Three Successful Companies That Made Their Name Overseas
While some businesses manage to do well in both domestic and international markets, success at home is not an indicator of success overseas. Growing a business in your home country takes a different skill set than building a company overseas — and though it may seem counterintuitive, some businesses are able to understand the needs of foreign markets even better than the demands of their home country. Here, we explore three international names that built their brand identity and found success in foreign markets, and the factors that enabled their international expansion.
Just Eat
Though Just Eat was founded in Denmark in 2001, the takeaway delivery app and website truly took off when it expanded to London. The UK quickly became the company’s biggest market, and now provides 71% of its revenue. The move to London was a well-calculated one. In an interview, Just Eat’s former CEO Klaus Nyengaard remarked that “50% of Europe’s food delivery industry is based in the UK. So we knew that to tap into that market and scale the company internationally, London’s the place to be.”
Just Eat saw an opportunity for growth and harnessed the power of technology to bring something new to a foreign market. The company’s success is due to their unrelenting focus on expansion. A large amount of the money Just Eat receives from investors goes into increasing the number of countries they service, hiring the right people to move the business forward and acquiring smaller companies.
Red Bull
Austria is Red Bull’s home market — but since the energy drink company was founded in 1987, it has taken over markets in 171 countries, including the US and UK. In 2016, Red Bull saw major growth in Chile, Scandinavia and Poland, as well. The company attributes its success to embracing creativity while also maintaining consistency in its brand and tone of voice.
One of their most effective strategies for expansion is fostering a unique corporate culture that gives local operations the opportunity to tailor products and services to specific markets. However, this attention to local cultures has not stopped the company from developing a specific international image. Red Bull has aligned itself with popular extreme sports and other accessible interests to build a brand that feels is recognisable yet personal.
Tata Motors
Indian automotive manufacturing company Tata Motors has seen great success in the international market. It purchased Jaguar Land Rover from Ford Motor in 2008, and managed to turn the company around despite previously lagging sales. This has offset challenging times in its home market in India. Strict regulations, a fragmented customer base and a highly price-sensitive market make India a challenging country to conquer. Tata bravely decided to use its resources in countries where it had a higher chance of success to overcome difficulties in its home market. A strategy like this is not without risk — but with the help of advisers and international expansion concierge services like Galvin International, companies both big and small are able to set their businesses up for global growth.
The businesses in each of these examples recognised opportunities in international markets and seized them. Through a balance of strategy, innovation and risk analysis, they took their businesses to the next level. Ultimately, these companies demonstrate the power of finding a niche in business — whether it’s in your home country or not.