Expanding Your Business to Hong Kong? All You Need to Know
Are you preparing to expanding business to Hong Kong? Is your product a hit in your home country? If it is, then you may be considering to expand to other countries, and Hong Kong may be the best option for!
One of the best methods to know that your business is ready to grow is through research. Successful companies do not normally just expand with a dream, you have to conduct precise market research and a business plan.
Everything has to be laid out properly and planned before moving forward. Your expansion will work only if you have a keen understanding of your new customers, their patterns, and their characteristics. The moment you figure this out, then you need a business plan and market strategy to enter their market successfully.
Preparing to expand your business to Hong Kong is not an easy task, but you can make it easier by knowing all that you need for the company.
First off, after conducting the research, you need to start by preparing a business plan.
Traditionally, a good business plan with precise details, and all considerations of the risks is considered the key to success. You should never underestimate a good business plan because it can be your breakthrough in the Hong Kong market. By embracing all of your goals, objectives, forecasts, and routes, a plan should be made that provides clear steps on how to take your business from paper to profit and expand in the markets of Hong Kong.
A precise, authentic and sound structured plan can be the difference between success and failure. After preparing your business plan, it should be able to answer three questions:
- What is it that I am trying to achieve through this?
- How will I achieve it?
- How long will it take for me to achieve it?
If your business plan can answer all these questions in detail, then you have the plan needed for your company to grow. If not, then your business plan may not be ready to start.
Some other information your business plan should be able to provide are:
- The summary of your business, if you want to show your plan to your potential investors.
- Information about the company; the products and services, to who you are selling them to and why are you selling them.
- Marketing and sales information such as who will buy your product and why?
- Will you take existing employees or hire new employees and other information about the management and workforce.
- Daily operational information that you are considering such as offices, production facilities, factories, location, IT and the management system.
- Finance your costs and plans, as this is where the plan becomes serious as your visions and plans turn to figures while expanding your business.
If you can’t lay out a plan for yourself for your company, then no need to worry as companies also exist who help to formulate a business plan for your company in Hong Kong. They will give you a detailed plan which will take you step by step towards your goal. All you need to do is get in touch with one of the several international business planning services out there.
After the plan, next comes the Market entering strategy.
Expanding your business to Hong Kong will be easier if you have detailed steps to take towards success. Having a blueprint for the delivery of your goods or services to the customers and the market is also an essential part. Your entry is primarily concerned with your customers and competition in the market. You should be ready for anything.
While planning a market entry, you need to take under consideration about the existing situations in the market such as, what is already in the market? Can your prices, products, and services be competitive in the market? Do you offer something that your competitors don’t?
While planning for market entry, here are some tips that you should consider:
- Conduct research on the Hong Kong market. Find out the best location for expanding business in Hong Kong, its sales and the best channels for distribution. Find out about your best potential customers.
- Calculate the rough sales volume and your potential growth to expand to Hong Kong to have a good idea about future situations.
- Study your competitors. Get to know as much as you can about them and their businesses, services or products, the channels they use, etc.
- Understand the current and future political and economic climate so that you can flow with it smoothly to avoid any potential future troubles.
- Calculate the initial costs of expanding to Hong Kong and also take a serious note about the risk factor.
- Take note of all the rules, regulations, duties and other legal facts that apply to your business and understand them.
- Conduct market analysis and confirm if your product and the marketing techniques are market ready.
- Go through all the possibilities of acquiring funding that may be available to expand in Hong Kong.
- Go through the Hong Kong market opportunities, environment, and the risks. Speak to the producers and distributors about the market and the pricing, also about the hindrances and opportunities in the market.
Next step is to run a competitor analysis.
Being in the business world, you will want to know all about what your rival companies are doing. For example, if they offer services cheaper than you. All of this information is essential as it will allow you to craft your business to the best one out there.
The fundamental questions you will want to know about are:
- Who are my competitors?
- What do they offer?
- How do they set the price of the product or service offered?
- What advantages do you have over them and what do they have over you?
You can also run a SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis. Conducting one will help you compare facts about you and your competitors, and also to study the markets.
But how will you get to know about your competitors? Well, you can start off using the internet. Find out about them through ad’s, websites, press releases, roadshows, business account, etc. Get to know the people’s opinion about them through media, clients, customers, reviews, reports, etc.Expanding Your Business to Hong Kong? All You Need to Know Click To Tweet
Following Competitor Analysis, you should conduct a Market research.
When the market research is conducted, it is exclusively concerned with the investigation of the consumer markets. It taps into the habits of the consumers. By doing that, it gives you a clear insight into the type of people that buy your product, and how often they buy.
Expanding your business to Hong Kong is not an easy task, but if you are prepared and ready with everything that you need, it can be a smooth flow. With all the advantages the government gives you in Hong Kong, entering this market is quite easy when compared to others, but only if you are well prepared with the business plans and market strategies. Your confidence in the business plan can determine your success or failure.
Expanding the business to Hong Kong can make you reach new heights if done correctly, as Hong Kong is one of the best places to set up a business. So, if you have plans to start a business in Hong Kong, you would need help in incorporating and registering your business. Startupr can help you with it. Contact us for more details!