Asia is fascinating continent comprising of many nations, ethnicities, cultures, and languages. Keeping this in mind, entrepreneurs could travel to any one of the numerous countries and thrive. With a wide range of industries and markets to enter, the whole continent is full of opportunities for business owners looking to expand and grow their businesses in Asia.
Indonesia, like many of its Asian counterparts, is also a land that is abundant in opportunities to invest in. While the main industries are mining and manufacturing, the fertile business landscape presents entrepreneurs with opportunities to expand their businesses in many different ways. However, those business owners who want more than to just “do business” in this country should be prepared by understanding the business culture.
Keep reading below to find out more about what you should consider before expanding your business to the Asia market.
Before expanding your business, owners should research the country’s infrastructure. Knowing the city’s plans (roads, transportation, utilities, etc.) can help you decide whether or not your business’s location will generate the traffic needed to thrive. Knowing the zoning laws will also help in preparing for a move to another country in Asia.
For those wary of doing business in Indonesia or another Asian country, you should consider a virtual office as an alternative to leasing office space in the Asian market. With a virtual office, you can lease space in an office in a major city to test the business climate without the excessive overheads. For more information on how the virtual office works, check out this link http://www.servcorp.co.id/en/virtual-offices/. Here, you can see how the virtual office works, in addition to how it can benefit your business.
Wise business owners should avoid taking a leap-before-you-look approach to expanding in the Asian market. Instead, research all of the challenges you might encounter while doing business in this environment. Some factors to consider relate to the overall ease of doing business in the country.
For example, Indonesia ranks 166th in the world for doing business by the World Bank and the International Finance Organisation (IFC) mainly as it relates to the process of starting a business in the country. Other considerations include: obtaining the appropriate permits, getting utilities, cable and the internet, registering the property, paying taxes and international trade.
Regardless of the market, business owners should understand cultural nuances that add to the ease of doing business. Many Asian cultures are hierarchical in nature and this structure is strictly adhered to, so much so, that in many countries elders are highly revered.
On the other hand, in other markets, approachability is a major factor in doing business. Also, important in the Asian market is understanding time can be made flexible where foreigners are expected to arrive on time for meetings, even though the meeting might not begin on time. In most Asian markets, relationships are very important, and family always comes before business. It’s important to be aware of these cultural nuances to ensure you give yourself every chance of success in these markets.
Before heading out East, entrepreneurs should research the country’s industries in terms of expansion possibilities. More than just going to a random site that outlines the business potential of a particular region, research information as it relates to what the world market says. Consult some of the financial indices, look at elements of the economy that are fundamental to your business and make an informed decision. Knowledge is power and entering a new marketplace, knowing where you stand is key to success.
Laws Protecting Business Interest
One of the most basic factors to take into consideration before moving to any international market, are the local laws. When doing your research, make sure you understand tax laws and laws that relate to engaging in business with the public. While no one ever goes into business with the intention of being entangled in a legal nightmare, it is always good to be prepared.
Good Business Practices for the Asia Market
Preparation is critical to having a good experience in the Asia market. Whether expanding in Indonesia or any other country, entrepreneurial ventures can go off without a hitch by investing time and research into your target markets. In the end, your business’ expansion will be effortless in what is an exciting and vibrant market for any business to move into.