S\u00e3o Paulo \u2013 Most of the Brazilian companies that already operate abroad plan to take new steps for expansion in the international market. This may be seen in a research disclosed on Monday (23) by Regus, an English company that operates in the field of solutions for flexible workspaces. In Brazil, 96% of companies with international presence plan to grow abroad, as against a 61% rate of intention for international operation by companies that are only present on the domestic market.<\/p>\n
The research was made in 85 countries, with a total of 12,000 participants (high-level executives) from small, medium and large companies. In Brazil, there were 523 interviews. The global average shows that 80% of companies plan international expansion. The report also shows that national companies operating abroad have better results, in profits or revenues, than those focussed on the domestic market.<\/p>\n
\u201cThis is due to several factors. When you go to other markets, you mitigate risks in your country. The company will have the profit that comes from abroad, with greater production or a greater scope of clients,\u201d explained Guilherme Ribeiro, director general of Regus in Brazil. The research covered companies in several sectors, among them the textile, mining, auto, consultancy and telecommunications sectors.<\/p>\n
The study also shows the main bottlenecks faced by companies with regard to operation abroad. In Brazil, 45% of those researched believe that installation of an office abroad is the main problem to placing the country on the foreign market. To 67%, it is necessary to have a regional manager in the company\u2019s country of origin, while 33% prefer a local manger (in the foreign country).<\/p>\n
\u201cSmall companies, with less than 50 employees, consider setting up offices in another country a significant difficulty. Large companies do not find this very important,\u201d pointed out Ribeiro. In large companies, points out the executive, language is considered a smaller barrier. \u201cLarge companies consider that, apart from English, it is necessary to speak the local language,\u201d he said.<\/p>\n
With regard to costs for establishing greater physical presence abroad, Ribeiro points out that they are not so high. \u201cFor less than R$ 500 [Brazilian reals \u2013 c. US$ 280] you can get an address in another country and a telephone number. Many people find it complicated, but it is easy to grow in other countries,\u201d he said.<\/p>\n
Except for the barriers for physical installation and language, factors like knowledge of the local culture and prospection of clients are also obstacles faced by companies interested in internationalisation.<\/p>\n
Among the countries researched, China is the only one in which companies focussing mainly on the domestic market declared they have better results than those operating abroad. The list of countries with high level of interest in increasing their internationalisation, like Brazil, includes Mexico (92%), India, (89%), Canada (82%), Japan and the United States (81%). \u201cThere are many companies coming to Brazil,\u201d recalled Ribeiro. \u201cThere is a significant number of multinational companies coming to the country,\u201d he finished off.<\/p>\n
*Translated by Mark Ament<\/b><\/p>\n","protected":false},"excerpt":{"rendered":"
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