| | February 20178CIOReviewAs companies become more successful, it is only a matter of time before the management looks at other markets across the globe that their goods could be sold in. Many approach this next step in a company's growth by maintaining business as usual, expecting the only hurdles to be a few extra shipping costs and a simple currency conversion. Unfortunately, they soon realize that with global expansion comes a whole new world of regulations, networks, languages and customs--that if not managed correctly and respectfully--can bring global aspirations to a quick halt. When a company decides to expand beyond its home country, it opens itself up to many challenges--new shipping routes, customs, currency, taxes and consumer standards to name a few--and these can be overwhelming to take on all at once. In fact, there are several aspects to master in order to successfully manage a global supply chain--much more than we have space to cover here--but let's take a look at the most important aspects as a starting point: CurrencyWhile this might sound basic, the ability for your e-commerce solutions to be able to accept a variety of currencies and local payment methods around the globe is critical for success. Being able to accept, exchange and properly transfer money between countries, while staying within the bounds of global trade regulations, can be overwhelming for emerging brands. Solution providers operating on a global scale can easily plug-and-play this functionality into an existing e-commerce shopping cart, saving you the hassle, time and money of retooling your current site for each currency. First Steps to GLOBALIZING Your BusinessBy Neil Hampshire, CIO, ModusLink [NASDAQ:MLNK]TaxesEach country has its own set of Value-Added Taxes (VAT) as well as import and export tariffs that, if not managed correctly, can bring your entire supply chain to a grinding halt. Without a trusted partner who has the knowledge to maneuver through each region's specific tax laws, you could find yourself wasting valuable time negotiating tax hurdles instead of bringing your product to market on time.Local CustomsIn addition to taxes, there is a myriad of cultural differences that companies must navigate in order to keep from confusing or, even worse, possibly offending a new group of consumers. Everything from product names, to labels and e-commerce sites needs to be properly translated, vetted and signed-off on by the company and by regional representatives to make sure that both sides are happy and that the product will present and sell effectively. Packaging Each country comes with its own set of labeling requirements and disclosures. Certain countries have requirements for packaging to include the cost of the item, while others allow it to be on a separate label. Thus, even though it may seem like it should, things don't get any simpler when it comes to labeling. Local IN MY OPINION
< Page 7 | Page 9 >