Increase Sales, Profits Through Exporting

by Latin Biz Today

Tips for Hispanic Businesses Conducting Business Overseas

 

International business is not without its challenges. Each country has its own language, laws and customs. Is your business considering an overseas expansion? Keep these business tips in mind.

Latin America

 

  • Many American-based Hispanic businesses have a leg up in Latin America, thanks to reduced language barriers for Spanish-speakers. However, cultures can vary widely across Latin America, and Hispanic leaders should carefully research a country’s specific business customs rather than assuming a cultural norm from one country translates to another.
  • While Argentina remains a receptive market for Hispanic business, Argentines are tough negotiators. The pace of business is much slower and strong personal relationships are essential to successful negotiations. Multiple meetings are often necessary to accomplish what could be completed in one in the United States. Decisions are made by top-level executives; so direct meetings with senior officials are essential.
  • Despite women’s professional advancement in both Argentina and Chile, the cultures’ machismo attitude can negatively impact female business professionals. It is important to be aware of this attitude prior to beginning business negotiations.

 

Europe

Despite the recent Euro crisis, European markets are open to American-made consumer goods, especially those deemed of superior quality.

  • Many American small businesses can save on high shipping costs by manufacturing and selling goods directly in Europe. A small production company of less than five people may ultimately cost less than dealing with shipping fees and customs forms.
  • Despite the multitude of languages spoken in Europe, English remains the language of business for many countries and language barriers are far less of a concern for Hispanic business than they are in Asia.
  • Men and women are viewed as professional equals.

Asia

In Southeast Asia, a contract is considered to only be an outline or letter of intent, while in the United States a contract is legally binding.

  • Chinese companies prefer to do business with the top executive. Rather than sending salespeople, Hispanic leaders are best served by traveling to China themselves to establish a relationship with potential vendors, suppliers and business partners.
  • Unlike some Asian countries with a British colonial history, such as India or Malaysia, the majority of Chinese business leaders speak limited English. Mandarin speaking employees are a must for any Hispanic business looking to enter the Chinese market.
  • The pace of business varies widely. In India, decisions can be reached instantly. According to Amol Sarva, the founder of mobile company Peek, India is a “go-go-go environment,” although meandering business meetings and extensive personal contact with suppliers, investors and partners is a must.