Entrepreneurs can achieve a list of benefits from internationalization
January 14th 2019 - The aim of the “GoSmart BSR” project is to develop smart Smart Specialization Strategies in an interregional system, primarily through the internationalization of business. Currently within the project, work on identifying companies that want to use services of transnational innovation brokerage system (TIBS) is carried out. The question arises: what economic benefits can enterprises achieve from internationalization, using the support and practical cooperation of entities from the quadruple helix – research, development, industry and administration units? The list of potential benefits can help entrepreneurs decide whether to start cooperation, as well as strategy planning and undertaking specific internationalization projects.
There is a list of benefits, but the most important of them are presented below – listed into five groups:
1) Market: entering new market segments, creating a new product, introduction of new market strategies, diversification of markets (limiting the risk and becoming independent from the home market), membership in the network, the possibility of acquiring new clients, new business contacts, increasing the prestige of the company, strengthening the brand, expanding the distribution network.
2) Product and technological: introduction of new technologies, the use of knowledge, experience and other resources of business partners, cooperation in the area of innovation, increasing innovation of enterprises, obtaining new product concepts, joint development of new products, development of technological competence.
3) Organizational and communication: implementation of a new business model, change of management style, gaining new experience, improvement of the company’s innovation, skills and competences of the company and employees, organizational changes being an adaptation to new conditions, change in the organizational structure, change of management style, introduction of new information technologies.
4) Process: improvement of the quality of operational activities, improvement of processes and activities, introduction of new methods of production and work organization, extension of the range and improvement of product quality, introduction of organizational changes.
5) Financial: access to new external sources of financing, access to foreign investors and faster pace of investment projects implementation, increase in sales revenues, reduction of operating costs, contribution margin optimization, increase in the value of the company’s assets.
The presented set of benefits is open to modification and extension. With “GoSmart BSR”, enterprises can develop their internationalization path, which will enable development, increase of competitiveness in relation to other enterprises and improvement of financial results.
Project “Strengthening smart specialisation by fostering transnational cooperation (GoSmart BSR)” is implemented with the support from the European Regional Development Fund Baltic Sea Region Programme 2014-2020. From October 2017 to September 2020, the project unites 8 partners from 7 countries, and it aims to increase capacity of innovation actors to apply smart specialisation approach.
Learn more about the “GoSmart BSR” project here.