When all’s doom and gloom on most of the retail high streets around the world, with continued talk of profit warnings, closures and tough trading conditions, it’s encouraging to see many looking further afield,  including expanding abroad, particularly in Asia. Eyes are descending on Asia, which, even in the current economic climate, is still seeing 5-6% growth. Some retailers, for instance Zara, recently reported a sharp rise in profits thanks largely to its overseas expansion. Many retailers are eyeing with envy and jumping on the bandwagon. The tried and tested formula seems to be by testing the water first and entering with caution: trialling international web stores online; then maybe seeking local partnerships and franchise agreements, often within department stores; and finally opening brand-owned flagship stores in major cities, before rolling out more stores on a wider scale.

But expanding into new, often unknown territories brings with it a number of challenges.  For instance, operating in far flung parts of the globe puts greater pressure on the supply chain and store operations, not to mention common concerns associated with working in different languages, currencies, laws and cultures.