Geographic expansion can help you gain access to new markets and talent pools, reduce costs, and perhaps most importantly, provide a robust pipeline to fuel your company’s future growth.
A diversified growth strategy protects your company from country-specific economic downturns: You reduce risk by broadening your presence. Further, if you don’t take your products/services global – if you don’t adapt to this ever-flattening world –your key competitors will. The race is intense and unrelenting, and you cannot afford to let competitors take your place in the global market.
Geographic Expansion Issues and Challenges
Although geographic expansion provides a compelling path to accelerated growth by opening up access to new markets and customers, many companies fail to take full advantage of global opportunities:
63 percent of respondents in a recent survey said they view customers in emerging markets as a future source of profits.
Only 41 percent have acted on the opportunity.
For every successful market entry, four fail.
We believe that the importance of expanding in predictable, repeatable ways cannot be overstated. We help our clients increase their probability of success by systematizing expansion processes and taking advantage of learning curve effects. The more expansion efforts our clients undertake, the more expert they become. Our process of examining key political, economic, cultural, legal, customer, and infrastructural issues within each country, paired with a detailed market analysis, ensures our clients leave no stone unturned when undertaking a geographic expansion effort.
Frost & Sullivan’s start-to-finish approach to Geographic Expansion can help you:
- Articulate goals for entry into a new geography or region
- Assess government stability and friendliness to foreign investment
- Project a realistic growth trajectory following market entry
- Confirm organizational commitment to and alignment on local office and staff planning