David Staziker on succeeding in international markets
Crowded domestic markets can be an incentive to trade
internationally. Targeting international markets can offer
businesses profitable opportunities. Finance Wales has invested in
a number of businesses to help them take advantage of such
So, whether you’re exporting to new markets or working with new
suppliers, its well worth thinking about the practical steps you
need to take and any professional advice you’ll need.
Know your markets
You need to ensure you understand any potential markets you’re
considering. Which local regulations will affect you? Are there any
language issues and cultural barriers? Could you tie up with a
You need to be aware of your obligations and seek legal and
financial advice. Europe may appear to be an ‘easier’ first step,
but you’ll still face many of the challenges of trading
Make the most of your products
How strong is your USP? You may need to adapt your product or
production processes for any potential market. This can be costly,
so make sure your product is right for the market before you commit
Protect your IP – patents can vary from market to market and it may
be worth speaking to a specialist.
Get your pricing right
Make sure your pricing is realistic for the markets you’re
targeting. Think about how the potential market will value your
product and price accordingly. Don’t simply adopt ‘cost plus’
Exchange rates can also affect your pricing, so you’ll need to
ensure you have a strategy for this. Again you may wish to speak to
specialists in this field.
Look out for additional costs
For many businesses, trading internationally can be profitable,
but factor in additional, sometimes ‘hidden’, costs.
You’ll need to include shipping and distribution costs as well as
duty and local taxes and even translation costs.
With careful research you can increase your profits, minimise your
costs and avoid some of the pitfalls! The British
Chamber of Commerce can offer international trade guidance to