Expand to Europe

While purchasing power in many countries in Asia fluctuates socially, the US is saying goodbye to global trade and becoming a risk against all economic rationale, Europe offers excellent economic and social opportunities for business expansion. Freelancers and small and medium-sized companies should also take advantage of these opportunities and expand to Europe.

A market with high purchasing power, 28 countries and 150 different languages

At $19.7 trillion in 2016, Europe’s economic strength, measured in terms of gross national product, is close to one-third of the world’s economic output. With a population of only 738 million people.

Accordingly, European companies and households have a correspondingly high purchasing power. The regional disparities are still large in 2018, as the breakdown of millionaire households in Europe shows.

Infographic: Where Are Europe's Millionaire Households? | Statista

For companies wishing to expand into Europe, we therefore recommend primarily the markets in Germany, France and the Benelux countries. The expansion into the UK and Switzerland may be economically interesting, but it is more complicated from a pan-European point of view. The UK will leave the EU through the brexit and Switzerland is not a member state of the EU.

International expansion has two sides

The international expansion of your company has two sides. On the one hand, it is the target market that must be taken into account in its characteristics. On the other hand, however, it is also your home market in which you produce.

Many Europeans have never travelled outside Europe before. They therefore only know the markets, production conditions and cultural differences, if at all, from hearsay and the media.

Infographic: Some Europeans Have Never Been Outside The EU | Statista

As an international management consultancy, it is important for us to know and consider both sides of the coin. This is the only way to ensure that expectations are met and disappointments avoided when taking the decision to expand to Europe.

Staff needs leadership

The dream of passive income is also dreamed by many Europeans. Many of the mostly young people realize after a few years that despite the low interest rates in the euro area, they would have earned at least a secure income with the level of their investment. The dream of a passive income is bursting, not least because of the lack of active management. Many service providers in Asia suffer from this, whose initial investments in long-term cooperation were in vain.

In the latest Forbes list, Amazon boss Jeff Bezos has been named the richest person in the world. This success is not least due to Amazon’s strong market presence in Europe. Especially in Germany and the United Kingdom Amazon dominates the market in many areas – and continues to grow. This success would not have been possible with American management.

For success on the European markets it is important to know and understand culture. This is the only way to win customers and turn them into active promoters. Local staff helps you to successfully sell your international products on the European market. We see it as our task to conduct this international orchestra. This includes understanding your business objectives and defining, implementing and continuously monitoring the necessary measures to achieve them.

Magnificent opportunities for freelancers and businesses

Electric cars are one of the growth sectors in Europe. This market, traditionally dominated by German manufacturers, is subject to great changes and offers fabulous opportunities, especially for companies from Asia. Electric automobiles do not require the in-house competence of engine and drive technology, but can be produced from numerous components from third-party manufacturers. A few days ago, the German company Bosch announced its withdrawal from the development of battery technology for electric cars. This improves the chances for manufacturers from Asia as an important competitor leaves the market to them.

The European market offers numerous opportunities not only in the large industrial sector but also for freelancers. In order to take advantage of these, however, the European market must be understood. We receive daily offers from software developers and web designers from Asia. By e-mail and phone. None of these offers have the slightest chance. The reasons for this are obvious: there is a lack of understanding of the European market. We are not prepared to pay the same prices for software development in the Far East as the rates for a local developer. And we expect extensive market knowledge and independent work. The uncompromising fulfilment of specifications is not guaranteed in any of these offers. However, it could be so easy for these companies to become active for European companies as well. They would have to know and understand the expectations. On this point, we can be the necessary link and help you to expand to Europe.

Take advantage of your opportunities to expand to Europe now

There are many good reasons to expand into Europe. No matter in which line of business you are active and no matter if you are a freelancer, manager or company owner – don’t hesitate and contact us right now. We look forward to receiving your message at hello@fiduciamanagement.co.uk.