Global Expansion: 2 Key Challenges and How to Overcome Them
Expanding your IT business internationally comes with incredible opportunities but also significant challenges. Together with team at EVIT Organization, we have spent years helping Vietnamese IT companies break into the global market. Through this experience, we’ve identified two key challenges that every business, regardless of origin, faces when working across cultures. Understanding these challenges and adapting to them can significantly improve collaboration and increase your chances of success in international expansion.
Challenge 1: Business Ethics Differences
One of the biggest hurdles when expanding globally is the difference in business ethics. Each country and culture has its own approach to business, and failing to recognize these differences can lead to misunderstandings and lost opportunities.
Key Areas to Consider:
✅ Communication Styles – In Vietnam and much of Southeast Asia, indirect communication is often preferred. It’s important to engage in small talk about family or food before diving into business discussions. In contrast, Western countries typically prefer direct and to-the-point conversations. Understanding these nuances can prevent miscommunication and foster better relationships.
✅ Negotiation Tactics – Some cultures, like Indonesia, embrace tough negotiations with a smile, while others may find aggressive bargaining off-putting. Knowing how your business partners negotiate is crucial for successful deals.
✅ Sales Process Expectations – Different cultures prioritize different aspects of sales. In the Vietnam IT market, relationships and trust play a massive role, whereas in Western markets, businesses often prioritize measurable ROI and problem-solving.
✅ Relationship vs. Outcome Orientation – In many Asian cultures, relationships are more important than the transaction itself. Companies in Vietnam, for example, may prefer to work with trusted partners over new but highly skilled vendors. In contrast, Western businesses often focus primarily on outcomes and performance metrics.
✅ Perceived Value of Services – In some markets, value is based on price, while in others, customer service and relationships are just as important. For example, Japanese companies highly value strong business relationships and long-term partnerships as part of their decision-making process.
Challenge 2: Cultural Adaptation in the Sales Process
For IT outsourcing to Vietnam or any global expansion strategy, understanding how different cultures approach sales is critical. A salesperson must adapt their approach based on whether the client values relationships, risk mitigation, or technical expertise.
Actionable Strategies to Overcome These Challenges:
🚀 Do Your Homework – Before entering a new market, research how business is conducted there. Learn about communication styles, negotiation tactics, and sales preferences.
🤝 Build Relationships First – If targeting the Vietnam IT market, prioritize relationship-building over immediate sales pitches. Attending networking events and spending time getting to know clients personally will set you apart.
📢 Customize Your Pitch – If selling IT outsourcing to Vietnam, focus on long-term partnerships and service reliability. If targeting Western markets, highlight efficiency, cost savings, and problem-solving capabilities.
💡 Leverage Local Experts – Working with a local partner or hiring team members familiar with the target culture can provide insights and bridge communication gaps.
🌍 Be Patient and Flexible – International expansion is a long-term game. Adapting to different business ethics and sales processes takes time, but the rewards are worth the effort.
Conclusion
Successfully going global requires more than just offering a great product or service. Understanding cultural differences in business ethics and the sales process can make or break international collaborations.
If you would like to understand more about those challenges I published Video where I am describing those issues with details and showing how to overcome them, check out link → https://youtu.be/g0NK1_1zxTw