Although opening a business in Asia is an important development, the move has to be strategic. Before considering the logistics of how to make a smooth transition from a firm’s home country to Asia, it’s important to first get clear why opening up a business division in Asia is a good business idea.
Asia: The New Business Frontier
Asia’s economy is growing at a rapid rate. It’s an important target zone for emerging or established companies looking for a global business. Research shows that as much as 40% of the global economy is now in Asia. What’s more, over the next ten years, Asia is expected to be a thriving marketplace for international commerce.
One reason why Asia is becoming an economic hub for progressive companies in the West to migrate to or open branch offices in is the rapid increase in urban population. All the diverse countries in Asia have one thing in common: the cities are growing by more than 120,000 people a day.
The future looks bright for Western companies who want to establish a presence in Asia. By the year 2025, incomes in Asia will be a quarter less than they are in the United States. To put this in perspective—in 1980, incomes in Asia were one thirtieth less than they were in the U.S. In other words, the economic and population growth in Asia over the past few decades has been nothing short of staggering.
What this means for forward-looking Western companies seeking a foothold in Asia is that Asia is destined to be the biggest producer and consumer in the world.
How to Move a Business to Asia
When a company moves from one state to another, one city to another, or from one region to another, it can be challenging, but the cultural norms and structures are similar enough to make the move fairly predictable. However, when moving a business in the West to a new home in the East, there are cultural, linguistic, and logistical challenges that need to be understood for the move to go smoothly. Consequently, the best way to make the transition go well is to hire a trusted moving partner. Visit Unigroup Logistics to access a relocation network in well over one hundred countries.
Without a doubt, it can be a complex thing to create an international business. There needs to be a lot of thought put into moving a division, expanding operations, or relocating the entire company. If breaking into a new market is done in a haphazard way, it can actually determine whether the business itself will succeed or fail.
Conclusion
Asia is re-emerging as the most dynamic economic region in the world and this offers many opportunities for a business that is eager to find new production opportunities and consumer markets. This is going to be the century when Asia gains momentum and become the new frontier for business growth.It offers exciting, new possibilities.
Written by Jane Brown
