Question

Alibaba Story-Inside China-CNBC International (9 minutes). Question: Discuss the global expansion strategy of the company and explain its success.

Answer 1

Answer :

Global growth are going to be chaotic and disagreeable, but that’s no reason to defer from taking your business international. With today’s very competitive business atmosphere, international growth is turning into a big piece of Associate in Nursing organization’s growth strategy. supported our experience and analysis, we’ve compiled a list of the very best five international growth ways in which.
1) Keep a light-weight Footprint
Many companies unit of measurement beginning to hold off on infrastructure investments or hard costs until their foreign operation has matured. usually|this can be} often an honest because of justify expenses and assure the company of a long ROI. However, don’t be too distant; human capital is effective. Strong, native employees can appraise penetration plans on a regular basis, confirm untapped opportunities, and make changes whenever necessary. The key to hiring is to do and do therefore with a light-weight and agile footprint, but balance it against risk mitigation. Hiring international contractors tends to be implausibly risky. trust employing a world PEO to use globally if you are unwilling/unable to see a legal entity in-country.

2) Adopt a clear Product Strategy
Develop a ‘leading edge’ product that encourages you to expand into new countries and regions
Test your product at intervals the target country to substantiate success and make sure if changes unit of measurement needed. Note that if a product is successful domestically, don’t assume that it will do even higher overseas.
Utilize associates in overseas markets to observe new developments, maintain contacts with decision makers, and confirm opportunities
3) Revenue Gain, Reinvest, Repeat
Choose a world market to introduce your customary product or service where competition is low. this could facilitate unencumber any revenue to reinvest in associate degree passing product domestically and still gain market share. Take a lean approach to help you keep outside capital sources unfree and increase your equity. usually|this can be} often Associate in Nursing implausibly important strategy once disposition and funding unit of measurement scarce.
4) Partner Up
Before starting your international growth initiatives, check that to protect yourself by partnering with best-in-class companies whose primary focus is to acknowledge warning signs and understand potential risks. have religion in partners—whether they are native to you or native to your target country. whether or not or not you move a section skilled to protect, a consultant to advise, or speed international to manage your entire hiring and international growth methodology, you'll avoid serious pain points at intervals the long run.

5) Be Proactive, Not Reactive
Global growth could also be a significant token of any business organize. Establishing Associate in Nursing entity/entering into another country could also be a long organize. Therefore, you want to take a proactive approach once getting in a replacement market. Do your analysis and check that your entire team is aligned with this long strategic organize.