International Business

The global economy is much broader and more lucrative. So, expanding to new markets is in your business’s best interest.

Advanced technology makes it easier than ever to expand your business internationally without increasing overhead costs. And with the rise in cost-effective telecom solutions, businesses are able to enter markets where numbers and phone services are generally harder to get.

That’s where global telephony providers like Global Call Forwarding come into the picture. We can help you add global coverage to your business phone system with international phone numbers and advanced call features.

Building a Global Communication System

Global telephony providers offer cloud communication solutions such as voice, messaging, phone numbers, and call management tools. And since these services work over the internet, businesses can use them to communicate with customers in different countries and regions worldwide.

In most cases, your business does not even need to open a new office or physical location in these countries. You simply forward calls internationally or communicate via web apps.

So, how do you add global voice coverage to your business phone system without dramatically increasing overhead costs?

1. Purchase international phone numbers for target countries.
2. Work closely with your phone service provider to manage phone service in hard-to-reach countries.
3. Set up international call forwarding to have incoming calls routed to the right department and office anywhere in the world.
4. Use outbound calling with caller ID management when making outgoing calls to customers in target countries.

Increasing Global Phone Coverage with Global Call Forwarding

Limited global coverage and documentation restrictions are the main obstacles corporations face when expanding. So, how can your business get around this problem? Work with a global telephony provider that offers high-quality voice service and has an extensive network of local telecom partners.

United World Telecom (our parent company) has long-term relationships with trusted Tier 1 Carriers worldwide. This allows us to provide our customers with one of the widest offerings available on the market.

New players in this space do not specialize in this area of the telecom industry. So, the numbers they provide may be more limited, come with stricter documentation requirements, or take longer to activate.

Due to our positive reputation in the industry and the trusted relationships built with our providers, we offer our customers phone numbers with fewer documentation requirements than other providers and at competitive rates. And we provide added flexibility with our month-to-month billing and no long-term commitments – which our customers prefer over the strict contracts required by many telecom providers.

Using Our Service with Other Providers

Since some global phone providers have limited coverage and require stricter documentation for most originations, they may be harder to work with. But that does not mean you need to find a new phone service if your communication system is already built with other providers. You can simply integrate our services and rare or hard-to-reach international numbers with other providers like Zoom Phone, Amazon Connect, Aircall, and so on.

Global Call Forwarding (run by United World Telecom) has an extensive inventory of phone numbers from over 160 countries around the world. And we can provide phone service in hard-to-reach countries as well. So, your business can use our service to add global voice coverage to your existing phone system reliably.

View the available countries we offer service for on our Country Coverage page.

Adding Global Coverage with Global Call Forwarding

1. Add global coverage with BYOC

BYOC lets you directly forward calls directly to SIP. This is the best option for businesses that want to add numbers to an existing PBX system and/or have limited minutes. You can simply buy numbers from us and forward calls to your PBX. Here’s how:

1. Buy desired numbers from Global Call Forwarding and activate your service.
2. Contact your PBX or phone service provider.
3. Give them your list of phone numbers and our list of IP addresses. Your provider has to whitelist these IP addresses so you can receive calls.
4. Your PBX provider will then create a special SIP domain for each number
5. Add this SIP domain in your control panel under Forward all calls to, so we can forward calls to the right domains.

Note: We support G.711/μ-law and G.711/a-law codec for sending calls.

2. Add global coverage by forwarding directly to the number

Alternatively, if you already have local numbers with another telecom provider but need additional global coverage, you can buy international numbers from those countries with Global Call Forwarding. Then, you can simply forward incoming calls to your local number. This is the best option if you have an unmetered plan with your local phone number provider. And you avoid the hassle of dealing with SIP domains and whitelisting IP addresses. You can do this on our Pricing page.

Challenges to Keep in Mind

Most global phone service providers offer international phone numbers and various cloud communication features. But, they may come with limitations that can impede your business’ global expansion plans:

Limited global coverage
Worldwide coverage is typically limited to just Western Europe and the Americas. This means that providers may not have a strong presence in the Middle East, Latin America, or Africa. So, if you have customers in these regions or want to expand, you will need an additional phone service provider.

For instance: Zoom Phone offers phone numbers in 45 countries and toll-free service in only 29 countries (of which some are inbound-only).

Amazon Connect offers phone numbers and inbound calling from about 80 countries, DID and toll-free numbers in nearly 20 countries, and outbound calling for 200 countries.

Stricter documentation
Additionally, new players in the telecom space may require stricter documentation for most originations. This could be a result of short-term experience, smaller networks, different business models, and so on. But it can add more roadblocks to your international expansion plans.

Note: Information mentioned in this article is accurate at the time of publishing and may be subject to changes.

Finding the Right Global Phone Service Provider

While there are countless global inbound phone services available, you need to find one that works best for your business communication needs. Here are some questions to consider when looking for a global telephony provider:

• Which countries do you need coverage for (regions you want to expand)?
• What is your overall voice communication budget?
• What communication tools or features can improve the way your business communicates with international customers?
• Do you need phone service in hard-to-reach countries or countries with political instability?
• And finally, can this provider offer reliable coverage for those countries with your desired features and within your budget?

Keeping all of this in mind, you can determine which global telephony provider for your business communication needs.

Ready to add global voice coverage to your phone system? Call us at +1 (561) 908-6171 or chat with our experts online!

There’s a stage in every small-to-medium-sized business’ life where you ask: is it time to take the next step and pursue international expansion? And while many companies have achieved global expansion successfully — and many have failed as well — there is a general tendency of doubt whether it is worth the gamble.

Especially now, after the global pandemic and with so many businesses having to shut down or halt operations.

But while expanding your business after COVID-19 may seem challenging, it is a worthwhile and beneficial avenue to consider with the support of the right resources and people.

Why Should Businesses Go Global?

So then, what really is the benefit of entering your business in the global market and taking the risk? Besides opening up a whole new revenue stream, international growth allows your business to establish a global reputation. Such a reputation will help you attract and retain more high-quality customers. And it will open up more investment opportunities that will help your business further scale.

What is the Cost of Global Expansion?

But is it worth the risk? The short answer: it depends on your business and the demand for your products and services.

Not every business is suited for the global stage. Maybe your industry is too niche, or your services are useful only to a specific group. In that case, international expansion may not be for you.

It also depends on which stage of growth your business is in right now. If you are a start-up still trying to find your footing, then it’s better to put off global plans. But if you are an established business gearing up to release new products and features that might appeal to a broader audience, then you might benefit from taking them global.

You need to consider international expansion costs when looking at the best countries to expand in 2021. Important factors to consider include:

• State of the region’s economy post-COVID-19
• Demand for the product and service
• Overhead costs — office space, supplies, and equipment
• Moving costs
• Cost of labor and materials
• Logistics and shipping costs
• Country’s rules and regulations regarding foreign businesses, and so on.

Thankfully, careful budgeting and a clear expansion plan can help you keep costs low. You can use one of these various types of international expansion strategies to expand globally efficiently while staying within your budget. Additionally, instead of jumping right in and investing everything in your expansion plan, start slow with a light footprint, and grow gradually.

Learn more about global expansion strategies and best practices in our global expansion guide.

8 Benefits of International Expansion

That said, what can your business achieve by growing internationally and why should you consider it? Here are the main reasons to consider international expansion:

1. Increased Revenue Potential

Most businesses look outside when they have exhausted growth opportunities at home. But even for companies that are relatively new (7+ years in business), there’s much to gain by entering new markets. You can explore new markets, market to new demographics, offer diversified products, and increase sales as a result of all this.

2. Entry to New Markets

International expansion also means access to more markets means more customers and more sales. Part of successfully entering a new market is researching the region and its demographics to ensure your business provides valuable and relevant products and services. This means working close to the ground to understand the needs and desires of the locals in these markets.

By doing that, you would create products and services they want to purchase and invest in. This is yet another way of showing your customers and prospects that you care about how they use your service. And that is crucial to building customer loyalty and responsiveness.

Side note: Entering new markets also means exposure to new investment opportunities but more on that later.

3. Access to Diverse Audience and Customer Base

With our heavily globalized world, your business is probably already catering to a diverse audience. Yet, you are limited when you stick to just one market or region. Instead of putting all your eggs in one basket, it is a good practice to diversify and spread them across multiple target markets. This way, if one market changes or slows down, you can rely on revenue streams from other markets.

Additionally, by catering to a diverse customer base, you will be required to create new products and services to meet their needs. This gives your business the opportunity to establish itself as a local entity or local-supporting business. A broader and diverse customer base always helps generate more business and sales.

4. Foreign Investment Opportunities

New markets mean new investment opportunities and access to new materials and talent. The main benefits of foreign direct investments include economic growth, access to greater resources, job creation, innovation and R&D, and support for developing countries. Foreign investments give your business the opportunity to not only access resources in other countries but also support developing and growing economies.

5. Opportunity to Diversify Your Business Portfolio

Another significant benefit of international expansion is the ability to diversify your business portfolio. Entering a new market allows you to invest locally. You can support other local businesses, regional sustainability efforts, and partner with local organizations that align with your mission. This further lends to your business’ reputation and brand personality.

6. Offer Global Customer Support

When you open your business to international sales, you may find customers and prospects from different parts of the world. This means you will need global sales and support teams to nurture these customers.

While running global customer support may seem expensive and difficult to manage, you can adopt a follow the sun support model to manage your teams efficiently and cost-effectively. A follow the sun model uses advanced call forwarding to route incoming calls from one location to another. For example, you can route calls coming in from Europe to your remote team in London. Or, you can forward calls made between 9-5 within the Eastern Standard time zone to your team in New York. Or, you could just forward all calls, from anywhere in the world, to your main office in Mexico.

Some common routing strategies include:

• Time-based routing – route calls based on the time of the call
• Georouting – route calls based on the location of the caller
• Skill-based routing – route calls based on the skills needed, such as language preferences or technical skills.

With such routing strategies available by cloud phone service providers, you do not need to have multiple offices globally. You can offer global care and support from your headquarters or through remote agents.

7. Access to Diverse and Skilled Talent

Next, you get to build a diverse workforce by accessing a large pool of skilled talent. Hiring global talent means variety in language skills and educational background. In fact, certain countries are known to excel in certain industries — like India with engineers and technologists. And so, you can attract high-quality talent from these regions as you expand internationally.

There are many benefits of having a diverse workforce:

• Variety in skills and talent
• Employing local workers and building local trust
• Supporting locals
• Reduced turnover rates, to name a few.

8. Gain a Competitive Edge and Improved Business Reputation

Together, all of these factors only add to your business’ diverse portfolio, helping you gain an edge over your competitors. By being accessible globally, your brand can develop an international presence and reliability. Customers will be familiar with your business and service, leading to more sales, partnerships, and profits.

Is Internal Expansion the Future for Your Business?

Expanding globally is a big step, but thankfully, there are countless resources and support centers to help businesses take this step confidently. If you need a global telephony provider to support your global business communications, consider Global Call Forwarding.

We can provide you with local and international toll free numbers from more than 160 countries worldwide. We also offer cloud communication solutions for remote countries so that you can communicate with your customers no matter where they are located. Want to learn more? Browse through our features and services, or speak with our representatives today.

A time comes in every business’ lifecycle when it needs to expand to new markets and regions in an attempt to keep growing. However, such a move can be overwhelming and cost-heavy, especially if not planned out strategically.

Here we will go over the different types of international expansion strategies with examples. Comparing these different strategies and entry modes can help you decide how to plan your business’ global expansion.

Topics covered

• How to Enter the Global Market
  • Global Markets Post-COVID-19
  • How to Create an International Expansion Plan: 5 Key Steps
• Types of International Expansion Strategies
  1. Multidomestic Strategy
  2. Global Expansion Strategy
  3. Transnational Strategy
  4. Foreign Direct Investments (FDIs)
• Common International Expansion Entry Modes
• How Can Global Call Forwarding Help Your International Expansions Efforts?

Expanding Internationally: How to Enter the Global Market

Before we get started, why should your business even consider entering the global space? And are the benefits of expanding internationally worth the costs and risks? The short answer is, it depends. It depends on the kind of business you operate and how you execute your international expansion strategy.

When done strategically, there are many benefits to expanding internationally, including:

• Access to new markets and a diverse customer base
• Increased ROI and profits
• Access to local and skilled talent and workforce
• Global business recognition and reputation
• Establish regional offices
• Stay ahead of the competition
• Access to foreign investment opportunities.

And since you open new revenue streams, you can expect the ROI and profits to offset the costs spent in entering new markets. But for everything to fall in place according to plan, you first need a solid international expansion plan.

Global Markets Post-COVID-19

Expanding globally after COVID-19 can seem a bit challenging. But with the right plan and resources, you can enter a new market smoothly and cost-effectively and add a new customer base to your business profile.

The key to successfully expanding your business is to:

1. Create a clear global expansion plan.
2. Choose the right international expansion strategy.
3. Identify the best entry mode for the new market.

Let’s look at each of these factors in detail.

How to Create an International Expansion Plan: 5 Key Steps

Before we compare the different types of international expansion strategies and entry modes, let’s look at the critical steps involved in creating a global expansion plan. This will give you context about what your business needs so you can identify the right strategies for international growth.

1) Pick the Right Markets to Enter

The first thought generally is to expand to a big, metropolitan area. However, certain businesses and industries do better in less developed and developing regions. Depending on your business type and stage of growth, identify the right markets and regions for your business to expand. And local market research can help with this.

Don’t know where to start? Here is a list of the best countries to expand to in 2021.

2) Conduct Market and Competitor Research

Then, you need to analyze how well your product or service will do in this new region. Is there a demand or market for your products or services? What is the quality of that demand? What demographics or portion of the population can afford to buy your products? How many competitors will you face? What is the demand for these competitors, and what resources do they have available? How does that stack up against your organization?

3) Understand Country and Governmental Regulations

Every country has its own foreign investment regulations. And so, before you start setting the groundwork for your expansion plan, you first need to familiarize yourself with these regulations. You can do so by visiting the country’s primary website or their trade website. For example, the United States has an International Trade Administration website where you can get information for US and international businesses. You can also learn more about these regulations on the country’s embassy websites.

4) Finalize on Entry Mode(s)

Next, you decide what entry mode is best suited for your business. Below we define and compare the different entry modes you can choose from.

You might even consider keeping a light footprint. That is, holding off on infrastructure and heavy investments till your foreign operations have grown and matured. You may decide to hire a few local employees and use cloud-based communication solutions to manage your operations. Have these employees identify untapped opportunities, conduct market research, and test the market gradually. This will help you save costs in the long run and ensure higher ROI.

5) Prepare Marketing and Expansion Plan

Once you have identified your markets and entry modes, you can start making a global expansion and marketing plan. This will outline your moves, budget, advertising campaigns, overhead requirements, and so on.

Learn more about global expansion best practices and planning strategies in our free global expansion guide.

Types of International Expansion Strategies

Here are the different strategies to expand internationally. But which one of these international expansion strategies is suitable for you depends on your business’s specific needs and goals. So educate yourself on the options available and make a decision accordingly.

1. Multidomestic Strategy

A multidomestic strategy focuses more on catering to locals within the new market. It is known as the strategy that sacrifices efficiency to improve the responsiveness of local requirements. Rather than forcing its parent country’s requirements and preferences onto the new market, it customizes its offerings and services to better meet the needs of the locals in the new market. As such, marketing and advertising efforts are geared towards the locals instead of taking a universal approach. A great deal of local research is required to execute a multidomestic strategy successfully.

Advantages of multidomestic strategies

• Diverse customer base
• Increased local responsiveness

Disadvantages of multidomestic strategies

• Uncertainty because of tailored and customized strategies spread across various countries
• Hard to achieve economies of scale that would help reduce costs

Examples of multidomestic strategy

• MTV customizing programming on its channels in different countries
• Heinz removing garlic and onion in its Indian ketchup recipe
• KFC selling tempura crispy strips in Japan and pastries with chicken in France
• McDonald’s offering multiple vegetarian options in India such as McSpicy Paneer, McAloo, and Green Chilli Aloo Naan

2. Global Expansion Strategy

A global expansion strategy is the opposite of a multidomestic strategy. The global expansion strategy is centralized—that is, the primary office controls it. This strategy maximizes global efficiency, so products and services are standardized and not tailored for local markets. The business units in each country are considered interdependent and respond to the primary office.

Advantages of a global expansion strategy

• Low risk for the firm
• Emphasizes economies of scale
• More opportunities to utilize innovations developed at a corporate level
• Effective for firms whose product is mainly hidden from the user’s view and where differences in local preferences is not an issue or requirement

Disadvantages of a global expansion strategy

• Trouble gaining a high market share in local markets
• Coordinating strategies and operations may prove challenging to manage
• Resources need to be shared and coordinating across boundaries and countries

Examples of a global expansion strategy

• Intel
• Microsoft offers the same product globally but with local languages
• Procter & Gamble (P&G) creates global brands whenever possible

3. Transnational Strategy

A transnational strategy combines the multidomestic and global international expansion strategy to create an international expansion strategy that caters to both global efficiency and local needs and responsiveness. Therefore, the two main characteristics of a transnational strategy are:

• High global integration
• High local responsiveness

To this end, balance and flexibility are key to executing a successful transnational strategy. And companies that do so perform better than competitors using a multidomestic or global expansion strategy.

Advantages of a transnational strategy

• High efficiency and low costs
• Wider reach
• Diverse market

Disadvantages of a transnational strategy

• Difficult to centralize and manage international offices
• Potential risk of alienating local customers

Examples of a transnational strategy

• McDonald’s offers custom menu items globally but has a cohesive global identity
• Unilever sells different brands in different regions but still maintains a singular corporate identity

4. Foreign Direct Investment (FDI)

FDI is when an organization enters an international market by investing in that country. Of all the international expansion strategies, this one is a good idea when demand and size of the market justify the investment. Some things to keep in mind when considering FDI:

• Your business can benefit from low-cost labor and cheap materials.
• You can avoid import duties when you manufacture locally.
• There may be import restrictions and limits for certain products.

Advantages of FDIs

• Retain control
• Low-cost labor, cheap material and manufacturing costs
• Diversified investors portfolios
• Provides financing and technology to developing countries
• Access to subsidies, tax breaks, and other concessions from the government

Disadvantages of FDIs

• High investment required
• High risk, related to change in policies against foreign companies
• Investors may have fewer moral attachments
• Potential unethical access to local markets

Examples of Foreign Direct Investment

• Mergers & acquisitions
• Horizontal FDI, where a firm replicates its entire organization in different countries
• Joint ventures
• Research & development
• Facilities
• Sales and customer support
• Manufacturing and logistics
• Retail and services
• Administration
• Greenfield investments

Common International Expansion Entry Modes

There are a few different ways to enter a new global market. And each of these international expansion strategies comes with benefits and potential issues. Here we will look at the various international expansion entry modes that your business can choose from when deciding how to enter a new market:

How Can Global Call Forwarding Help Your International Expansions Efforts?

Global Call Forwarding has helped thousands of businesses enter new markets and regions cost-effectively. Whether you plan to open regional offices or want to conduct operations virtually, our cloud communication solutions can ensure that your business communicates with team members and customers efficiently. Our high-availability network and partnerships with local, regional providers enable us to offer our customers cloud phone numbers (local and toll free) from more than 160 countries worldwide. And our phone numbers come equipped with advanced call management features such as call routing, automated voice response, softphones, and more.

We can support your international expansion strategies and help you enter new markets with a light footprint and low overhead costs. And as your business grows, you can add more service lines and features to our highly scalable solution.

Expanding internationally is a big step, and we are here to make the process less stressful when it comes to business communication. Want to learn more about how we can help you set up more points of contact in different countries and regions? Speak with our representatives today or chat with us online!