Global Expansion: A Guide to Doing Business in Peru
Analysts estimate that there are over 650,000 people of Peruvian descent living in the United States today.
While migration from Peru to America is quite common, migration in the opposite direction is beginning to become more popular as well. Lower travel costs and improved options in terms of remote work are opening places like Peru up to American expats like never before.
If you have an American business that’s in the process of global expansion, you could capitalize on this trend by developing a presence in Peru.
Read on for some vital knowledge about the business landscape in Peru, and some insight as to whether this might be a good move for your business.
Doing Business in Peru
Peru is a vibrant country with a welcoming populace and a growing economy. However, there are a few things you’ll need to keep in mind if you want to make the most of your business operations there.
Peru has a different legal framework than the United States, which means that your company will be subject to different requirements there. Hiring a good local lawyer is the best way to stay on top of these requirements.
Marketing techniques don’t always translate fluidly across borders. What works well in America mightn’t necessarily yield the same dividends in Peru.
Therefore, you need to invest in a flexible marketing framework. Develop a system that can quickly capitalize on what works and quickly discard what doesn’t.
Having high-quality tools, such as text animation software, at your disposal is key here.
Understand the Business Etiquette of Peru
Business etiquette can change considerably from one area to the next. The accepted practices and procedures in America are not the same as in Peru.
Perhaps the most important thing to keep in mind here is language. The national language in Peru is Spanish, and while most business executives there have some command of English, they conduct the vast majority of their business through Spanish.
This doesn’t mean you’ll have to become fluent in the language before you set up there. However, it is a good idea to learn a few basic phrases. You should also print Spanish business cards.
Managing the Risks of Global Expansion
Whether you’re developing your business in Peru or another country, there are always potential pitfalls to be aware of. Managing these is key to any successful expansion strategy.
The most significant of these risks is that efficiency will drop when you’re not around. It’s easy to keep a close eye on things when your business operations are nearby; when you’re in another country, however, it’s much more difficult to exert productive influence.
With this in mind, the most important thing you can do for your foreign business establishments is to appoint a manager you can trust. If possible, you should try to promote someone to the position that already works with you and that you know well.
Making the Most of Business in Peru in 2020
Global expansion is always a risky business. Whether you’re extending your operations to Peru or some other country, you’ll need to take certain measures to ensure success.
If you found this article valuable, be sure to follow our social media or subscribe to our newsletter.
Read More: Fixed Deposits or Mutual Funds: Which is Better for Investment Profile?
To Read Our Exclusive Content, Sign up Now.