Forging the Right International Expansion Path
- VOLUME XIV, ISSUE 20
- Executive Insights
International expansion is complex. Distinct consumer preferences, competitive differences, and increased operational challenges require executives to make tough trade-offs when selecting new countries to enter at the expense of other attractive markets. The analysis required to address global expansion can be significant, especially when plotting growth amid constrained resources, compressed timelines and impatient investors.
To help senior executives target the right regions for their business objectives, L.E.K. Consulting examines the benefits, drawbacks and pitfalls of the four most common international expansion strategy trade-offs:
To illustrate these issues, we examined how some of the world’s leading companies have addressed each of these trade-offs. Companies featured in this report include Nike, Unilever, Nestlé, Wal-Mart, Christian Dior, IKEA and 3M.