With the aim of growing, expanding into new markets and reaching a greater audience, more and more Spanish companiesare choosing to go on the international market, and that direct their strategies outwards and relocation.
A commitment to grow and improve, which in some cases may even be the solution for many companies that are going through a complicated situation in their home countries. But the internationalization of Spanish companies isa long and complex process, which will also have a great impact on the operation of the company, which probably forces to change the structure and the way it operates.
Therefore, at AYCE Laborytax we have developeda guide on the internationalization of companies, in which we tell you everything about the processes to carry out such internationalization, the requirements that have to be met and the main advantages of going on the international market.
What is internationalization of companies?
The internationalization of Spanish companies is a long-term process with which a Spanish company begins to develop part of its activity in one or more foreign countries. It is not about having a presence on time in another country, but about settling indefinitely.
Therefore, business internationalization is a step towards the unknown,since you will have to deal with different laws, cultures, currencies, ways of working, etc.
The internationalization processes of companies are not simple or fast,being necessary to have a prior knowledge and a great preparation to carry them out.
Internationalization processes for companies
The internationalization processes of companies are developed in the long term and are not static. It is not a question of taking a single step at a specific time, but must evolve at different stages over time.
Internationalization will also directly influence the business organization,as the exit to international markets will bring a number of important changes that will affect the operation, structure and way of operating the company.
It should be noted that when internationalizing a company, tasks will be carried out outside the country of origin of thecompany, having to adapt to the circumstances of other different markets, which requires a great knowledge and a time of adaptation.
Requirements for the internationalization of a company
To expand to other markets you have to meet a number of requirements for the internationalization of a company:
- Knowledge of the international market:
One of the most important requirements is to know the market and the customers to which the company will be directed,since each country is different and will have to adapt to its economy, preferences, purchasing power, etc.
An important point is to meet the main competitors that the company will face abroad.
- Knowledge of commercial regulations:
In the same line, you also have to know the commercial regulations of the foreigncountry, since each country has its own legal rules. This will allow you to know possible obstacles and barriers that will appear along the way.
- Knowledge of trading partners:
An important point is that internationalization processes require support from trading partners,who can advise and facilitate access to new markets. For this reason, it is important to inform yourself correctly to look for potential partners or distributors who can accompany the company on this long road.
- Knowledge of qualified personnel:
Finally, it is important to have advice from qualified personnel with experience in the internationalization of Spanish companies,which can help in everything related to the legal, commercial, tax, etc. aspects of the foreign country in which you want to penetrate.
Main advantages of internationalizing a company
The commitment to international trade of Spanish companies is trending today,being a solution to get out of the economic crisis in which we find ourselves. A more global vision will allow the growth of the company and take advantage of the international market, among which we highlight the following:
- Company growth:
Probably the main advantage is that internationalization favors the growth of thecompany, since when it comes to new markets, it will have to grow and increase its level of production, with the aim of meeting the demand of these new markets and offering a good service.
- Increased competitiveness:
Growth is linked to an increase in the competitiveness of the company. With the international market, companies will meet new competitors, and will have to adapt their productive capacities to improve production levels as well as sales volumes.
- Consolidation of the company:
Internationalization promotes the consolidation of the company,because having a greater presence in the world market, it will enjoy greater recognition that will result in a better perception on the part of customers and greater reliability.
- Cost reduction:
Another advantage to note is cost reduction,because when producing for larger markets, the use of the principle of economies of scale is optimized, increasing production volume and reducing costs.
The internationalization of Spanish companies is a process through which the company goes abroad to sell in new markets,allowing to grow, expand and increase its sales among many other advantages.
But internationalization is a step towards the unknown, which will have a significant impact on the operation of the company, being essential to have specialized knowledge to carry out this process.
That’s why at AYCE Laborytax we put at your disposal our international consulting services, to help your company take the step towards internationalization and develop your activity in other countries in the right way, avoiding risks and making the right decisions that will help you achieve the best results. Contact us without obligation.