Latin America is a challenge that most industries want to take on, thanks to the investment opportunities, the continuous development of its countries, and their geographical position, which allows easy accessibility and the desire of its people to consume new products and improve their quality of life. Aaron Rodriguez, a business and strategy expert, provides recommendations that allow companies to expand in Latin America in a conscious, scalable way and with ideal conditions in economic and social factors.
According to the expert, understanding the environment is the first step to follow. Nothing can be taken lightly. It is important for any organization that intends to enter the Latin American market to understand the idiosyncrasies and the way consumers think in this part of the world since this is a region, not a generality.
“Operating in Latin America requires knowing that not all countries have the same behaviors and consumer habits,” Rodriguez suggests. “Also, make sure to generate differential, innovative and impactful marketing strategies. All brands should take a prudent amount of time to do thorough market research in order to fine-tune operational, logistical, legal, and Latin culture-thinking details.”
Language is also a factor that must be considered. Not everyone speaks the same language. So, think about another item to consider in your plan to expand your business in Latin America: communication diversity.
This is a challenge to face, as culturally, the meanings of some words, concepts, or ideas change throughout the continent. Your ability to communicate counts since, in the American continent, language has substantial variations that can bring you closer to a target audience. Customers tend to be more perceptive with those companies that generate closeness, so you should always take care of what you say and how you say it.
Trust and good relations as a premise. You will surely know the goodness and charisma of the Latin American personality. Building bridges of good communication and honest and respectful business practices will make it easier for you to open doors with employers, suppliers, staff, and customers.
“One of the most important values for the Latino population is trust,” Rodriguez explains. “If you are thinking of expanding your company throughout the continent, you should dedicate part of your time to making friends, strengthening commercial ties, and getting to know your collaborators in-depth; they will appreciate that your treatment is close and friendly.”
A local partner could also be very useful. It is clear that we cannot know it all. Therefore, it is vital that you have the support of a partner who knows the local context of the business culture.
The Latin American market has certain complexities in that all nations are very different, and a single marketing plan designed for each country is not a recommendable solution. For this reason, having a partner who knows the customs of each country is almost an obligation. You should also understand that legal, operational, and tax requirements change, so a local partner will give you the confidence that you are doing business the right way.
While entering or expanding into the Latin market is a masterstroke for any brand, you must also deal with certain not-so-pleasant aspects that, at a given moment, generate anxiety. A good recommendation is to have contingency plans in place in case you have to wait too long for procedures such as licenses, bank accounts, or administrative processes.
Expert advice is essential to know the times and resources to be used for each procedure to be carried out. Do not rule out the possibility of locating contacts in the agencies where you must go to perform these tasks.
An additional tip is to avoid, as far as possible, carrying out these processes with independent processors, since you run the risk of being swindled, losing your money, and possibly having legal problems.
Remember that conquering Latin America is a business opportunity that cannot be missed. The region’s market is already a world power, thanks to its constant growth, the interest of several companies to invest, work capacity, and new training opportunities. Do not be left behind and activate the marketing plan that will take you to conquer Latin America.