The main aim of any business, when it first begins its operations, is to be able to make a profit but crucial to bringing in the big dollars is ensuring your business becomes a hub of recognition.
This allows customers near and far to see it, become interested, respect it, and most importantly, spend their money in exchange for the goods or services offered. In this regard, advertisement plays a major role in increasing a business’s visibility, reach and its capability to attract an increasing number of customers. However, as the business grows and becomes a household name within a country, there is only so much that advertising can do that word-of-mouth and product quality hasn’t done yet. It is at this point that a business needs to increase its reach beyond the borders of its country and aim for some amount of regional or international accreditation. Why is this necessary, and why should businesses aim for this sort of accreditation even after it has had complete success in its country? Well, here are some crucial reasons to consider:
1. More Profits – With increased sales, one can expect a total increase in profits, especially if on an international level. Your currently priced product can be sold for a greater price on the global market as compared to the price sold within the country. This does not mean that provision of these products should be stopped locally because of higher profits globally. Remember, the local supply is what forms the backbone of your business. Aiming for international accreditation is, by extension, aiming for greater profits.
2. Short-term Security – By aiming for international accreditation and successfully doing so, your business is guaranteed to be almost unaffected or minimally affected by sudden or ‘once in a while’ changes in the country’s economy. This is so due to the fact that there is also assurance for your business out of the country.
3. Long-term Security – As with short-term security, by acquiring international accreditation, your business is assured some amount of protection from changes in your country’s economy. But in this case, your business remains stable despite domestic competitors, as well as foreign ones, to a certain extent.
4. Increased Innovation – Through the expansion of your customers’ reach, both locally and internationally, your increased sales and profits could help to fund the development of new products.
5. Exclusivity – Acquiring international accreditation puts your business and its management in a position to gain exclusive knowledge about foreign customers, market places and market situations. This could work in your favour on the local market through the implementation of certain strategies. These strategies would be developed in relation to the information obtained from the global market and would help to ward off local competitors.
6. Education – Some companies do not aim for international accreditation just for the financial gain. Quite a lot of businesses join in on the international market to scope out the feasibility of their existence on such a plane. In essence, they do so just for the learning experience, which in turn allows them to better themselves locally and later on, internationally.
7. Competitive Strike – This comes in two forms when aiming for international accreditation; offensive and defensive. In the offensive form, entering the global market allows one to gain a sort of edge against local competitors. It allows for faster growth and increased visibility. It also allows for greater customer confidence, causing patrons of other local companies providing the same goods and services to switch to your brand; all due to the international accreditation. On the defensive note, some businesses enter the global market due to the fact that a major competing business has entered first. By allowing that business to be the sole operator in the market, it would gain a significant advantage. This, however, is negated through retaliation by entering the global market as well. It ensures that you keep your current customers and gain a significant amount more as well.
It is absolutely necessary to be internationally accredited if you want your business to grow. As mentioned above, there are a number of advantages of doing so, even if your business is now starting up. It might be wise to start a little bigger than you anticipated. But always bear in mind that scoping your market before implementing anything is always best.