Every business starts out small. Yet over time, it requires more space, manpower, and infrastructure as it continues to grow in consumer base and product/service lines. Global expansion is something many business owners want for their entrepreneurial offspring. Sadly, not everyone knows how to oversee the process and ends up consuming a ridiculous amount of resources and failing to execute the business plan.
Prepare a Different Pitch
Forget how you sold your business to investors and consumers in the past. When you are entering new space in a foreign location like Malaysia, the pitch has to be tweaked to comply with local standards. This could imply changing the pulp of the pitch or the format. In some instances, completely different business cultures may require you to just make a new pitch altogether.
Be Proud Of Your Existing Track Record
Don’t discount the success you’ve had in your local space when entering a new space. Just because your product or service line wasn’t created in the foreign space, doesn’t mean it will not work. In fact, existing success incubates new success. However, don’t expect to be successful overnight or to achieve new success if your local business is still down in the dumps. If you can show a strong track record, it will be easier to acquire foreign investment.
Building Your Base
Picking a location is probably the trickiest one to figure out. You’d want to find a location in Malaysia that is easy to find, safe, and cost-effective. Ideally, you should set up a small base with a limited number of staff that will collaborate on core operations. You can also delegate your IT needs to a virtual office provider. A virtual office in Malaysia gives you access to local expertise for your customer support needs. It also minimizes the cost of utilities, space, and manpower by combining them into one virtual office package.
Expanding to a new market can be expensive. It will burn through a lot of funding before it starts generating money. Expenses include user acquisition, advertising, legal fees, and employee salaries. Set a hard limit on spending and make sure there is enough money in the bank to raise an additional round of investor funding after the product launch.
When entering a new market, you will encounter new competitors who are more established and trusted by your target audience. Defining and capitalizing on your strengths is important to level the playing field quickly. For instance, if you have a better manufacturing infrastructure than your competitor, you can easily set a cheaper and more attractive price point that will easily attract new customers.
While global expansions are never a cakewalk, it is well worth the effort and resources you put into it. The key element to succeeding is to know what to expect and use those expectations to adjust your business strategies. Remember, no market will change their consumer habits to conform to your business.