Aman2016 is an exciting year to be in business. Although the shadow of China looms large and is making some speculators nervous, Britain’s economy is continuing to grow and there are other parts of the world where national economies are growing in leaps and bounds, with enough material resources and consumer growth to make this sustainable.
Getting in on the ground floor of these markets now, whether as an investor or as a trading partner, could see you do very well indeed – it’s an opportunity many business people feel they can’t afford to miss.
Why work internationally?
As well as providing access to great opportunities, working internationally can grant your business a form of insurance against economic strife. If you’re drawing income from diverse economies around the globe, it’s highly unlikely that they’ll all hit hard times at once. As they grow at different rates you can scale your operations in each up or down to take advantage of new or improved prospects or to redirect resources to another area. All the world’s most successful companies operate in this way, and it can be a big help to people living in places where capital is urgently needed to let the local economy reach its potential.
Emerging economies
The easiest way to connect with what’s happening in economies around the world is to look at them region by region. These are five of the most exciting areas to consider at the moment.
- West Africa – you may already be familiar with the rapid economic progress being made in Nigeria, where the economy is driven by the oil boom and rapidly expanding telecommunications and transport infrastructure, but did you know that Angola and Ghana offer great opportunities too? They may be poor but they’re investing intensively in growth and as employment and wages rise, so does consumer spending.
- East Africa – the more established economies of Kenya and Uganda are currently undergoing a growth spurt whilst new markets are opening up due to rapid modernisation across Tanzania and Mozambique. Entrepreneurialism is highly valued and there are lots of young successful businesses looking for international partners in order to turn their ideas into reality.
- The Middle East – despite the worrying things you may see on TV, most of the Middle East is in fine shape, with booming cities full of ambitious business people. Fahad Alrajaan, who chairs the Wafra Investment Advisory Group, has enjoyed success in Egypt, Kuwait, Iraq, Oman and Qatar, and recommends the region to foreign companies looking for booming markets that are still far from saturation point.
- India – with over a billion citizens, India is a country with huge potential, and its cities are now teeming with entrepreneurs looking to build new connections. It’s rich in technical expertise, innovation and service, and manufacturing industry potential. It needs investment and large-scale management expertise, especially the ability to bring products to market. If you’re interested in trading there, you’ll need to study its distribution infrastructure.
- South East Asia – some of the Asian tigers may already have roared but there’s still a lot of underdeveloped growth potential in the region, especially in places like Vietnam, Cambodia and Laos. Even Burma is now opening up to business, and is full of untapped talent and resources without the knowledge or skill to take advantage of them Teaming up with local entrepreneurs can create opportunity for everyone.
The impact of the internet
The expansion of the internet across the globe has made doing business internationally much easier. There are still language barriers, of course, and automatic translation software still has a way to go, but human translators in developing regions usually won’t strain your budget. They’re also useful because they can help you to work around cultural barriers, understand local business etiquette and avoid accidentally upsetting people. You will still need to organise local market research in order to develop sales opportunities effectively, but networking with business professionals in your chosen regions can be a big help with this. Where opportunities are plentiful, traditional rivalries can be replaced by a surprising degree of mutual support.
It’s said that travel broadens the mind, and working internationally can be a great learning opportunity. People use different business techniques in different places. Understanding different business cultures can give you a richer understanding of your company’s potential and significantly improve your ability to negotiate and broker deals. By expanding your operations into new areas, you could prepare yourself to do better domestically too.
