Companies of all sizes in the UK are seeing overseas expansion as a key part of their growth strategy in the coming years. Unfavourable domestic conditions have pushed many to look to foreign markets in an effort to pick up sales and profits, and exports have even been championed by the government as a way for small businesses to increase their turnover. A new survey shows just how much of an impact this mindset is having on businesses, both small and large.
Nearly half (43%) of all companies questioned in this survey, conducted by Expacare, were considering a move to trading overseas. This included those who were already trading in foreign markets but who were looking to strengthen their international footholds.
The motivation for this seems to spring from the government, who have been encouraging UK businesses to consider foreign markets as a way to compensate for a tricky domestic one. 44% of businesses felt that they wanted to play a role in the global market. 32% said a reason for their desire for international expansion was because one of their clients has an international presence and they wanted to be able to support them overseas.
3 out of 5 SMEs said that they believe operating internationally is going to become commonplace for businesses in the future. Not only will this be motivated by a wish to take advantage of global markets, but it also demonstrates the role of internet retail and ecommerce as facilitating all sorts of companies to sell to global clients.
Over a third of businesses interviewed were already making the most of EU markets, whereas 4 in 10 were looking to expand into Scandinavia and 36% looking to capitalise on opportunities in Brazil, Russia, India and China (BRIC countries).
Are you looking to expand your business growth with overseas trade? This looks set to be an ongoing trend for the UK’s SMEs.