Looking back over the past 15 years, many conditions have changed. Today, we live in a rapidly developing globalized world. Both challenges and opportunities increase. The opportunities that have evolved over the years have resulted in that more small businesses set up operations abroad.

To establish abroad was seen as a project that could possibly be profitable 15 years ago, but today it has become a strategy of survival for many entrepreneurs.

Internationalization has become an important element for growth. The trend of establishing business in neighboring countries is still present; we often start striving for success in neighboring countries. However, more companies today are looking directly to markets farther away. Companies today are expanding gradually to different countries, in other words, they start with easier processes which become more sophisticated as time goes on. Over time, confidence in the company increases and the establishment becomes a successful choice.

Smaller companies are advised not to hurry through the internationalization process in order to survive. In addition, they are advised to start by exporting and then gradually increase their involvement in internationalization.

But today, these advises are not always followed which is both good and bad. Companies do not wait to establish abroad, either it will work out or it will not. The security at home is no longer what attracts the most, rather the opportunities elsewhere. Different models for establishments are discussed, and exporting is now not the only solution for a successful foreign establishment.

The difficulties in a more globalized world are that you must work harder to reach success. Contacts and cultural differences are two obstacles that come together. Entrepreneurs also take the risk of being cheated and exploited by other companies on the new market. One example is that inventions are copied, and to file a lawsuit may be too expensive for the company. This problem was much less common fifteen years ago.

The difference today from the past is that a company sometimes is forced to establish abroad in order to succeed. Internationalization increases and opportunities arise very often. One sees, however, a trend for which companies seek new markets. Family businesses often stay on the domestic market; there are simply too many risks involved. Individuals do not want to risk that the whole family may suffer if the internationalization would fail.

The differences are many today in comparison to 15 years ago. The question is what it will look like in 15 years. Maybe it is time to plan for an internationalized future today?



                                                                                        Cecilia Helland