I am looking to launch an online wholesale dental supplies supplies store overseas. Before doing so, I would make sure to do research to get a better understanding of demand in international markets. First, I would look up sales and revenue information for the industry in the handful of countries that I would initially test. Second, I would do surveys in these countries, targeting orthodontists and dentists – I would make sure that a service like this would be of value to them, and, that it is something that they would consider utilizing.
As far as overall risks go, one of the main areas to focus on will be outsourcing. Since I will be in several international markets, outsourcing will almost be a necessity. While I could manufacture and distribute my items from a single, centralized location, outsourcing is likely a more inexpensive and practical approach – after all, I want shipping time to be fast and prices competitive. Some of the risks of outsourcing include companies not following products specs and affiliate plants not producing enough supply to meet potential demand needs.
Other risks outside of outsourcing include entering a market that is already saturated, trying an innovative business plan that might not work overseas, and showing the security and value of an online product to areas that are not as technologically advanced as the United States. To overcome these obstacles, I will need training, a great marketing plan, and the ability to translate from language to language, culture to culture, communicating the true value of my products and services. This will likely take a lot of time in the beginning, and cost a lot of money in the end; but in the long term, the ROI should make it viable.
This company will bring a competitive advantage to the marketplace, as it will be the first of its kind in an international market. While there are a handful of online dental vendors presently, none of them sell to a global audience, and none will be able to offer the low prices that we will advertise. We will be able to keep prices low, by increasing our audience internationally, thus inflating our economies of scale. This venture will make money with not only retail internet based sales, but also, with face to face wholesale and partnership opportunities.
Down the line, we will leverage service based products such as B2B lead generation and dental firm consulting. I believe that we will make this venture successful, as the business model is proven effective in the United States, and research shows that international dentists and orthodontists have the same buying habits as their American counterparts. This company will make things easier, more convenient, and less expensive for foreign dentists to order and stock supplies.