Compared to local markets, doing business internationally presents some unique challenges.
International markets involve currency conversions, custom duties, and many other issues that must be addressed before you can actually start selling your products and services overseas.
1. Survey the international market. Find out whether a particular region of the world has a need for your product. The success of your business will depend on supply and demand, and you will need to identify multiple areas in which your products or services can be sold.
You may need to adapt your goods or services to fit the needs of the people you wish to do business with.
Targeting customer diversity is the key to success.
2. Check the custom duties and legal conditions. Find out whether or not your products can be imported into the country you wish to do business in. You will also need to verify what special legal stipulations exist regarding importing hazardous materials and firearms, if your business deals with any of those products.
Certain products might be subject to additional taxes or duties, and you will also need to know this beforehand.
3. Appoint local dealers or offices. Once you have found out the cost of your products after imposition of duties and other expenses, you will need to establish the rates at which you will sell your products. It might be cheaper to hire a local dealer to sell your products; however, if it might also be more cost effective to open a local office.
It may be more prudent for you to hire local people to run your business overseas, so that you do not end up misunderstanding the customs of that country. You will also need to provide brochures and price lists in the language of the people of that region.
If you are planning to hold inventory, then you will need to arrange for warehouses to store your products before they are dispatched to your dealers and customers.
4. Packaging, pricing and marketing. Likewise, you will need local experts to help you with packaging and pricing with respect to local rules and regulations. You will also need to market your products in the host country’s language so that your targeted customers will understand what you are trying to sell.
Dispense some trial products to get a feel of import procedures. This will also be helpful for you to determine the exact cost of your product. In order to make a profit, you will need to include the cost of importing your product, along with any taxes incurred by doing so, in the price you will charge the customer.
5. After-sales service. If your product requires after-sales service, then you will need to appoint local experts to handle it, or train your dealers to provide this valuable service themselves. Either way, do not ignore this vital aspect of selling internationally if you want your business to thrive.
Even though there is a lot of hard work involved in marketing your products in the international arena, the results can be well worth the effort. Your success depends on providing quality products, along with customer service that is second to none.
