International Growth: Tackling Obstacles in Global Business Expansion
The Unpredictable Journey: Adapting to Change in Thai-Indonesian Business
Navigating the modern world has become a rollercoaster ride, propelled by political uncertainty, economic downturns, and the lightning-fast advancement of Artificial Intelligence (AI). That's what a bunch of shrewd business minds shared during a recent forum hosted by Sasin School of Management, in collaboration with the Indonesia-Thai Chamber of Commerce (INTCC).
Last Thursday, they gathered at the Scaling Up Business Across Thailand & Indonesia: Market Entry Strategies & Success Stories event.
"Ninety-two percent of companies have planned to boost their AI investments," confessed Rachada Apiromdej, the brainiac founder and CEO of THINK NEXT ASIA. She pointed out that an alarming 70% of Asia Pacific consumers believe that, in less than ten years, the relationship between AI and human beings will be as rewarding as our relationships are right now.
Rachada also dropped another mind-bending prediction: the babies born this year will grow up to work in jobs that don't even exist yet, like space architects. Mind blown, right?
Due to the perplexing nature of things, Rachada emphasized that businesses need to adapt and turn challenges into opportunities. Spotlighting 'Mirror, Mirror' and 'Heritage Renewed' as two recent trends that have left consumers swooning, she suggested that companies need to be proactive, innovative, and a bit crazy to stay ahead of the game.
Mirror, Mirror, on the Wall, Who's the Most Adaptable of All?
One of the 'Mirror, Mirror' examples that Rachada brought up was ING Bank's AI-powered application designed to help folks ponder their financial future. Using generative AI, the application produces an image that shows users a glimpse of their future, inspiring them to start saving or making wise investment choices.
Brands with optimized local profiles are a whopping 138% more likely to achieve top rankings, stellar reviews, and better engagement. So it all boils down to knowing your market, tweaking your products to meet local preferences, and making connections with folks whose lives you deeply understand.
Heritage Renewed: A Leap Back to Stay Ahead
Rachada also singled out the 'Heritage Renewed' trend, which is fueled by consumers' reflection on the past. This reflection manifests itself in various ways: fashion, music, and cultural traditions. As an example, she mentioned "Black Myth: Wukong," a video game inspired by the 16th-century Chinese novel Journey to the West.
The game has become the second most popular title on the Steam platform, offering global audiences a peek into the richness of Chinese culture. It reportedly bolstered tourism to locations featured in the game by a whopping 300%!
In Every Crisis, There's an Opportunity: A Inspiring Conclusion
Rachada concluded by saying, "In every crisis there is opportunity. So let's embrace the new way of seeing our future and let's have a wonderful time!"
But business expansion in this unpredictable world requires more than just a positive attitude. It calls for strategic planning, adjustments, and a pinch of courage.
The Business Gurus Speak: Expansion Amid Chaos
Bani Maulana Mulia, the group CEO of Indonesia-based shipping company Samudera Shipping Line, shared his experiences. The chaotic changes over the past 20 years motivated the company's international expansion and continuous adaptation to global trade volatility, political uncertainties, and supply chain disruptions.
"We have to adapt to overcome challenges and turn them into opportunities," Mulia asserted, highlighting 'Mirror, Mirror' and 'Heritage Renewed' as recent trends that have swayed consumers.
Navigating Regulatory Barriers
Kasemsri Charoensiddhi, the head honcho of Bank Maspion, a subsidiary of Kasikorn Bank, shed some light on the challenges faced by established brands as they enter new markets. They must first rebuild trust by leveraging existing Thai investor linkages before adapting their services to suit local customers.
"Understanding customer behavior is key to building credibility and growth," she said.
Overcoming Legal and Regulatory Hurdles
Kun Riana Aplika, the senior manager of Bangkok's branch of Garuda Indonesia, shared her struggles in navigating foreign legal and regulatory frameworks. Despite these hurdles, Garuda Indonesia has implemented thorough cultural sensitivity measures to align its products and services with local consumer preferences.
Transforming Challenges into Opportunities
Local market research can reveal hidden opportunities, revealed Niwat Boonyad, the senior vice president of PT ITM Bhinneka Power, Banpu. The company strategically shifted from coal mining to successfully thrive in renewable energy by studying Indonesia's demographics, energy resources, and infrastructure.
As digital transformation becomes the norm, companies must move toward digital platforms to stay competitive. Niwat shared that Banpu's pivot to clean energy also resonated with the global climate change movement, aligning the company with the global sustainability trend.
Collaboration with local partners has provided Banpu with insightful information that supports smooth operations in an unpredictable world.
Mulia closed the discussion by emphasizing the importance of human resource development, including leadership training and creating international exposure for employees. He urged companies to empower the young generation, ensuring they are well equipped to adapt, innovate, and thrive in an unpredictable world.
"If we have not been disrupted, if we keep on doing things the way we have been doing, then we will not be changing fast enough," Mulia warned. "The disruptions will force us to change faster, and we will need to adapt faster."
In conclusion, the modern business landscape is an ever-changing battleground where companies must be agile, daring, and forward-thinking or risk getting left behind. Investing in AI, understanding local markets, and embracing the unexpected are key strategies for success.
- The rapid advancement of Artificial Intelligence (AI) has led to a surge in AI investments, with 92% of companies planning to boost their AI investments.
- In the next decade, relationships between AI and human beings will be as rewarding as our relationships are now, according to 70% of Asia Pacific consumers.
- With the AI-powered application developed by ING Bank, users can envision their financial future, inspiring them to make wise investment choices.
- Brands with optimized local profiles are more likely to achieve top rankings, stellar reviews, and better engagement.
- Rachada Apiromdej highlighted 'Heritage Renewed' as a trend fueled by consumers' reflection on the past, manifesting in fashion, music, and cultural traditions.
- Global tourism to locations featured in the video game "Black Myth: Wukong," inspired by the 16th-century Chinese novel Journey to the West, increased by 300%.
- To stay competitive in the digital age, companies must move toward digital platforms and embrace digital transformation.
- Companies must collaborate with local partners to achieve success, as local market research can reveal hidden opportunities, and smooth operations in an unpredictable world require insights from local partners.
