Your Global eBusiness

Whether you decide to operate abroad or not is something that must be analysed in great depth. This is one of the few critical crossover points from your online presence to your offline business. It can have some dramatic effects.

If you decide to you would like to sell your products abroad, you are urged to consider the following items. 

• Shipping Costs: The best solution is to structure your pricing per country. Rates are freely available from most carriers.

• Product Demand: It is not unknown for product demand to escalate to 700% and beyond in the first year. Can your business deal with such a dramatic increase in a short time span?

• After sales service and support: You must be able to meet your after sales and service promises as detailed on your website. Failure to do so can result in lengthy court battles and commercial suicide when the news hits your industry.

• Excise Duties: Import and export tax where applicable will need to be built into the pricing structure or at least the customer should be aware of the excess charges before the goods are despatched.

• Insurance: Obtaining the right policy from the start will minimise costs and risks. Don't worry, you are not the first person to trade with obscure countries. Lower the risk by obtaining a policy that will cover most disasters and that is flexible enough to allow business transactions to escalate without having to re structure your pricing.

• Fraud: Your insurance policy may cover most fraudulent eventualities, so learn to expect a percentage of fraud from each country. furthermore have a plan to deal with fraudulent activities and stick to it.

• Permits and Quarantine: Ensure you have the relevant import and quarantine permits prior to trading overseas or you might find your goods being impounded or worse still, being fined.
   

Careful planning of your global reach will minimise risks and maximise profitability. Thorough research is your best tactic, knowledge is your weapon. Search the internet for fraud statistics, excise duties and so on, then compile a SWOT analysis with your findings.