Why do global enterprises rely on local industry advisors when entering new markets?

Why do global enterprises rely on local industry advisors when entering new markets?

Info

Global businesses entering new geographic markets face the double challenge of understanding local culture and navigating regional industry-specific rules. Local industry-specific advisors become the bridge between global strategy and local execution.

Key Functions of Local Industry Advisors:

  • Interpret local consumer behavior, pricing sensitivity, and product expectations.

  • Translate regional compliance, tax norms, and regulatory barriers.

  • Connect businesses with credible local vendors, partners, or authorities.

  • Help adapt marketing, communication, and operations to local industry norms.

Example:
A US-based pharmaceutical company entering the Indian market would need an advisor to navigate CDSCO regulations, distribution networks, doctor-prescription dynamics, and regional trial norms.

Conclusion:
Local industry-specific advisors offer more than legal help—they unlock strategic understanding of the industry’s behavior in a cultural and operational context, helping global firms avoid costly mistakes and accelerate integration.