Creating an international business expansion strategy (Part 1) – Laying the foundation 

Expanding internationally is a powerful way to scale, diversify revenue streams, and build brand influence. But without a clear strategy, businesses risk financial strain, operational setbacks, and misalignment with local markets. 

A well-planned expansion ensures your business is ready, targets the right market, and adapts effectively. In Part 1, we focus on the foundation—business readiness, market research, and product adaptation. 

Assess your business readiness 

Not every business is ready to expand, and forcing growth too soon can do more harm than good. 

Key areas to evaluate: 

Financial stability – Do you have the cash flow to cover expansion costs, including marketing, logistics, and compliance? 

Operational capacity – Can your team handle increased production, international logistics, and customer service? 

Market demand – Is there real interest in your product or service outside your home market? 

Example: A Moldovan fintech company looking to enter the UK market realised it needed to restructure its pricing model to stay competitive. Instead of rushing in, it secured additional funding, hired local sales staff, and adjusted pricing before launching. 

If any of these areas are weak, focus on strengthening them before committing to expansion. 

Conduct market research and select the right market 

Expanding into the wrong market can drain resources and lead to failure. The key is to identify markets with strong demand, manageable competition, and clear entry opportunities. 

Where to gather insights: 

Market research reports and trade data – Use sources like Statista, McKinsey, and government export agencies. 

Competitor analysis – Study businesses already in your target market. What’s working? Where are the gaps? 

Customer insights – Conduct surveys, social media listening, or test demand with small-scale marketing. 

How to evaluate potential markets: 

Market size and demand – Is there a strong customer base for your product? 

Regulations and barriers – Are there high tariffs, compliance issues, or licensing requirements? 

Competitive landscape – Can you differentiate yourself effectively? 

Example: A Serbian organic food brand initially targeted Germany but shifted to the Netherlands after market research revealed fewer competitors and a higher demand for niche health products. 

A SWOT analysis (Strengths, Weaknesses, Opportunities, Threats) can help compare multiple market options before making a decision. 

Adapt your product or service for the new market 

Expanding internationally isn’t just about selling the same product in a new place—it’s about aligning with local needs. 

Key adaptations to consider: 

Pricing and positioning – Adjust to match local purchasing power and consumer expectations. 

Brand messaging – Modify marketing to reflect cultural norms and preferences. 

Regulatory compliance – Ensure your product meets local standards and certifications. 

Sales and customer service – Localise your approach, whether through language support, payment options, or sales channels. 

Example: A Ukrainian fintech company expanding to Canada adapted its platform to meet local banking regulations and integrated French-language support to appeal to Quebec-based customers. 

International expansion isn’t about moving fast—it’s about moving strategically. These first three steps ensure that your business is financially prepared, targeting the right market, and adapting to local needs before taking the next steps. 

Start by researching your top three potential markets and conducting a SWOT analysis to compare expansion opportunities. 

Next in Part 2: How to choose an entry strategy, set up operations, and launch successfully.