How Globally-minded SMEs Benefit from Competing Beyond Borders
To prosper in our rapidly changing global economy, where borders are becoming less and less of a hindrance to how we do business, you need to change the way you think about your organizational growth. Many small and medium-sized enterprises (SMEs) working to capitalize on opportunities in international markets are finding that the best defense is a good offense. This blog explores how to turn that knowledge into strategies that focus efforts on international markets.
The strategy that will prove the most successful for SMEs is the ability to predict, adapt, and respond quickly. SMEs must prioritize technologies that build a foundation for business growth and innovation and improve insight across the enterprise. To this end, business management software should be a top focus, followed by business analytics, enterprise mobility, social media, marketing automation, and a cloud-based environment that supports rapid transition.
The one thing SMEs can be certain of in the upcoming year or two is uncertainty. Brexit and the results of the U.S. election both speak to an era of protectionist language – and possibly action – that we have not seen in at least two decades. SMEs that build the systems and supply chain relationships necessary for nimble action will benefit from the ability to react quickly to the changing market environment this new uncertainty will bring.
Looking outside the U.S. for growth will also prove beneficial for SMEs, and the fastest way to achieve success in foreign markets is through alliances and partnerships. An advantage of this approach is the ability to achieve a faster return on investment in new, emerging markets. In addition, reducing the capital required and the risk of geographical expansion allows SMEs to strengthen their competitive position in multiple markets. Local partnerships will simplify supply chains and make the quality of service delivery more predictable. In fact, a company’s smaller size can give them the upper hand over bigger players – having a more adaptive culture enables them to forge partnerships with less pressure. Continued technological developments and complete ERP solution offerings are also making collaboration across borders easier than ever.