Is your company planning on expanding into a global market or new jurisdictions this year? Consider these important challenges when planning your expansion journey.
Is your company planning on expanding into a global market or new jurisdictions this year? Don’t let immigration challenges slow you down or get in your way. Consider these important challenges when planning your expansion journey.
Companies looking to expand into new markets are currently facing multiple challenges. Depending on a company’s business objective, assessing how to enter a new market is crucial. From economic challenges to cultural barriers, companies will have to adapt and strategise their market entry plan. The challenges of the COVID-19 pandemic have further amplified the complexities of new market entry. With a well-executed strategy, global expansion can lead to limitless opportunities for companies.
However, some of the key concerns that companies can expect to face when expanding into new markets in 2022 include:
- Complex and dynamic immigration policies: monitor the rules
- The war on talent: global competition for recruiting highly skilled workers
- Adapting to the local business climate: product and solution positioning
This article intends to provide an overview of each of these considerations with actionable insights to assist your global expansion journey in 2022.
Robust immigration policies
Immigration is a key aspect of global expansion. Due to the complex and dynamic nature of global travel restrictions because of the COVID-19 pandemic, managers and employees need to have access to the latest information concerning border entry requirements and visa processing guidelines.
On top of the traditional documents that will need to be submitted, and the usual timelines that apply, candidates may face conditions of entry surrounding COVID-19 mandates. Depending on the position and authority of the applicant, some concessions can be made.
However, if we draw on the recent case of Novak Djokovic, the world’s top men’s tennis player whose visa into Australia was cancelled due to not meeting the necessary Australian COVID-19 entry requirements – key lessons for immigration can be learned. These include:
- Consult a local immigration partner who can advise on the various employment-based visa categories and eligibility requirements
- Stay ahead of the latest entry requirements (such as proof of vaccination, testing requirements, quarantine policies, etc)
- Gather and prepare all required documentation
- Follow the laws and local guidelines and be aware of timeline delays
Immigration guidelines for every company will vary based on their immigration budget and talent needs. Therefore it is important that Human Resources and finance teams align to determine which strategy may work best for their organisation depending on priorities and budget.
Adapting to the local business climate: product and solution positioning
When companies expand into a new market, adjusting to the local business environment can be tricky. Some of the hurdle’s companies will have to overcome include:
- Understanding the local language
- Maintain appropriate business etiquette and incorporate local business culture
- Navigate the tax and legal landscape
- Understand the local HR protocols and procedures
- Ensure they meet the necessary employment laws and standards
Hiring a local workforce can help companies to adjust to the local business culture, improve interactions with clients and get to know their target audience. Before entering a new market, detailed market entry research must be conducted. This will assist with effective and efficient product and service positioning, that aligns with the needs of the local landscape and market needs.
If a product or service needs to be slightly tweaked or positioned to meet the local standards, consulting with local experts and market specialists can assist with the product launch and growth prospects. This is a crucial part of the expansion journey as it allows the business to understand and engage with their new target market and allows for improved service delivery.
The war on talent: attracting and retaining top talent
The ‘war for talent’ refers to an increasingly competitive landscape for the recruitment and retention of talented employees. Despite the devastating economic impacts of the COVID-19 pandemic which led to millions of job losses, the global shortage of talent continues. This is especially relevant to managerial positions, defined as ‘’ a combination of sharp leadership skills, with a strategic mind, emotional maturity, strong communications skills, the ability to attract and inspire other talented people, entrepreneurial instincts, functional skills, and the ability to deliver results”.
As a result, scaling companies need to be strategic in managing their workforce, whether it includes growing a local talent pool in a new desired location or attracting foreign talent. By developing dynamic policies and attractive benefits, HR teams can succeed in retaining and attracting new talent. Companies should consider:
- Incorporating flexible work options
- Implementing rewards and recognition programs
- Investing in learning and development
- Developing robust and strategic recruitment processes
- Implement a seamless relocation program.
Employees thrive when they are valued and recognised. Retaining talent requires organisations to regularly engage with their workforce, request feedback, and work on manageable solutions.
It may never feel like the ” right time” to expand into a new market, however, the benefits and opportunities it can provide well outweigh the risks. If you are looking to enter a new market but are not sure when or how to do so, explore Centuro Connect and contact one of our team.