How to Develop a Market Entry Strategy

Before deciding to expand into international markets, you first need to decide: Is your company prepared to sell overseas with the necessary personnel, contacts, and organizations?

Second, is the product that you are selling appealing to international markets?

After you have assessed your current capabilities for expansion overseas as well as your chosen product(s) to market, here are the next steps in your plan to develop a market entry strategy:

1- Determine your goals: You should ask yourself: What are your business targets, extent of sales, the target market, the timeline in place, and the budget available?

2- Research the market: When choosing an international market, remember to complete comprehensive initial research on the market that includes the size of the market, the competition, and trade or regulatory paperwork that needs to be done.

3- Decide on the mode of entry: How do you want to enter the market? You can use a distributor or agent, partner with a local business, open a store, or sell through online marketplaces, or maybe combine more than one channel.

4- Remember your finances and insurance: Make note of the financial aspect of this expansion as well as think of insurance to cover possible losses in shipping or non-paying foreign customers.