International Expansion -Overcoming Cultural Differences

0:05 I’m missing light based in London and I head up the global commercial bank in

0:09 international team as companies plan their international growth

0:12 a lot of attention is given to establishing a sound strategy

0:16 not identifying the target market however companies

0:19 often overlook the importance of the cultural differences on the new market

0:23 and they found to consider who will see make up there were crumbs

0:26 companies need to consider how to fully integrate their operations

0:30 I need to research the best way to onboard managed to retain the best

0:34 employees

0:35 overlooking the cultural and human capital aspects of expansion

0:39 are the main reason for failure: the culture intelligence up your target

0:44 market

0:44 should be a primary consideration when building the company’s international

0:48 strategy

0:49 let’s start with what makes that target market distinct

0:53 this could be as simple as observant holidays in your new market to the more

0:57 complex task

0:58 of working within the parameters of diverse political

1:02 environments cultural influences such as the political landscape

1:06 shape the infrastructure of the country distribution networks

1:10 efficiency and product delivery out all dependent on road

1:13 rail another transport systems if the infrastructure make that difficult to

1:18 move goods

1:18 materials and people this will result in addition expenses and decreased

1:22 efficiency

1:23 remember what may work in your home market may not work overseas

1:27 establishing long-term relationships

1:31 can help to better navigate unfamiliar political business

1:35 and cultural landscapes while learning best practices he some cultures

1:40 small details overlooked condemns relationships in many countries

1:44 relationships carry the same if not more significance

1:48 them written a contractual obligations Western economies

1:52 rely on written contract to provide a foundation for the way

1:55 business relationship should proceed however in some cultures

1:59 the personal relationship has much more meaning an extensive written contract

2:03 a deal is sealed with a handshake between two trusted parties

2:07 carries more weight and the longest contractual document when expanding

2:11 overseas

2:12 you human capital Kamina difference between success

2:15 I’m failing getting the right people in the right location

2:19 can provide you with a competitive advantage the quality of the local

2:23 workforce

2:23 can be the deciding factor in determining whether to expand your

2:27 business to that location

2:29 and also in determining how successful expansion will be

2:32 when setting up local workforce in your target market

2:36 key considerations are official companies industry strongly represented

2:40 in the Newmarket will there be a deep talent pool how much for your company

2:45 need to invest in training

2:46 miscommunication is one of the biggest challenges when expanding

2:50 into a country where English is not the primary language

2:53 although much of your new work folks may speak the language

2:56 they may not understand subtle nuances such as acronyms

3:00 analogies a humor but you are used to in your home market taking the time to

3:05 understand a new environment and people will help build trust with the team’s

3:09 but a negotiation skills managing an ethical and socially

3:13 responsible way the thing to bear in mind when expanding into foreign markets

3:17 is to be flexible things that have been successful in your home market may not

3:21 work overseas

3:22 listen to your environment learn from your mistakes can apply best practices

3:26 for successful grant