In order to succeed in a foreign market, business owners must face their biggest hurdle in operations: exporting. Companies that are accustomed to domestic transport rarely understand the intricate line of operations that deals with export and trade. But to reach those appealing Eastern markets in China and India, you must learn how to manage and direct an export strategy.
The greatest concern is how to handle the method to exporting. When initiating a global expansion plan, take into consideration the advantages of partnering with an intermediary. Partner organizations with the experience and established reputation in China can define the potential of your business’ growth in the beginning stages. Companies like Baysource Global understand the process of global expansion, having helped both the domestic company enter a new market and having established trust with the foreign clients ready to buy or stock your products in stores.
Methods to Export
- Let domestic buyers export – To eliminate direct contact with your foreign market, you can contract a third party domestic distributor to export your products into their current markets. This is the path of least resistance, as you will not be directly involved in how your product is marketed or distributed. However, you lose significant control in the viability and positioning of your product, putting your company at risk of losing potential international success if you decide to take a more direct approach later.
- Intermediaries – Finding an intermediary, that has connections to your foreign prospects but is not your end customer has advantages that a domestic partner cannot give. You will have to do substantial market research, but an intermediary can guide you to connect with the right retailers, distributors, and manufacturers.
- Exporting directly – Eliminating your liaison will give you the most control, but will significantly slow down your entry into the market. As a foreigner, you will have no guidance, and are more susceptible to making cultural, legal, financial, or business development mistakes. Decide a clear-proven strategy and look for advice before you consider exporting directly into your foreign market of choice.
To make your export efforts worthwhile, you must invest time and marketing dollars, especially to business development and face-to-face contact with your potential buyers. Chinese customers place great importance on relationship building in their buying decisions. This is an important element for both B2B and B2C marketing.
Other factors involved in establishing business in foreign markets include e-commerce rules and regulations, digital marketing strategy, partnering with manufacturers, currency conversion, and establishing customer service in your new business front.
Beyond exporting to the country, you’ll need to establish a warehouse or storefront overseas, and build an online presence compatible with Chinese regulation. China is the world’s largest e-commerce market, but exporting those goods to the area can pose problems if the right business and legal steps are not addressed early on.
Baysource Global solves that problem. We can set up your business with a warehouse overseas, operational management systems, and an e-commerce platform to start selling. Selling internationally doesn’t have to be difficult when you have a trusted adviser to guide you through the process. Read our article on China Market Strategy to learn more.