You are a businessman and doing great in your country, but when you give a thought one step ahead for expanding it globally, you actually get in the upsurge of challenges. After all, to go global is a great achievement and not every company is prepared for the international challenges associated with the process.
Challenges of Taking a National Business to International Level
Language barriers – Whether you agree or not, but language compatibility is a prime mover in the industry. So if you are not well-versed with the local language, you are actually at a disadvantage. Though, language barriers can be surmounted by switching to a standard language that has a global recognition in most of the countries throughout the world. Indeed! English is that language and you cannot succeed in a global market without mastering this field. So, get, set to learn the language and observe the growth in your business in the near future.
Compliance issues and taxation codes – Well, this is one of the significant challenge faced by the entrepreneurs in their course of going global. Every country has different policies relating to business regulations, taxation codes, and packaging standards. Also, International Revenue Services imposes different requirements on the income generated in the international front by every country. The services imposed by IRS have a great impact on the performance of a business in the global world. Even the challenges associated with the handling of the transactions is again a big headache and a business may be required to set up a separate business entity and a foreign bank account.
Also, it becomes difficult to adhere to the packaging standards of the foreign country. Even the cost of labelling and packaging gets sky high when a business needs to maintain an international standard.
Local competition – Remember always that convincing a foreigner about your product’s worth is not easy when the similar product is available in their country too. Again, when a product is exported to another country, its cost automatically gets higher because of the import duties and surcharges that gets added to it. Surpassing a local competition is again a big problem faced by most of the businessmen of the foreign countries.
Expanding a business globally is certainly very challenging; though the issues like taxation and local competition are still manageable, the language barrier is a big hurdle that affects the growth of the business. For surpassing the competition, one needs to learn the language to jump in the international business.
Language is certainly a problem for most of the Indians who want to shine in the global market but restricts their business to local market because of their inability to speak English. Many entrepreneurs are talented though but lose here itself. Becoming a part of a spoken English course can be a big help for them and they can actually achieve their dream of taking their business to international market.
The only thing a businessman needs is to stay prepared for tackling the challenges associated with the game of going global.