Global-Spin News

Why We See More Start-ups Going International Early in their Growth Processes

Why We See More Start-ups Going International Early in their Growth Processes
Friday, 30 November 2018

We are talking a lot about spin-off and start-up internationalisation here at Global-Spin, but why are new companies look to spread their products and services to other countries when, as we know from the Global-Spin Research results, it isn’t any easy task? The bottom line is that going global offers business potential for economic growth that is totally unique to the local market. In addition, internationalisation permits start-ups to specialise in niche markets and reach their target audience more easily.

Therefore, it should be no big surprise that many new spin-offs and start-ups are internationalising earlier or even being “born global,” that is, they create their product or service from the perspective that it won’t be sold in just one place but available in multiple countries and cultures around the world. With the technology that is now available to even the smallest businesses and the knowledge that exists about the conditions in different countries, internationalisation is easier than ever before (although this doesn’t necessarily mean it is easy). [1]

Internationalisation also allows companies to explore emerging markets to scale up their efforts. Markets such as China and India are now more accessible and, with the correct product and marketing plan, business can reach millions of people by using the internet. Especially for technology companies, the numbers of potential customers in emerging economies is a market that is could be the difference between success and failure for a new business. [1]

At the end of the day, with all of the tools we have and the opportunities available to small companies abroad, it makes sense that start-ups are internationalising sooner rather than later. And we should only expect for this trend to continue, especially in the world of technology, as emerging economies continue to grow and develop. [1]