Things to Consider When Putting Up a Business in Latin America
Want to take your business to Latin America? Follow these guides for a successful business.
Number one is to remember that Latin America is composed of many countries. If you think that all the countries in Latin America are the same, your business can fail. Every country in it has its own uniqueness which include customs, culture and even habits. Your strategy for sales might not work for a certain country but it may work in the other country.
differences that are so emphasized can be seen in a lot of Latin American countries which gives you a feeling that you are in a different country.
Therefore, to maximize your chances for success, focus on understanding the culture of the Latin American country where you want to invest in.
Develop your friendship skills.
Having personal relationships can greatly affect how Latin Americans do business. Getting to know you as a person is one of the first steps of a Latin American business contact. Although this may take time, we must not put aside the significance of forging good local business partnerships. If you do not consider this, you may have a hard time. Socialize with family and friends of your contact to gain his or her trust. The moment you enter his or her social circle, the contact decides to transact business with you and this can lead to long term rewards.
Proper documentation should be done.
Aside from checking the legalities, see to it that you have the papers. A very important step is to seek the services of a reputable lawyer and accountant to help in the preparation of your written contract. Having rules and a contract is good but still, do not forget the importance of good business relationship.
Review your own approach.
Do not make your Latin American contact feel that you are imposing upon him or her your own approach so try to implement it appropriately.
Think very well about your price.
You cannot come up with a common price from country to country or region to region. Your level of investment, profits and pricing will rely on the local costs. Scrutinize the variations in regional cost before deciding to bring your product or service there.
You must get to know the way Latin Americans communicate.
Being friendly, sociable and respectful are traits of the Latin American and also they do not want to offend. They talk a lot so you may have to put up with longer meetings. You can get them to finally say yes even if they mean no if you understand how it works.
The channels of distribution and barriers of logistics differ among Latin American countries. It is best to study their consumer sales channels.
You should be able to speak the language.
The main language of Latin America is Spanish and Portuguese is the language of Brazilians. Not all business contacts can speak English so take note of that.
Try to learn from those who tried doing business there in the past. Try to understand how their business thrived.
Do not rush!
Unlike the fast pace where you came from, you need to allow time for the project to be completed.
To end it, the people are really great regardless of the style of business. Get more info about business in Latin America, read more!
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