and Network With Other Entrepreneurs

    5. Become more competitive

    The ability to work with companies around the world automatically increases your competitive advantage. It also means that PR agencies may be able to offer a wider range of services and expertise, including cross-cultural communication, international media relations, and global market research.

    Over time PR agencies develop skills and expertise to understand:

    • Cross-cultural communication: Communicate effectively with clients from other cultures. This means understanding the client’s culture, communication style and expectations.
    • International media relations: Build relationships with international media. This means understanding the media landscape in different countries and how to pitch stories to international journalists.
    • Global market research: Conduct market research in different countries. This means understanding the different markets in different countries and knowing how to collect and analyze data.

    Working with companies from around the world has had many positive impacts on our PR agency. From an increase in revenue, partnerships and international media, we have gained a deeper understanding of different cultures and how to do business in different parts of the world.

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    Sarah Evans

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  • Local Entity or PEO — What to Choose When Expanding Your Business Globally | Entrepreneur

    Local Entity or PEO — What to Choose When Expanding Your Business Globally | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Multinational organizations are actively pushing boundaries when it comes to cost-effective and agile ways to expand their global footprint. Global expansion, by itself, is no cakewalk. And with the world economy more uncertain than ever, it only gets trickier. Furthermore, remote work is fast becoming an indispensable reality of business, thanks in no small part to fundamental workplace changes coming out of the pandemic.

    You can establish a presence in a new and unfamiliar market yourself by setting up a local entity. Alternatively, you can partner with a Professional Employer Organization (PEO) to expand into the new market far more quickly with less risk and without needing a full-fledged local presence. These are three of the key advantages of partnering with a PEO for expansion.

    Amid such unprecedented and dynamic challenges, it makes sense for companies to consider the options between the DIY and the PEO method, based on their strategic goals and resources. Let’s look at how you should deliberate this crucial decision and what you stand to gain by taking either route.

    Related: 3 Tips for Global Business Expansion

    What is a local entity?

    A local entity is a full-fledged arm of your company established in a foreign country. This can be a subsidiary or enterprise that is legally owned by your parent company and is subject to all local laws and regulations of the target country. Many multinational corporations choose the subsidiary route when establishing presence in a new country.

    Setting up a local entity in a new market can sometimes take years before the organization can start any operations. It involves a thorough grasp of legal compliance, business regulations, the labor market and many other areas related to the target market.

    What is a PEO, and how does it work?

    A PEO is an outsourcing partner that helps you expand into a new country by representing your company there and managing many of the operational issues you will face, including staffing, HR services, payroll, benefits, taxes and compliance. PEOs often provide Employer of Record (EOR) services as well, whereby they act as the official employer in your target market, functioning as an intermediary between your organization and the local government.

    PEOs help you get up and running in a new and likely unfamiliar market as they’re highly experienced with the law of the land. They’re also adept at onboarding resources and setting up in a timely manner all necessary legal and compliance structures required by the government of the target country.

    Related: Considering an Overseas Expansion? Avoid These 3 Mistakes.

    When to choose a PEO over a local entity

    There are quite a few advantages of going with a PEO when expanding into a new country. From saving invaluable time and resources to avoiding heavy penalties and legal complications, PEOs can eliminate much of the hassle typically associated with global expansion.

    Here are a few of those benefits in detail:

    Time savings

    You can save valuable time by partnering with a PEO instead of trying to do it yourself. There are many barriers to market entry that can take significant time to resolve, especially when there is a lack of knowledge about the new country and its regulations. For instance, thorough due diligence about local laws and getting necessary approvals for a local entity can take many months. In contrast, a PEO can help you start operations in a new market in a week or two — a fraction of the time it would’ve taken otherwise.

    Cost savings

    Setting up a new organizational structure in a foreign market entails significant costs. Whether it’s hiring the best talent, navigating complicated legalese or recurring administrative overhead, a PEO can reduce your overall spending significantly when compared to establishing a local entity on your own.

    Compliance

    Labor and tax laws vary from country to country, and failure to comply can lead to not just financial but also legal consequences. PEOs like INS Global can leverage their decades of expertise operating in hundreds of international markets to help you dot the i’s and cross the t’s.

    Competitive advantage

    Small- and medium-sized businesses can leverage PEOs to provide attractive benefits to potential hires that they may not be able to offer on their own. This confers an advantage as an employer of choice.

    Owing to the various benefits offered by a PEO, you can consider partnering with one if:

    • You’re testing the waters and need a short-term solution before fully committing to a new market in the form of a permanent establishment.

    • You’re not going to hire more than 15-20 employees and don’t need a local entity.

    • You want to keep your legal structure simple and don’t plan on diversifying into multiple businesses.

    When does a local entity make more sense than a PEO?

    While PEOs offer fast, cost-effective and streamlined access to new global markets, they’re not for everyone, or at least not always. Sometimes, taking the longer route proves better in the long run.

    Opting for a wholly owned subsidiary or permanent establishment can prove the better choice for your business if:

    • You’re committed to a region and want to benefit from country-specific incentives (e.g., R&D tax credits in the UK).

    • The size of your team is much more than a few dozen employees, and a local entity will prove more cost-effective.

    • You’re diversifying into multiple businesses and incorporating import/export or government contracts into your business, which can increase legal complexity if you continue with a PEO.

    Related: 6 Best PEO Services of 2023 | Entrepreneur Guide

    Which one is better for your business?

    Like many important decisions, this one depends on a variety of factors. Before you commit to either a PEO or a local entity, assess your strategic roadmap and weigh the pros and cons of both approaches.

    Even in cases where you eventually decide to establish a local entity, it can take a long time to set up. In the interim, you can still get your business up and running by partnering with an experienced PEO, which can have you set up and running in a new country much faster.

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    Wei Hsu

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  • The Shortage of Tech Workers Can Be Solved By Hiring From This Region | Entrepreneur

    The Shortage of Tech Workers Can Be Solved By Hiring From This Region | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    A peak in the tech job market is coming. The migration and technological adoption that almost all the US industrial sectors undertook due to the pandemic has overstretched the available STEM talent pool in the United States. Tech workers’ wages have skyrocketed for some time due to the labor shortage.

    A close, competitive, and viable ally

    Reports and articles abound confirming growth in demand for STEM jobs linked to the industrial digitization goals of US companies. According to the U.S. Bureau of Labor Statistics, occupations such as Data Scientists, Information Security Analysts, Statisticians, or Web Developers are among the five fastest-growing jobs for the next decade (2021-2031). But domestic talent is not sufficiently available, and employing foreign workers can generate a significant administrative burden for companies. So, hiring engineers and data scientists based in Latin America can be a much simpler, more viable and more profitable alternative than importing talent from other parts of the world.

    First, the geographical factor is important since Latin American countries have time zones similar to the US, which can improve the coordination of work teams. Also, Latino engineers who graduated from regional STEM faculties are of top-notch quality. According to the 2022 QS World University Ranking list, the University of Chile, the Pontificia Universidad Católica de Chile, the UNAM in Mexico, and the University of São Paulo in Brazil are all producing high-caliber talent.

    Although there is no accurate census, according to data consulted from Brazil, Mexico, Chile, Argentina, and Colombia, an estimated 165,000 to 220,000 engineers graduate annually from these universities.

    Related: Why Entrepreneurs Are Looking Towards Latin America for Nearshoring Opportunities

    How to access that talent?

    The impact of COVID-19 in all industrial sectors revealed opportunities in the labor dynamics of which teleworking is here to stay—85% of IT divisions consulted by Deloitte plan to be hybrid or fully remote. However, 82% of US companies could not complete digital transformation projects in the past year due to a lack of resources and skills.

    The pandemic positively impacted the modernization of remote contracting and payroll administration platforms. Although there are specificities for different countries, there are generally three viable options for hiring remote talent: As an independent contractor, through a local employer (EOR), or via opening a company subsidiary in a specific country.

    Some platforms specialized in accelerating these processes are strategically located in Mexico, Brazil, Argentina, or Peru, such as Skills.tech, Revel or Baires. Those companies and others offer candidate filtering services, skills verification, team management, recruitment laboratories and continued talent education, among other features.

    Related: 4 Tips for Hiring Employees No Matter Where They’re Located

    Two potential drawbacks

    Firstly, companies seeking to outsource talent (of any kind) should include Diversity, Equity, and Inclusion (DEI) policies in their work culture. This concept is critical because Latino workers might quickly leave their employers if they do not feel represented or included. This often happens regardless of the team they work with or the professional challenges they face.

    Another factor to consider is language. Latin America is not particularly known for having the best English literacy in the world. According to the English Proficiency Index de EF (EPI), only Argentina is listed as having at least a “high” English proficiency among Latin American countries.

    The good news is that there is a direct correlation between work experience and the level of English. Better yet, the same EPI recognizes that, as a result of the pandemic, English in Latin America seems to have improved exponentially compared to the rest of the world. The scores show an increase of 16 points compared to the average increase of 3 points for the rest of the world.

    Related: Interested in Starting a Business Overseas? Keep These 5 Things in Mind

    Conclusion

    Having the most qualified people is key to competitiveness and growth for most businesses. Hence, US companies have been competing to attract and retain IT professionals. The current demand and shortage of professionals pose a unique and timely opportunity for Latin America, and several startups are starting to capitalize on this opportunity.

    While directly hiring foreign workers is an option for some companies, leveraging remote talent via service providers can present a simpler and more profitable alternative. The time zones of the USA are similar to those of Latin American countries, and the population of engineers is motivated and well-educated.

    With special attention to remote and DEI policies, Latin American talent can provide an unparalleled competitive advantage for US companies seeking tech workers.

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    Roland Polzin

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  • 6 Strategies to Weather Global Market Shocks | Entrepreneur

    6 Strategies to Weather Global Market Shocks | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    In today’s globalized world, businesses face many risks and uncertainties that can shake markets worldwide. These include economic recessions, political instability, natural disasters, pandemics, etc. Such events can significantly impact businesses, both large and small. Therefore, companies must develop effective strategies to weather global market shocks and remain competitive. This article will discuss business strategies to help companies weather global market shocks.

    1. Diversify your customer base

    The first strategy to weather global market shocks is diversifying your customer base. Relying on one or two major customers or markets can be risky, especially if these customers or markets are hit hard by a market shock. By diversifying your customer base, you can spread the risk and reduce the impact of market shocks on your business. This strategy involves exploring new markets, expanding product lines, and developing relationships with new customers.

    Related: How to Diversify Your Customer Base and Grow Your Business

    2. Build resilient supply chains

    The World Economic Forum’s Global Risks Report 2021 identified supply chain disruptions as one of the top 10 risks facing the world in terms of likelihood and impact. So a resilient supply chain is essential for any business to weather market shocks. Companies should have multiple suppliers, both local and international, to reduce the impact of any supply chain disruptions. They should also consider using technology to improve supply chain visibility and coordination. By building a resilient supply chain, businesses can ensure that they can meet customer demand even during market disruption.

    3. Maintain strong cash reserves

    Cash reserves are crucial for businesses to survive during market shocks. Businesses should maintain adequate cash reserves to cover expenses during reduced revenue. They should also consider lowering costs and delaying capital expenditures during market shocks to conserve cash. By maintaining strong cash reserves, businesses can weather market shocks without resorting to drastic measures such as layoffs or downsizing.

    A survey conducted by PwC in 2020 found that 56% of companies globally planned to increase their cash reserves in response to the pandemic. There isn’t any updated survey by PwC specifically on businesses’ plans to increase their cash reserves in response to the pandemic. However, it’s worth noting that the COVID-19 pandemic is still ongoing and continues to impact businesses worldwide. Many companies may continue to prioritize building up their cash reserves to prepare for any future disruptions or uncertainties that may arise.

    Related: Creating the 3-Bucket Cash Reserve System

    4. Innovate and adapt

    Market shocks can also create opportunities for businesses to innovate and adapt. Companies should constantly look for new products, services, or business models that can help them weather market shocks. This could involve developing new partnerships, exploring new technologies, or finding new ways to reach customers. By innovating and adapting, businesses can stay ahead of the competition and thrive during times of market disruption.

    5. Manage risk

    Managing risk is essential for businesses that want to weather global market shocks. Businesses should identify and assess their risks and develop a mitigation plan. This could involve diversifying investments, purchasing insurance, or hedging against currency fluctuations. By managing risk effectively, businesses can reduce the impact of market shocks on their bottom line.

    6. Build strong relationships

    Building solid relationships with customers, suppliers and other stakeholders can also help businesses weather global market shocks. Strong relationships can help enterprises to navigate challenging times by providing support, resources, and information. Companies should strive to build trust and foster open communication with their stakeholders to ensure they are well-positioned to weather market shocks.

    Related: 5 Ways to Build Killer Relationships With Customers

    In a nutshell

    In conclusion, global market shocks can significantly impact large and small businesses. However, companies can weather these shocks by developing effective strategies and remaining competitive. Diversifying your customer base, building resilient supply chains, maintaining substantial cash reserves, innovating and adapting, managing risk, and building solid relationships — can help businesses prepare for and navigate through times of market disruption. By implementing these strategies, companies can reduce their vulnerability to market shocks and emerge stronger in the long run.

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    Shoaib Aslam

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  • How to Build a Business That Lasts 100 Years | Entrepreneur

    How to Build a Business That Lasts 100 Years | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Limiting your company vision to 5 or 7 years will force you to chase short-term metrics to impress investors, credit organizations and clients. The focus, however, is quite different when you have a century-long mindset and realize your company will still exist in 2122. Businesses with a 100-year vision should focus on building a solid foundation. It’s like launching a long-term space exploration ship equipped with all the supplies instead of just sending it out into space with no thought to how it will survive.

    Education-oriented organizations especially have a great deal of responsibility on their founders’ shoulders. You take nine months off from your students for the learning process and influence their career paths, which might shape their lives for the next 10, 20, 30 years, and beyond. Eventually, we are building something massive that can compete with universities on a similar level or even replace them.

    Here are several crucial strategies for building a long-term company.

    Related: Be an Innovative Leader or Risk Your Company’s Longevity

    Keep long-term goals in mind, not short-term revenue metrics

    It is crucial for companies that aim at long-term goals to focus on complex, costly processes that will pay off in the long run. Although it might take more time and money than you would otherwise spend, it is worth the effort.

    An excellent example of the short-term metrics investors monitor for an edtech company is the completion rate of the course. Although we focused on this metric since day one as an ed tech company, we are currently not meeting the benchmark. This metric would have been the priority of the company targeted to the short-term revenue, but as we aim to help people find a job, we’ve chosen not to fix it directly.

    Most adult students are employed and must pass the course at their own pace. If we were focused on metrics, we would have told our clients to finish the course in 9 months or be expelled. In contrast, we offered clients a solution tailored to their schedule instead of pushing them to complete the course faster. Rather than focusing on short-term investor metrics, we build products to suit the needs of our clients.

    Related: How Entrepreneurs Can Achieve Longevity

    Stay on top of long-term global trends

    Long-term-thinking entrepreneurs should always watch long-term global trends to prepare ahead of time or adjust their company’s direction accordingly. Here are several global trends to be aware of:

    • Automation and AI will dramatically reduce human labor: According to the new World Robotics report, an all-time high of 517,385 industrial robots were installed in factories worldwide in 2021, up 31% from the previous year, with 74% of all newly deployed industrial robots located in Asia, which has the world’s most significant industrial robot market. According to the World Economic Forum’s Future of Jobs report 2020, 85 million jobs might be replaced by machines by 2025.
    • Anti-globalization: In 2019, approximately 3 million migrant workers came from ASEAN countries, according to the International Labour Migration Statistics (ILMS) of the International Labour Organization. The data on ASEAN nationals going abroad for work indicates Vietnam (152,530) is the leading country among those providing data, followed by Cambodia (68,040) and Lao People’s Democratic Republic (54,091). One of the ways to address this issue can be partnering with local employers to provide students with employment opportunities within the businesses.

    For a company striving for 100-year history, it’s not wise to apply any trend right after it appears. For example, we currently don’t teach blockchain or metaverse developer professions at my company, even though the trend is emerging. There is no certainty as to what extent companies will migrate into virtual worlds nor how the adoption of the metaverse and cost reductions for wearable devices will proceed. As this will develop in the future, there’s no point in jumping on the bandwagon now if you’re not building the metaverse yourself.

    Don’t skimp on your service

    You must go the extra mile for your clients, no matter what type of business you run. It may mean spending more money and taking a greater risk, but the long-term benefits are worth it. If we talk about education, the feedback the students get is key — otherwise, they could’ve watched open-source videos.

    Another perk that costs you extra but makes the product better in the long term is helping students get employed. Refocus students are guaranteed a job or a refund at the end of the course. We do this to ensure that our graduates can find employment. For this, we assist students in their job searches, interview preparation, and application process.

    Related: 5 Tips for Improving Client Relationships

    Plan ahead for expansion

    If you have a global expansion plan, consider the development of countries, their education needs and when to begin targeting those markets. All processes are in place, and you should know the exact timing for expansion.

    Another part of long-term planning is integrating several partners and gathering information from modern tech companies on what skillsets are needed from potential employees. We have decided to invest in it from the beginning because it’s an essential step towards embracing more significant flows of students in the future.

    Related: 3 Tips for Global Business Expansion

    Antifragility

    According to Nassim Nicholas Taleb, an antifragile system becomes more resilient when exposed to stresses, shocks, volatility, noise, errors, faults, attacks or failures. It is vital to envision your company so that unfavorable events would strengthen it rather than weaken it. Antifragility is essential for a business to survive in volatile and uncertain conditions.

    One way to adhere to this philosophy is to conduct so-called debugging meetings to identify why we failed at some point and what needs to be changed. The results should be included in a “playbook,” outlining what to do and what not to do, whether it is launching a new marketing campaign or entering a new market.

    To survive storms, you need to be able to predict the bad moments and strategize accordingly. For example, as part of a strategy session, discuss the possibility of surviving a nuclear or third world war as a company. For us, the conclusion was that we would still exist but with a microservices-based architecture.

    Final words

    It’s hard to predict what the future will look like in 100 years. However, regardless of how education is delivered, it will be in demand forever. In any form, whether through the metaverse, VR, augmented reality, or any other cutting-edge technology, build the education spaceship that will explore the unknown depths of the future and improve people’s lives for decades.

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    Roman Kumar Vyas

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  • Expanding to China? Don’t Do These 6 Things.

    Expanding to China? Don’t Do These 6 Things.

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    Opinions expressed by Entrepreneur contributors are their own.

    According to the American Chamber of Commerce in South China’s 2022 report, foreign companies are quite optimistic about their China expansion plans. As many as 72% of the companies surveyed intended to expand their China operations over the next three years.

    However, even with a large number of companies interested, foreign investments in China were down by 2.1% in 2022. This can be attributed to restrictions imposed for Covid shutdowns, along with the complexity of expanding into a huge and complex market such as China for small and large enterprises alike.

    Not being aware of the laws of the land can result in serious complications along with loss of money and time. For instance, AstraZeneca, the global pharma giant, found out the hard way that it needed government permission to transfer citizens’ genetic material to third parties even within China’s borders, resulting in criminal arrests of the company’s employees.

    Avoid these six mistakes to ensure you don’t fall victim to a similar unfortunate incident when venturing into the Chinese market:

    Related: 6 Tips for Doing Business in China

    1. Not researching business registration laws

    Building a subsidiary in a new country, especially one as legally complex as China, is a massive undertaking both in terms of time and money. You can either choose to hire individual consultants and law firms to guide you in different steps or complete the entire process on your own.

    While the government incorporation costs to register a Wholly Foreign-Owned Enterprise or WFOE isn’t much, and you’d be tempted to do it yourself, a single mistake can set you back thousands of dollars in legal fees.

    For instance, when registering a WFOE, you need to ensure that the scope of your business is broadly defined in the application to accommodate future changes but specific enough to be approved by the authorities. Getting this crucial element wrong can create legal issues for your company down the road.

    On the other hand, Professional Employer Organization (PEO) services allow you to have a legally approved presence in the country without getting bogged down by protracted registration cycles. This is because a global PEO such as INS Global deals with legal compliance, payroll administration and other legal benefits globally on your behalf.

    2. Missing essential certificates and licenses

    China has strict laws regarding the products and services that can be sold within its borders. Multiple government departments require your products to be certified and licensed before distribution.

    Your business and products should also be compliant with the Foreign Investment Negative List, Market Access Negative List, and the Unreliable Entity List. Correctly completing these additional requirements is time-consuming. Thus, many companies partner with a local entity well-versed with all the necessary certificates and licenses to reduce these legal hassles.

    3. Not studying local tax regulations

    Tax laws for businesses in China can differ from those in many western countries. Enterprise income tax, business tax, import duties, value-added tax and more need to be closely studied before commencing operations in the country.

    Legal and tax advisors can help you assess the impact of all relevant taxes on your China operation. Hence, it’s essential to know them in-depth during the initial phase of your expansion.

    Related: 3 Steps to a Successful International Expansion

    4. Ignoring local labor laws

    Chinese labor laws can differ significantly from what you might be used to in your home country. Strict employment contracts are required by law, and they’re limited to only fixed-term, open-ended and project-based contracts.

    When hiring in China, additional clauses like a non-compete can also differ from, say, American contracts. For instance, compensation is required to be paid to an employee during the non-competition period.

    Severance pay calculation in China is also something you should be aware of. In short, companies owe employees one month’s salary for every completed year of service.

    Employment contracts can be tricky if you’re unfamiliar with China’s labor landscape. Leveraging the services of a local PEO can ease the process for you.

    5. Not having airtight dispute resolution contracts

    Dispute resolution clauses are heavily negotiated when doing business with Chinese entities. Companies need to get into airtight arbitration clauses when partnering with local vendors. The U.S. and China are both parties to the Convention on the Recognition and Enforcement of Foreign Arbitral Awards (the “New York” Convention).

    But the arbitration clause needs to be properly drafted: deciding which arbitration institution and rules to choose, the location of the arbitration, the language to be used and the governing law that’ll govern any disputes.

    Arbitration clauses have the potential to drag your company into years-long court cases and huge financial losses. Hence, it’s always better to consult with a trusted partner that knows the ins and outs of dispute resolution in the Chinese context.

    6. Not protecting your intellectual property

    China’s IP protection laws have improved drastically over the years, offering foreign companies much more legal protection to safeguard their IP. But the onus still lies on the company to obtain copyright protection before launching operations in the country. Global trademarks are not automatically protected in China, so you’ll need to register them again. And with the first-to-file trademark system, it needs to be done as soon as possible.

    China’s National Intelligence Law also affects how you manage your core IP. Moreover, China’s Cybersecurity Law determines how your organization can collect, store and transfer customer data.

    Related: Considering an Overseas Expansion? Avoid These 3 Mistakes.

    Flexibility and partnerships to unlock success in China

    Companies mulling expansion to China stand to unlock increased and sustainable growth in one of the largest economies on the globe. But diving headfirst without the necessary homework can quickly kill your expansion dreams and tarnish your brand for years to come.

    Besides legal compliance, it’s also incredibly important to take your time to study China’s cultural and socio-political landscape to be able to adapt your products effectively to the market. Chinese businesses also differ from their western counterparts in terms of corporate hierarchies, compensation structures, distribution channels, advertising laws and more. Being flexible and open to partnerships is the way to go if you want to tame the Chinese dragon.

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    Wei Hsu

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  • Why Global Businesses Need to Rethink Customer Support

    Why Global Businesses Need to Rethink Customer Support

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    Opinions expressed by Entrepreneur contributors are their own.

    Imagine, if you will, a UK-based entrepreneur who founds a company that grows to operate on the global stage. This entrepreneur gains success through the provision of winning products and services and is rightly lauded for the achievement. However, as the entrepreneur begins to trade internationally, a new problem rears its head: Ensuring customers get proper support across different time zones.

    The company continues to operate as it has since its inception, with its team in London attempting to service customer needs across various different continents. As you might expect, it’s not long until the enormity of this task comes to bear, with team members experiencing burnout after working long hours through the night and day.

    Related: 3 Tips for Global Business Expansion

    The importance of providing a consistent customer experience

    When running a global business, you will naturally have clientele located in countries in different time zones. As such, everyone needs to get the same consistent experience and levels of support. Contacting customer service is never something someone wants to do — rather, it usually only happens when there’s a problem.

    No one is going to call you up simply to say, “Thanks very much for meeting my needs,” and excellent service is expected to be provided 24/7, not just for five days a week. Even if you have your staff work 12 hours a day, you’ll still be unable to cover everyone all over the world. Working 8:00 a.m. to 8:00 p.m. in Europe will not suffice for other regions, such as Asia and America.

    As a global player, you need to think about how you will serve your customers from the very start, as not doing so will adversely impact those not in your locality. In order to truly operate on the worldwide stage, the delivery of round-the-clock support is essential, meaning that it should be a central component of your strategy.

    Related: 5 Reasons to Hire Globally in 2022

    Why you need to rethink your hiring approach

    When attempting to meet this need, it’s perhaps logical — initially, at least — that you look to hire your entire team from a single location. For example, you will likely look to recruit your team within the bounds of one city, with some working the day and others the night. The exact arrangement will largely be determined by the size of the budget you have for customer support.

    Approaching the task this way may seem logical, but it’s actually not. Why? Well, because if you’re continually asking your staff to work through the night, you’re not going to keep hold of them for long. Humans are social beings with families and friends, and a good work-life balance needs to be struck for your employees to be happy.

    Even if you have a team member who’s a lone wolf, they’re not going to be content working all night and sleeping all day. Sooner or later, the need to maintain personal relationships and spend quality time outside is going to cause employees to resent their work and leave for pastures new.

    Related: How to Communicate to a Global Workforce

    Constant night shift work is simply not sustainable

    Next, we have to consider the fact that working during the night is actually bad for the body, leading to the person in question becoming more and more fatigued as time passes. While it might be possible for someone to work night shifts consistently, it can have a significant impact on mood and even mental health. As such, it shouldn’t be a long-term thing.

    Of course, some people love working until 5:00 a.m., but these tend to be individuals who have a very flexible schedule — not something you could say about someone whose duties involve support work. Being a customer service agent requires you to adhere to a rigid schedule, with every person in your company representing a component of the larger machine.

    A chain is only as strong as its weakest link, so if your operation is failing at one particular stage, it can have a knock-on effect, resulting in the whole thing grinding to a halt. So, if you can’t ask your staff to continually work night shifts to meet your customers’ needs, what do you do? The answer to that conundrum requires that global operators think a different way.

    International operators need to think locally

    In order to provide high-quality, 24-hour support across different time zones, you simply have to look to recruit support teams in those different regions. This means that no one is ever forced into working at night and having their quality of life reduced. Any company conducting business across every continent needs support staff in each one.

    The result is a support team that’s scattered across all time zones and one that’s able to cover all of your customers’ needs 24 hours a day. Everyone is kept happy, too, as by working remotely, they get the freedom to live a normal life, and it’s just a matter of finding specialists in each region — which is relatively easy to achieve.

    So, if you’re looking for support for a time zone in Asia, you should hire people from Thailand, Indonesia or even India. That way, you’ll greatly expand your reach and be able to offer awesome, seamless support, no matter where your customers are in the world.

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    Alex Bozhin

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