According to the HSBC Commercial Banking report, a considerable number of businesses currently feel that a lack of information is preventing them from being able to expand into international markets. Nearly three quarters (74 per cent) of businesses which are considering overseas trading feel ill-equipped to take full advantage of the opportunity, with 47 per cent blaming a lack of experience from within their own business.
What’s more, eight out of 10 businesses (81 per cent) which are trading abroad agree that it is the differences in culture and etiquette in foreign countries that makes international trading more challenging. The language barrier is also a problem for almost two thirds of businesses (62 per cent).
Steve Bottomley concludes: “It is clear that there is as encouraging level of interest in overseas trading for businesses of all sizes. But there are pitfalls that need to be considered before settling on expansion plans. Information, expertise, language, currency, payment terms, etiquette, technology all alter significantly depending on where and what you are deciding to trade in.