Authors: Anna Velvet & Endri Bahja
What is the Global Scan?
Global Scan is a service evaluation tool that measures how ready your business is in order to enter into the global market with success. Our company FinnoLux provides this assessment which looks at several factors from a series of questions. Depending on what you are looking for and with the advice of the global assessor you may choose to have a question period of a 1 hour call with the CEO, a detailed interview session(s) with the top management team, or/and an onsite evaluation and interview of the functional staff from different departments of the company. These questions focus first on the company’s business in financial, legal, social, and political factors which normally bring challenges for a startup to enter or even grow in the market internationally.
Other set of questions focus strongly on company’s innovation dimensions in order to find, assess and improve their gaps and better evaluate their opportunities. The last section of questions are the famous Thiel’s 7 Questions that in our view every company (no matter what size) should try to answer, before they plan to improve or create a product or service in their enterprise. Below is a quick snapshot of some of the sections of the assessment.
Why is a Global Scan necessary?
Most startups and/or established firms who are successful in their local economy tend to interpret what works for them locally and assume it can be adapted to global markets. The assumption that all business cultures work the same has caused some companies’ failures and has caused others to struggle to meet targeted profits due to lack of understanding their market.
If the targeted market is not necessarily ready for your service, other factors such as culture, politics and technology could be further difficulties companies could face. This report looks into these scenarios. A common situation that could happen is that companies that are very successful in their local regions tend to operate in ways that are familiar to them and therefore may overlook some business tactics used in another country. Hence a having this global assessment would be the ideal approach in tackling these issues.
The Entrepreneur.com website also points out some elements that explain why startups fail which include the following; the actual idea is not productive, ineffective planning and leadership, lack of or insufficient finance, issues with product launch, marketing, and sales. All these elements may contribute to the complexity of growing your business, especially when entering unknown territories globally.
Fintech companies are no exception, despite the boom in the services and some of the success stories that derived from this new ecosystem. Some unknown territories can experience these similar issues due to cultural and legal requirements of other EU member states.
The assessment highlights several observations that are put into a report to understand what is necessary to go forward in your business globally.
Global Scan Assessor Endri Bahja, who has been conducting these assessments, has given several examples of what types of challenges have affected the companies that tried to internationalized in the EU.
An example he gave was about a financial service company from Eastern Europe that wanted to expand their financial business into Italy to provide their services to a growing number fellow residents who emigrated there. They struggled to reach the clients as the obstacles of entering the market on their own was not gaining traction and the only way to penetrate this market was through forming partnerships with financial institutions. The assessment was able to pinpoint what they were lacking and this in term helped them develop better strategies with the local financial institutions. Through post assessment results, they understood that these suggestions would have helped cut the expense cost and the process of entering the market quickly.
Once the essential issues are identified, these firms can find out what key strategic formula they lack in order to prepare for entry into a new country market. Those who want to grow and succeed globally can benefit from this kind of assessment.
As a cultural language coach, I have personally seen departments in multi-international companies fail to increase their productivity due to low-level language skills in English and a lack of understanding how to do business in a culture that may do things differently. For example, having lots of meetings is one way of being productive in one country while another country might feel that it’s unproductive. Understanding your market and business culture is one of the leading factors of being successful internationally.
Global Scan Assessment- The Tool that Benefits Investors and VCs
Time is money; especially for startups and established companies. Are your investments competitive on a global level?
To the VCs and investors, this tool can assess the future growth of your investments and monitor your business’ strategies in the financial eco space. As you don’t have time to monitor and forecast your investments in these startups, a report can definitely help you diagnose the growth and/or establish potential for future expansion.
FinnoLux is an enabler that assists companies in transforming their own ideas in order to help them fulfill their objectives. At the same time, we aid companies in creating real-life industry solutions. The assessment is conducted by an innovation and export management expert (of 10 years) who currently works in collaboration with the EU’s innovation and evaluation of SME and MSMEs. From a series of questions and responses given in a digital report, we will be able to analyze what the company strengths and weaknesses are to becoming successful globally.
Several questions that you should ask yourself when expanding and entering a new market are: Am I ready and do I understand the market? Are my finances in order? What is the political/social implications of my product/services? If you are asking these questions or considering some of these questions, then a Global Scan is the tool to determine your strategy and success.
How do I find out more?
Please contact FinnoLux sales via the contact form on our website, where we will be delighted to discuss how the Global Scan could benefit your business.