reaching global markets

Businesses have long recognized that in order to grow they must focus on global markets. Below is a summary of our insights from recent assignments that have helped our clients reach new global markets:

• Carefully Select Your Growth Targets: For one client, we estimated that the two-year growth increment would be roughly divided across the globe as follows: China and the U.S., 22% each; Europe’s Big Five Economies, 16%; other major economies (Japan, Brazil, Canada, Russia, and India), 17%; and the Rest of the World, 23%. But, when we looked at the growth increments for specific product-market segments, the growth distribution varied radically. In one segment, for example, India, Brazil, and Russia accounted for nearly 40% of the near-term potential. 
• It’s Not Your Father’s China: Twenty years ago, there was little interest in China’s markets. Ten years ago, most businesses understood the rapid growth taking place. Today, China must be viewed as a collection of distinct market segments, growing at radically different rates and driven by diverse purchase decision drivers. Simply said, China has become like most mature markets, requiring thoughtful segmentation and targeting, but with an overall rate of growth that dwarfs any mature market. The issue isn’t whether to do business in China; it’s in which segments to do business in China.
• The New Global-Local Challenge: Of course, your company is global. Most organizations today serve customers in many countries, manufacture in and source from many countries, and have leadership and workforces located around the world. Yet as one of our client’s enterprise customers said in an interview, “We need a strategic supplier whose services are consistent and available across many country markets. Our need goes beyond presence in many countries; we want our supply partners to be country agnostic.” Our client’s challenge was to blend the various appropriate services for each local country market into a global service offering that can be delivered every time, everywhere.

In summary, the global environment of the past has changed. With global markets critical to future success for most companies, we hope that these insights are valuable. 
 

For more information on our company and our goal of helping our clients solve their most difficult growth challenges, see www.bluecanyonpartners.com.