Go global and expand Internationally in the Credit Crunch – Shrink or Expand – Why not do both !

There’s no denying it, times are tough globally,Likewise, China at 26%, Singapore at 22%, Taiwan
with the exception of a few fast moving consumerat 17%,  Euro at 22%, USA at 18% and so on.
goods (fmcg) companies, most are feeling the pinch.Another reason to consider going global is scale of
So when posed with any suggestions abouteconomies associated with volume sales. We are a
expanding these are considered by many managersrelatively small population of 61 Million so we have a
as taboo. But why?smallish market to saturate, whereas Japan is twice
As the saying goes ‘every problem is anour size and China is huge at 1,33 billion with many
opportunity’ so it’s time for management tomore countries populous overshadowing us.
take advantage of the current economic climate andHowever, breaking out of the UK can have its’
shrink down the areas of their businesses that arepitfalls as well as being very lucrative. If your plan is
under-performing and take a long hard look atto expand into Asia then careful research will need to
improving their cash position. This is not just tobe done on which Asian markets may best suit your
target manpower but take close scrutiny of theofferings, what changes you will need to make to
product and services portfolio, get rid of the drossyour product or service and what challenges you will
and focus on the winners.face. Fortunately, there is a lot of help available with
Once the balance sheet is in good shape and isregard to export services and international trade
sustainable then it’s time to review the marketservices to guide you in the right direction but be
strategy and consider areas for expansion. Therecareful with your budget. Don’t go overboard by
couldn’t be a better time than right now toinitially recruiting expensive international managers or
consider international expansion as Sterling hassetting up offices overseas, rather bring in some
dropped against many foreign currencies over theexperts who have done this many times before to
last 2 years making our UK offerings so much morehelp and advise you through the set-up stages, take
competitive and really attractive to import. Fora look at Expand Internationally you may be surprised
instance the £ is now worth about 157 Japaneseat the help available!
Yen versus 248 (that’s a massive 37% cheaperBy being strategic you can shrink and expand at the
our offerings are today compared with 2 years ago).same time !