The world is changing and the business world is not left out in this tremendous monumental change. Unlike before, businesses no longer operate within their locality alone but across the globe for different reasons. As amazing and seemingly profitable as the idea of global expansion sounds, it can also be a very complex strategy to embark on. Because while expanding your business you’re stepping into a new entity with a different market form than your home country.

This could be difficult to navigate because you have to get familiar with the market structure of the new entities. There are all sorts of shamble companies out there, I bet no one wants to fall in their trap. But partnerships with the right parties can transform your journey of expansion. 

The question now is, how do you pick the right partners for global expansion? This article will give answers to the questions but before then let’s look into the reasons why organizations consider expansion.

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Reasons For Global Expansion

•    One of the reasons for global expansion is to maximize profit, we all know this is one of the major reasons for establishing a business. The more a business extends to other countries the more patronage increases, and this translates to more patronage, more profit.

•    Also, expansion can be done for a larger following, as the expansion takes effect more people become aware of the existence of the services the company provides which will in turn increase patronage, especially in an entity that needs but lacks such services the company renders.

•    Another reason for expansion is to extend the company to communities that have people with skill sets that will improve the efficiency of the company. For example; some countries have a population of people that are Tech-savvy, a country that needs the services of these potentials can decide to have an annex in such a country.

How To Pick The Right Partner For Global Expansion

1. Years of Experience

Considering the years of experience of a company is an effort in the right direction The years they have spent will reflect on how tactically they carry out the jobs they are hired for. Many partnerships have failed because the chosen partner company has no real-world experience. 

Every country has a different market structure, and the knowledge to navigate this structure is quite huge. It will take a company with real-world experience (that only years of experience bring) to function well in such a structure. Any company that lacks this experience will have a problem navigating this structure. So, before you choose a partner consider your years of experience.

2. The Company’s History

Conduct an investigation on how the company you are hoping to contract has previously handled business in the past, check to see if they have at any time handled any business similar to yours, but if you are unsure of how to go about the inquiry process you can simply ask for the company’s Net Promoter Score (NPS). A net promoter score is a form of record that indicates customer review. If you check and the reviews are satisfactory then you can go ahead to partner with them or look elsewhere if otherwise.

3. References

This is also one of the suitable ways to pick the right global expansion partner. Inquiries can be made from a company that has gone through the process of global expansion, ask how they went about it and what company they hired.

They can refer you to the company they hired, and if their services are satisfactory, then you can go for them. The reason why this method of searching is suitable is that you can verify by yourself if progress was recorded while the hired company was working with the referral company.

However, you can simply save yourself from uncertainty by partnering with a PEO. A PEO (Professional Employer Organisation) is a professional leasing company. They get into an agreement with the employer by leasing out employees to the employer.  Also, they can assist you in hiring a foreign employer with the qualities you are searching for. 

One of the benefits of PEO is that the employer will share both the profit and liabilities that ensue in the course of business together. The employer doesn’t have to bear it alone.

Another is PEO insurance — PEO insurance is all kinds of insurance a PEO offers the employees. It could be; disability insurance, life insurance, workers’ compensation, etc. Employers are not bound to provide insurance in some countries but some employers provide it with the onus of provision moves from the employer once a PEO has been hired, this is because insurance is part of a PEO’s operation.


Global expansion is a welcome idea to foster an organization’s development and wider reach. But different challenges could be encountered during the process of expansion. 

One of the problems is how to pick the right partner for expansion plans. If a company successfully gets a reliable partner, then the envisioned goals can be achieved, but when a wrong partner is chosen the company’s progress is on the line. So, for you to know if a partner is the right choice you should consider checking the points mentioned above.


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