International trade consulting is a type of business in which consultants manage the complexities of conducting overseas or international trade on behalf of their clients.This service is an offshoot of the effect of globalization. Globalization has made it easier and necessary for companies to diversify by reaching out to new, lucrative and emerging markets in other countries. The role of international trade consulting is to make this transition to foreign markets as seamless as possible.
When an organization decides to open a branch or subsidiary in another country, the move will be more effective if the organization uses the services offered through international trade consulting. For instance, company ABC that is based in Canada may enlist help when planning to open a branch in South Africa. International trade consultants will help the company carry out most of the research on administrative policies, government incentives, cultural practices, competition and the spending power of the potential consumers, among other things.
Using the services offered through international trade consulting will ensure that the company will have fewer problems in terms of locating a suitable site for its manufacturing plant. The international trade consultants will not only find a location for the company, but it will also find workers and other staff, if that is part of the agreement with the company. They will also help the company in the area of locating translators if language is a barrier. Registration and licensing processes may also be included in the consulting.
Another advantage of utilizing the services offered through international trade consulting is the fact that it can help companies with internal issues. This can involve navigating the signing of contracts with employees so as to include the provisos of local trade unions. When the company is finally ready to set up shop, trade consultants can assist with the process of logistics by coordinating the relocation of some key staff from one location to the other.
Researching the local market in order to discover other possible business opportunities is another service offered through international trade consulting. For instance, if company ABC produces only sneakers, the trade consulting firm might discover that there is a market for other types of related products like sandals and loafers. This might be due to the fact that the raw materials needed to produce the new products are cheap and readily available in the new location. This is an opportunity the company may choose to assess and decide whether to pursue.