Table of Contents
What is a business expansion plan?
Why make an international business plan
Structure of an international business plan
What is a business expansion plan?
The first thing we need to be clear about is what a business plan is. We may think that describing what we want and how we are going to carry it out is enough, but that is not a business plan but a declaration of intentions. A business plan is a tool, and as such it must follow a specific and precise structure to serve as a guide at all times.
In our international business plan we must first establish the bases for creating a project , the objectives to be met and the means at our disposal to achieve them. It is not an isolated document, but rather acts as a complement or container for other documents of vital importance such as the market study , which will serve to provide real and verified data in order to give a realistic view of the market to be addressed. Once defined, some actions such as participation in international fairs can be a key strategy to promote our product and establish valuable contacts in new markets.
Improvisation has its place in the business world, but when it comes to minimising risks, precision and a firm step when acting ensures success: that is what the business plan is responsible for.
In short, we can summarise that the business plan is our own personal recipe book: we can be the best at cooking a dish, but when we have to tackle one that is unknown to us, we need the exact guidelines on how to do it in order to succeed.
Similarly, there is not, or should not be, a single partners email lists business plan: each market has its own needs and particular circumstances and therefore, we will need a different business plan for each international market we decide to address.
Why make an international business plan
By now we have assumed that the international business plan (also called in its Anglo-Saxon form "business plan") will serve us, having previously studied the environment and accompanied by other tools such as market studies, SWOT analysis, etc., to be able to have a clear idea of each step to follow to meet each objective set and that not everything is left "up in the air". But it is not the only reason why we should consider making a comprehensive business plan: a good international business plan acts as the best possible business card.
One of the tasks of embarking on a business expansion is to look for partners, financing, potential investors, etc. Whether we want to go it alone or establish strategic alliances , at some point we will find ourselves needing to explain the what, the how, the when, the where and the why of our project.
To do this, "intentions" are not the same as offering in an orderly and precise way everything that our international expansion plan entails: from how we are going to carry it out, what results we are going to obtain based on real data and what costs (both economic and resource) it entails. The more clearly we communicate what we want to achieve, the easier it will be for them to want to participate in our success.
A good international business plan should set the course for each of our actions aimed at achieving success.
Structure of an international business plan
We know what it is and why we should use it. It is time to outline what our business plan should include in order to expand the company. A good international business plan consists of the following elements:
Executive summary : A comprehensive business plan can easily reach 200 pages, which is overwhelming. Therefore, our initial hook must be a summary that, when read (no more than one or two pages), convinces anyone who comes across it of the solvency of the project. In short, here we must answer the main questions (those 5 W's of journalism) and deal with the economic issue without mincing words (how much would it cost a potential investor).
Product Description : The next section should captivate the reader with the answer to the questions: Why does this market need my product and how is it different from the rest? What is its distinctive value?
Segmented market : few products worldwide can boast of covering a wide-ranging market and target audience. In order to fine-tune our strategy and to be able to offer precise responses to specific needs, we must segment the market, locate our potential audience and reflect on our target audience in order to reach it.
Competition : we must study the possibilities of our business, but also those of our competitors. In this way we can differentiate ourselves from them, improve their strengths and avoid making their mistakes, etc. We learn as much for ourselves as from others. In addition, analyzing international competition will allow us to better understand the dynamics of the global market and adjust our strategies to be more competitive.
Financial analysis : whoever invests, whether it is ourselves or an external source of financing, needs to know what X injection of capital will yield. To do this, we must detail the value of our company, where we are starting from and what returns we intend to achieve in the short, medium and long term. In economic matters, the accounts are “clear”, so we should not skimp on any detail that serves to have an approximate view of income, costs, benefits, how much we need, etc.
Human Resources : Behind the projects there are people with names and surnames whose success is largely due to them. Don't hesitate to take them into account from the very first minute and present them in detail. On the other hand, a strategy of such magnitude as business internationalization requires different actions and work that form the whole. We must always be clear about who is behind each action.
Status of the plan : Would you invest in a company with no experience and that only provides a plan because it believes it will be successful? If you do not provide evidence, firm steps, specific dates... in short, assurance that the project is capable of being launched at any time or, better yet, that it is already underway and in the best hands, everything, absolutely everything planned remains on paper (and in losses of time and money).
Strategic alliances : whether or not we have decided to tackle the market alone, at some point we will need external support: from choosing a service provider to joining a trade association if necessary.
Marketing plan : we already saw it with the SWOT analysis and the market study: the business plan is a container of all the tools that will help us to walk firmly towards our objectives, and without a doubt, in achieving them, the marketing strategy has a reserved space of luxury. It ensures that the question How much will it cost me for a client to buy my product? has the closest answer, calculates possible risks, barriers to entry, how to reach the top positions in the market as quickly as possible and other difficulties that online marketing can solve.
On the other hand, although the business plan may seem very square and exhaustive, do not lose sight of providing a story to your expansion plan, working on the brand value . It is not about going from reality to science fiction, but the business plan, as we told you, has the parallel function of "convincing", and for this there is nothing better than starting to use marketing techniques from this very moment, so that whoever reads it sees themselves as a client of our product and does not hesitate to jump on the boat of success in our approach to the foreign market.
We have given you the steps, but in the end, don't forget to bring all your experience, all your ambition and put "all your cards on the table" so that you can achieve success in your expansion. Can we help you with anything?
