Alexandra Levits Water Cooler Wisdom The Pros and Cons of International Entrepreneurship

Alexandra Levit's Water Cooler Wisdom The Pros and Cons of International Entrepreneurship In an increasingly global world, the advantages of international trade can give your business a substantial boost. According to Abhi Golhar, serial entrepreneur and co-founder ofNurse Practitioners Clinical Rotations,chief among the advantages of international trade are market-risk diversification and less competition. “If there happen to be increasing regulations in the business owners home country that may inhibit the sale of the businesss widgets, identifying other markets with less regulation could be vital for the longevity of the business, Golharsays. “Also, the business owner may find that by expanding into a different market, there may be fewer competitors, which can result in higher profit margins and more business volume. Added to the advantages of international trade are lower production costs. Business owners should consider international trade when the cost of labor or products they can source locally negatively impacts their bottom line, says Scott Kacmarski, CEO of business process outsourcing companyReps Direct. Additionally, becoming proficient in international trade in the early stages of your business can help you avoid prohibitively high costs down the lineâ€"anotherperk of expanding globally. “Thecostof one product or service may seem like a small issue at the beginning, Kacmarski says. “The problem comes when you have many products or employees. High costs then lead tocash-flowproblems, and its harder to go international once your business is more mature and operating at a larger scale. International Trade Has Its Downside Of course, there aredisadvantages of international tradeas well. For one, if you dont have what Golhar calls“boots on the ground, it could increase your probability of failure. “When my father opened a business in his hometown in India, his brotherâ€"who he trusted completelyâ€"assisted him, he says. Without a partner with an established track record and contacts, international trade can be enormously difficult. To read more, check out the full piece on the AMEX OPENForum. .