LOOK BEYOND LOCAL GROWTH

LOOK BEYOND LOCAL GROWTH
AUSTRALIAN businesses are growing domestically as opposed to heading overseas to try out their luck, according to recent Regus research.

In light of the research, Regus Australia and New Zealand CEO Paul Migliorini cautioned that businesses should ensure flexibility and consider all potential avenues for growth.

“While it is encouraging to see Australian businesses pursuing growth opportunities at home, past research shows that companies operating overseas show better overall growth as well as better profitability,” says Migliorini.

Growth in exports is currently low on average compared to local expansion, but where growth was occurring still did largely depend on the business size.

Small businesses with less than 50 employees reported they were mainly experiencing growth domestically, while businesses with more than 250 employees reported more balanced growth across both local and foreign markets.

44 per cent of small businesses reported the majority of their growth was coming from local channels, while 33 per cent of large businesses reported balanced growth internationally and domestically.

Companies reported barriers to international growth including concerns it would compromise staff quality and office space, and they would lack the knowledge, connections and market information to succeed.

Migliorini says small businesses in particular need to look past challenges and remain flexible.

“The research reminds us of how important it is for businesses to remain flexible so they can respond to Australian market volatility.

“Businesses need to be able to rapidly expand, but also to retract speedily should growth possibilities open up elsewhere.”

Melbourne weighed in as the best city for business growth, at 48 per cent, while Queensland’s capital reported 36 per cent growth.

The survey canvassed the opinions of more than 20,000 senior executives and business owners across 95 countries.

 

Help us deliver quality journalism to you.
As a free and independent news site providing daily updates
during a period of unprecedented challenges for businesses everywhere
we call on your support

How communications technology can raise the bar on customer service, employee experience
Partner Content
From capturing feedback early to providing messages with a higher rate of cut-through, ...
Advertisement

Related Stories

Apollo to divest large share of motorhome fleet to get Tourism Holdings merger over the line

Apollo to divest large share of motorhome fleet to get Tourism Holdings merger over the line

In an effort to appease Australian and New Zealand regulator concer...

Dexus awards John Holland building contract in $2.1b Waterfront Brisbane project

Dexus awards John Holland building contract in $2.1b Waterfront Brisbane project

After securing an $830 million contract from Dexus (ASX: DXS), Melb...

QLD to launch Star Entertainment review in July as former judge appointed to probe casino operator

QLD to launch Star Entertainment review in July as former judge appointed to probe casino operator

Casino operations that account for more than half of The Star Enter...

Collection House calls in administrators: Was Volt collapse the spark?

Collection House calls in administrators: Was Volt collapse the spark?

A recapitalisation plan has failed to save debt collector Collectio...