Foreign exchange made simple
Exporting can come with a variety of challenges – whether that’s a language barrier or cultural obstacles to navigate. We take a quick look at the risks of working in a foreign currency – and how you can manage them.
Exporting can be a tricky process that comes with many challenges. From logistics and financing to regulations, there are various things you’ll need to think about before exporting. If you’re thinking about trading on an international scale, make sure you take the following into consideration.
Selling to overseas markets requires an initial financial investment, which can derail businesses’ plans if they aren’t expecting it. Visits to your new target markets, hiring new staff and manufacturing products to sell will make costs add up quickly. Discuss your financial situation with your accountant before making any decisions, and remember to take a long-term view. It’s unlikely you’ll see any real returns in the first year.
The domestic arm of your business probably relies heavily on the contacts you’ve built over the years – both customers and suppliers. Now, you need to start building these relationships in another country, where there may be a language barrier. Face-to-face meetings can go a long way to forging better business relationships.
You may have to make some adaptations to your product range to make it suitable for an international audience or comply with local regulations, so do your market research – just as you would when launching a new product in the UK. You also need to think about how your new audience makes purchases and what after-sales care they will require.
Every country does business in a slightly different way, so it’s important to be aware of and respect any cultural differences. Learning some of the local customs that surround business transactions could open doors that would otherwise remain firmly shut to overseas traders.
Find out more about how Parcelforce Worldwide can support your business' growth. Whether you are sending in the UK or across the globe.
There were a record number of small businesses started during the pandemic; the 'Shop Local' advice of each lockdown has grown into shoppers' preferred buying method; and last Black Friday witnessed the boycotting of some of the world's biggest brands - including Amazon - with many independent retailers donating to charity and planting trees as part of a renewed drive against consumerism. All this has meant one thing for SMEs: growth. But this growth also means the competition is higher than ever.
E-commerce has always been a fast-growing and ever-changing industry, but never more so than over the past couple of years.
By providing your email address and clicking sign up below, you are agreeing to Royal Mail Group keeping in touch with you by email about our products, services and offers that might be of interest to you. Royal Mail Group takes your privacy and security very seriously. For more details please read our Privacy Policy