Helping our clients in their international business endeavors
In an increasingly globalized and connected world, companies that pursue business beyond their local borders significantly increase their value. With new markets come new opportunities for growth, diversification, and innovation, gaining local insights and knowledge. Such opportunities lead to increased shareholder value.
However, many companies fail in their attempts to enter foreign markets or, once there, struggle to become profitable.
A common mistake is not doing the necessary business due diligence. Lack of market understanding or insufficient planning can impair an international venture. Those companies who do not correctly assess the opportunities and risks are likely to lose money.
In addition, cultural differences are, in many cases, greatly underestimated. Companies may not understand the “local way” of doing business and can lose opportunities for building relationships with potential partners, local suppliers, and customers. Many companies struggle during M&A negotiations, as well.
Entering a new market requires determination, planning, and follow-through as well as the right partners. We at Berners Consulting develop lasting relationships, to better understand our clients’ specific needs and to offer long-term support. We serve as a resource that can be activated to meet the changing needs of our clients’ business development.
Based on solid experience as consultants and operations managers, we support the most diverse client demands. For specific topics which we do not cover with our own expertise – such as specialized legal and tax advice – we can recommend experienced professionals and companies from our extensive network.
Our truly international team is located in our clients’ target markets and can help to facilitate all the things that could become a headache if not treated in the right way. We also serve as a catalyst for building effective cross-cultural relationships for our clients.
A holistic approach to turning plans into action
The paths to successfully enter a foreign market are diverse – pure import business, proprietary local production, strategic alliance, licensing agreement, franchising agreement, joint production, or acquisition of a minority, majority, or 100% stake of existing operations. Often, a series of viable strategies may be employed.
Whatever our clients’ strategy may be, we are well positioned to effectively support them in overcoming challenges, in both organizational setup and daily management. In our experience, it often comes down to one of three major topics:
- Finding a partner that best fits the chosen strategy’s goals and structure – be it a distribution representative, or a production joint-venture partner
- Setting up operations in the target country – be it for a wholly proprietary production facility, within a joint-venture setup, or in conjunction with a successful acquisition effort
- Executing M&A plans – be it a minority stake or a controlling interest.