Going Global

Regardless of the industry, companies of all sizes and longevity have been hit by the current state of the United States economy. As a hedge against the sluggish American market, there is another strategy to pursue. Seattle business leaders must begin to think differently about the global marketseeing it as an opportunity rather than a drain on wages or employment or both. Smart companies that figure out how to leverage what the global environment has to offer will be better positioned to achieve rapid growth by increasing their revenues and accelerating innovation.

Finding More Revenues

Every global market goes through business cycles. While sales here for one company may be stagnant, sales in India, Africa and Australia may be up. While the United States launch of a service three years ago may have firms here viewing it as a commodity, another region may be bringing it to market as the next big thing.

The key to continued revenue growth is diversifying your pipeline with a mix of prospective clients that span a number of attributes, including geography, size, competitive position and buying cycle, so that your business can ride the highs and lows. For example, businesses in hyper-competitive markets such as Australia, Brazil, Vietnam, the Middle East or Turkey often have an increased motivation to invest and bring to market products and services that can help them grow rapidly or give them a competitive edge locally. By targeting these markets, your company can realize a significantly shorter sales cycle.

We have found with our telecom software business that, as we diversify our geographic presence, our business continues to grow year over year, and even the weak dollar has been a benefit because we price in local currency.

Bottom Line

Although there will be some variations (pricing models, regulations, etc.) as you enter new markets, leveraging the repeatable aspects of your business process will have significant impacts on your efficiency and scalability. It starts with knowing which roles you need to localize in what market and what skills are required at what price. For example, North America and Western Europe are not the only markets for technically competent workers. Lower-wage workers are available in India, Malaysia and Eastern Europe. By leveraging various global markets for engineering, quality assurance and project management, our business has been able to structure a global workforce to operate around the clock, while taking advantage of the lowest-cost provider for each function.

If you can develop an efficient system that can be replicated as you introduce your products into new markets, you can avoid costly errors and boost profits.

Drive Innovation; Build Intellectual Property

Important innovations are taking place all over the world. The challengeand the opportunityis to be able to tap the best talent for any given technology. Africa, for example, is on the cutting edge of mobile commerce. While America is just on the cusp of this technology, Africas leading provider has more than 150 million subscribers using mobile phones to withdraw cash, buy goods and pay their utility bills. If you face a global market opportunity, why not leverage the mind power of those around the world who can help you acquire, manage and build your IP?

Mark Sten is co-founder and senior vice president Global Marketing & Carrier Relations for Globys, a leading provider of customer experience solutions for the worldwide telecommunications market. Globys has headquarters in Seattle and regional offices around the world. Additional information is at www.globys.com.