Question

(Summarize your thoughts to the below post)

Until you've actually been there and done that, you don't really know for sure what to expect. This concept is pretty much applicable to anything in life, whether your talking about having your first child or taking a multinational company into a new market. Experience can mean everything to how things flow or don't and that is before anything uncontrollable is mixed in.

As for the multinational companies trying to break into emerging markets, the need for regional experts and a firm understanding of the business culture can often be overlooked and underestimated. Elections, politics, weather related catastrophes and economic uncertainties are best managed with local management. They have experienced the "political uncertainty," and experienced a majority of the risks associated with doing business in that particular country. Who knows, the manager or consultant you hire might just be the son of a high ranking politician, maybe even the Vice President of the country. Given the often liquid state of political appointments it can be very difficult to hedge against political risk, there is just to much uncertainty. Utilizing managers who have lived and worked in the host country will help multinational companies navigate the uncertainties and should be a first consideration when trying to manage the hidden risks of emerging markets.

Answer 1

Regional experts and their need to succeed in emerging markets

To expand business into a new and emerging markets, you must start doing some research into how it might be best to do so. It can fail if not done without the right knowledge and experience behind you. The online material does not provide the key essentials, such as partnering with regional experts to successfully break into an emerging market. This is one of the most essential things to be aware of.

Importance of regional experts: Let us talk about emerging market. An emerging market be any country with a market that has not yet been fully tapped into. Therefore, if you’re expanding your business into a foreign country, building partnerships with relevant local businesses can have several advantages. New business may not be aware of the regional conditions. There may be political uncertainties. Means trying to break into an emerging market without the knowledge and expertise of the local business and consumer market can be difficult to overcome on your own.

A regional partner can be very helpful in these cases, he will be able to advise you on where to find everything; consumer preferences and best ways to communicate with them. Experts with political connections have a major advantage in emerging markets. They help to establish a good relationship with government as well. Partnership will help you establish the basics for your business in a new country. Not only can collaboration help you establish the basics, but it can help your business move forward. If you choose the right partner, you can create a relationship that benefits both you and your partner simultaneously. While a native business can help you enter the market smoothly with a degree of local expertise and awareness, you can help your partner grow their business through the upskill of employees, and the increase of resources if the venture goes well. This will eventually feed into the country’s growing economic system and boost the local business.

Right partner: Find a local business that fits or compliments your brand and business needs. This means that they either produce and sell similar products, operate in a similar fashion or offer technology you need to facilitate your entrance into the market. If you partner with a reputable payment gateway that operates in that region, it will give you cross-border payment solutions in the relevant currency and offer local payment methods.

So, we can all in all summarize that partnering with regional experts is must to successfully break into an emerging market.