Argentinian businesses have a long history of selling to US consumers. Going back to at least the 1880s the two countries have enjoyed a strong trade relationship, with America currently importing wine and beer, fresh fruits, essential oils, mineral fuels, aluminium, precious metals and a variety of services.
The US represents an enormous opportunity for Argentinian businesses looking to expand their market. With over 327-million people, the market dwarfs Argentina’s 44-million citizens. The stable US dollar and high profit potential offer two more reasons for establishing an American footprint.
This opportunity, however, isn’t something that you should take lightly. Before expanding across international borders, you need to understand some of the challenges foreign businesses face. From complex regulations to transferring money across currencies and borders, there is a lot to learn.
A Different Kind of Country
As surprising as it might sound, the United States isn’t a single entity with one set of rules, regulations and licensing requirements covering the 50 states. There are federal regulations, which can impact agricultural imports, that cover the entire country. Beyond federal laws, you need to be aware of regulatory codes that are different in every state.
Local municipalities have their own rules as well, further complicating international expansion. While the US is one of the world’s most open and accessible markets for foreign businesses, it forces its businesses to do their homework before they start selling their services.
While success in many places around the world is based on knowing the right people, that isn’t the case in the United States.
Many foreign businesses are also surprised by the way Americans do business. While success in many places around the world is based on knowing the right people, that isn’t the case in the United States. Success is driven by your team’s ability to get things done. In the long run, it is your hires, and not your handshakes, that will determine the fortunes of your business.
Running Your Business
Your day-to-day activities as a foreign business are similar to those back home. You’ll need to market and sell your products, manage inventory, and oversee logistics. However, the details of those sales and marketing activities are very different.
Obviously, your website, marketing materials, and sales presentations will need to be in English, but there is a lot more involved than simply translation. Marketing messages need to rewritten, imagery needs to be rethought, and design needs to appeal to a different market. The sales messages that engaged Argentinian audiences won’t be as effective when appealing to people in New York, Missouri, or California.
You’ll need a new brand story that appeals to American consumers. Craft a story that appeals to a mass market, and engages the media to amplify your message for all its readers. The press, which publishes stories that it believes people will read, would be interested to hear how your product can benefit their readers.
Managing and Moving Money Across Borders
As a foreign business, finding the right financial institution to handle your money is complicated. US banks aren’t always open to foreign companies, and those that require in-person visits with piles of paperwork. There is no guarantee that they’ll open your account, and if they do, you will be buried beneath transfer fees, exchange fees, and delays that can eat away at your profits.
However, having local bank accounts are an important way to build trust with customers. If you have an e-commerce site, the payment mechanisms must look familiar to your customers. If your customers need to transfer money to you, they’ll feel safe using a process they recognise.
Using an e-wallet service will provide you with the benefits of a local bank, without the burden of costly fees and time delays. Find a solution that provides local currency accounts so your customers can easily settle money into your account. Check that they have the tools for credit card processing, and an invoicing system for B2B clients.
The right e-wallet solution will also allow you to easily manage multiple currencies, exchange dollars into Argentine Pesos, and transfer funds across borders. As you continue to expand into new markets, you’ll want to ensure that your e-wallet grows with you, so you can affordably manage your money from anywhere in the world.
Expanding into New Markets
With your business expanding, you don’t have time to think about cross border payments or multi currency accounts. You have a business to run, and the last thing you want to do is struggle with global payment merchant services. The professionals at MoneyNetint have been supporting internationally expanding businesses since 2004. Find out what they can do for you.