Nimlok News On Display:
The A-Z of Exhibiting Overseas - Part 2

The world is getting smaller. Going global with your business isn't optional anymore — it's essential. Survival in today's price-sensitive and intensely competitive marketplace means that US companies need to abandon their marketing myopia for a more global approach.

Smaller companies often hold back from entering the international marketplace. It is very expensive to establish an overseas presence, and business owners don't want to commit their capital until they are sure there is an international market for their products.

The following A-Z guidelines will help to take the fear and anxiety out of your overseas exhibiting ventures (A-L appeared in the previous newsletter):

Make sure that your top executives are available.

Overseas shows, particularly in European and Asian countries, are serious business as they focus on sales. Top-level management attend these shows expecting to place orders. They expect, and want, to deal with their counterparts in your company. They expect to spend time discussing technical details and will often want to close major deals on the show floor. Technical staff, sales people and in-country representatives will help form a complete team.

Nail negotiating.

Negotiating in international business is extremely complex. Socializing is often considered essential to the negotiating process. Learn the cultural rules, especially as they relate to timing and how business is conducted. Patience is often a real virtue.

Offer quality and uniqueness.

High-quality products and services are expected, particularly when dealing with the Japanese and South Koreans. The packaging is as important as the product. If your products and services compete directly with native companies, there needs to be something unique in the technology, innovation, design, styling or image to gain acceptance in the Asian market.

Plan on having a third-party contact.

Many Asian and Latin American cultures prefer to do business with people they know. Meeting the right people often depends on having the right introduction. If the person you wish to meet respects your intermediary, then chances are you, too, will be respected.

Question whether "no" really means "no."

Much confusion, frustration and irritation can occur when different cultures communicate real meaning. In some countries, such as France, "no" can often mean "maybe' and "maybe" can mean "no." In many Asian cultures, individuals will not say "no" outright. Rather, they use subtle clues, for example, saying, "It's very difficult" or "I'll consider it." A "yes" or a nod of the head may very well mean "maybe" or "I understand," instead of it being the affirmative response you might interpret. To avoid saying "no," Koreans in particular will often give you the answer they think you want to hear. Learn to listen to the subtleties by asking open-ended questions. It is at times like these that a cultural mentor can be particularly helpful.

Recognize the role of women in business.

Research the customs of the country you are visiting as they apply to women. Although female business travelers account for one of the fastest growing segments of the travel industry, problems still exist. Be prepared to prove yourself as you may not be taken as seriously as your male counterparts. Familiarize yourself with local and regional attitudes and cultural differences about women in business. This will help to define your approach and avoid potential problems and embarrassing situations. However, business overseas is based on trust and relationships. And women, like men, are responsible for creating the rapport necessary for accomplishing their goals.

Supply all your company representatives with bilingual business cards.

In Europe and Asian societies, business cards are essential. They act like a business passport. For countries where English is not widely spoken, have cards printed on the reverse side in the local language. This is best done in the country you are visiting. Also, be aware of the specific etiquette that exists, particularly in Asian countries, for presenting cards. For example, in Japan, business cards are exchanged ceremoniously using both hands and a bow. Both parties will read and study the card. It is extremely impolite to write notes on the card or shove it in your pocket.

Train your people.

Make sure that the people who represent your company at overseas shows are well-trained and know and understand the cultural differences of the people with whom they will interact. They should know how to greet and address visitors. Formality is the norm in Europe, whereas a more casual and friendly style is acceptable in the U.S. Understanding different business negotiating styles, conversation sensitivities, and how women are treated in business, is essential, in addition to knowing eye contact, handshakes, body posture and spatial distance differences. The key is to develop relationships of trust and sincerity as they are critical for successful business.

Use ATM's (Automated Teller Machines) to get local currency.

They give you the wholesale exchange rate of 5%-10%, which is a far better rate than you would get at hotels or currency exchanges. Always try to purchase enough local currency before leaving home to pay your transportation from your destination airport to your hotel, plus a little extra for tips.

Value different decision-making processes.

The key is not to sell but rather to build relationships. Decision-making differs around the world. For example, in Asian cultures, it starts from the lower levels in the organization and works its way up the ladder. Many times, lower-level employees will visit a tradeshow to gather information, which they will include in a report to a higher manager. Don't expect a decision from an initial meeting. Decisions are usually made collectively, and the process is often slow and thorough. However, once a decision is made, especially in Japan, a quick execution is expected. The key, once again, is to do your research.

Watch out for cultural differences.

Know and understand the cultural differences of the people with whom you will interact. Be sensitive to color and symbols and their meanings in different countries. For example, mourning is symbolized by white in Asia, purple in Brazil and yellow in Mexico. If your product, packaging and literature are in the wrong color, you will lose sales. Red and yellow are lucky colors in China - conversely, never use red printing in South Korea. In many Asian countries, the number four denotes death and should be totally avoided, including products packaged in fours. If possible, avoid the number nine, as it has connotations of suffering. Seven and eight are considered lucky. Be safe and always do your research!

Expect to follow-up personally.

Personal contact and immediate follow-up after the show are the best ways to establish foreign buyer/seller relationships to produce future orders.

Yield to a time investment.

Building relationships is a key component of doing business overseas. Behavioral differences are real. It is wise to recognize them and to make allowances when doing business. Willingness to cultivate business contacts through personal visits plays a major role in export success. Plan regular visits to your major buyers, agents, or distributors. Be available, interested and quick to react to problems or complaints.

Zero in on the fact that doing business overseas demands time and patience.

It may take several appearances at trade shows before your company is taken seriously. Foreigners want to feel confident that you are sincere and totally committed to your involvement in their country.

Written by Susan A. Friedmann, CSP, The Tradeshow Coach, Lake Placid, NY, working with exhibitors and meeting & event planners to improve their event success through coaching, consulting and training.

Website: www.thetradeshowcoach.com