Scaling your manufacturing business globally

Cynthia Dearin There are plenty of opportunities for manufacturers to scale internationally in 2022, but it’s not a risk-free exercise. For your international venture to thrive, there are key things that you need to get right. In this post, Here are three of the big ones. Use data to drive decisions When it comes to making decisions around taking your manufacturing business global, it’s impossible to overstate the importance of using data and evidence. This applies to market selection and to defining your ideal international client. Market selection The number of people who choose an international market on the basis of ‘gut feel’ or serendipity blows my mind. I know founders who picked export markets because they went on holiday somewhere and fell in love with it. One that springs to mind is the guy who went to Bali, couldn’t get a packet of Smiths Salt & Vinegar chips … and decided to set up as the agent for Smiths in Bali. Or the founder who says “I met this guy at a trade show and he loved our product, so we decided to work with him to expand our footprint into … “. It’s good to love the country you plan to sell to and it’s a privilege to meet people who love your product and want to support what you do. But relying on chance isn’t the right way to choose an international market, because it usually delivers mediocre results. Without evidence, it’s hard to know where the real opportunities lie. There’s probably no point trying to sell microprocessor chips made in Australia to Vietnam for $25/unit, when an equivalent product is already manufactured locally, is well-known and sells for $5/unit. On the other hand, if you manufacture high-end health supplements in Australia, you might find that there […]