Hiring Locally: An effective global expansion strategy

business lead generation

February 18, 2021

Expanding their business overseas is, for many companies, a step towards pivotal progress in their expansion strategy. Knowing how to implement your business internationally can be confusing, especially for emerging companies. Businesses are looking for time-efficient and long-term development solutions. A question arises, “Why should businesses/employers hire local talents when expanding globally?” 

Many reasons make the hiring of local talents worth it, and we will discuss them in this article.

business lead generation

Many entities, especially small and medium enterprises, postpone their expansion plan, thinking that the only way to enter the US market is to set up their own entity in the country.

Although it can be a good solution if the company wants to establish infrastructure and has a long-term plan expansion in the US, it is a time-consuming and costly process that not all companies can afford to follow. 

Some have fewer resources than others and some do not want to invest a significant amount of money right away without having a foothold in the market, so hiring locally seems like a great option to safely enter the US.

That is why many businesses, when thinking about expanding internationally, find themselves asking questions like “How can I hire locally?”, “What are the steps to take?” and because it can be considered a hurdle, these pain points were answered by the creation of the Employer of Record (EOR). These entities are helping companies expand their business with a fast and cost-effective strategy while hiring locally.

With EOR, you do not need to establish an entity, and your employees will be hired legally with no complications in the US within a short period of time.

Alariss Global serves as the Employer of Record (EOR) and handles US payroll, local compliance, and taxes when you hire your local sales representatives in the US.

Here are the reasons why employers should hire local talents when entering the US market.

According to Lionbridge, “global inter-connectivity has been a boon for the world economy in recent decades and has increased global GDP from $89.6 trillion in 2010 to a projected $149 trillion in 2021.”

Global expansion is beneficial for offering a chance to enter and explore a foreign market and gain many customers overseas; entering a market like the US is a huge step, which requires a well-thought expansion strategy to increase sales effectively. 

Sales professionals are the driving force behind exponential growth, and having the right local salespeople can amplify this effect. 

As Forbes notes, selecting the right talents and team is imperative and is as essential as having a well-defined company mission and product. 

Indeed, hiring locally allows foreign companies to have a deeper understanding of the market and a more familiar approach to local best practices through their representatives.

The local talents understand the US culture, which is primordial to enter the market successfully. They will help navigate the cultural differences effectively, which will help the customer acquisition process and increase your company’s team diversity.

Embracing your local employees’ differences and cultures will make them feel valued, leading them to be more productive.

According to Forbes, your company values can unite and enable employees to feel like they belong and are part of something bigger.

Also, hiring locally gives you access to a wider pool of talent. Hiring local talents has many advantages, including language knowledge and diverse educational backgrounds.

The local hires are native English speakers and sometimes speak an additional language like Spanish; it is an advantage compared to having your current employees learn new languages or improve their fluency. 

It guarantees that your local hires will have no cultural barriers prohibiting them from fully connecting with potential clients, which permits your company to provide the best experience possible. 

And clients are more likely to trust a local representative than an international one; the local one knows the ins and outs of the US industries and its specificities, which reassures and builds credibility in the clients’ eye. It also allows you to spend significantly less regarding market research.   

Proximity plays a huge role in effective communication and expansion; hiring locally allows representatives to meet clients in person, which adds intimacy to the relationship. Besides, knowing that they can reach out and exchange and meet in person when needed serves for trust-building and reliability. It allows your local representatives to communicate and serve your clients (within the same time zone) without any difficulties. As a company, you are gaining time and building stronger relationships with your potential clients. 

Another benefit of global expansion is that companies will even do better in their local market. Indeed, establishing your business overseas demonstrates international growth. Clients tend to trust global companies with diverse clientele and feel that they are more prestigious partnering with such companies.

And it can lead to more financing for your company because investors have more interest in companies with an international appeal. After all, it showcases a more vast market potential. A good international reputation will attract new customers, and it can build brand recognition and demonstrate credibility globally.

Moreover, hiring local sales representatives gives you the opportunity to sell your current and new product or service with a person who knows the new market audience. Because each country has its own particularities, knowing how to talk to clients and relate to them is necessary when trying to close a sale. Your messages and values must resonate with your target market, and local representatives have the ability to navigate these types of situations. 

It permits a more efficient way of doing business and a faster increase in sales.

Finally, one of the greatest benefits of hiring locally is that local representatives possess a local network that is extremely valuable for building relationships and effective target segmentation. They have the business contacts necessary to generate sustainable growth and a clear understanding of the US market. 

This can create a significant return on investment and open doors to opportunities that your business wouldn’t have been able to secure without you hiring locally. 

In this article, we learned that hiring locals is a secure way to enter a new market.

The connections and expertise of your local employees can effectively guide your company to new profitable horizons.

If you are thinking about expanding your business in the US, and if you’d like to hire local talent but don’t know where to start, book a demo with us for help on this matter. Alariss Global is an expert in ensuring the global expansion of emerging companies and finding top local talents. 

Alariss Global can help. We have helped many companies successfully expand their operation in the US, and we are expanding our reach.

Alariss Global guarantees you help to attract and hire the most qualified, global talent, 100% virtually.

We recognized that finding people is easy, but finding the right people is more complicated. That is why we source, screen, and train top sales and business development talent in your target overseas market to generate revenue from Day One.


Schedule a call to learn how Alariss can help you hire top American BD & Sales Talent