eWhile transitioning a business into an international concern has never been easier, there remain many challenges.
For those UK business owners that are looking at expanding into Asia, Asian markets and seeing the potential for higher levels of profit generation, the main risk is speed. You need to take your time to develop the right infrastructure for UK business growth, and expanding into Asia comes with some unique factors that can hinder your expansion strategies.
Asia is one of the most exciting markets to break into. However, without the right approach, you make it far more likely that your planned growth will falter. Here are some of the key factors to consider for UK business owners.
Never underestimate the value of language when it comes to getting your foot in the door of Asia. While some countries in Asia have large ex-pat communities, you will be in a much better position if you try to learn some key words and phrases. Translation apps can be useful, but having local translators on the ground with you will be far more valuable. Communication in business is always crucial, and mistakes can be made too easily if you do not address language barriers. Remember, you aren’t going to be able to rush into your new market, so you have time to learn some of the language essentials. You should also develop an understanding of the key social differences between the UK and the country you are expanding into. This can transform your likelihood of success.
Using available resources
One of the many reasons why expansion into Asia can be so profitable is due to the large amount of local talent available in each country. Having a team on the ground is almost priceless in terms of value, and can go a long way to making your growth successful. However, if you hire local residents then you need to make sure that payroll, minimum wages, and all of your taxes are set up correctly. This can be made much easier by making use of established companies like INS Global who can take over your recruitment and payroll in Hong Kong or the country where you are targeting your expansion.
Patience is essential
In the age of high-speed internet connections, it can be very hard to hold back on your growth plans. It’s essential that you take your time to get everything right before you launch into a new market, and getting established in Asia may take more time than you think. If you race to start selling then you run the risk of missing out on core legal requirements or of missing out on competitor research. This can come back to bite you, and the consequences could limit your plans for success. Take your time to get things right before you launch, and be ready to be as flexible as possible.
Asia has a growing economy, and that makes the potential profits incredibly tempting for UK companies. While international growth has never been easier to manage, it still involves many areas of risk. Take your time to develop a foundation for continued growth, and you could find that expanding your brand into Asia is an easier stage in the development of your business that you thought.