Steering through new cultures and unfamiliar tradition can be a path full of fraud, risks and corruption threats, so it’s necessary to adapt a risk-aware attitude to combat these.
Companies branching out overseas should be prepared to enter murky waters. When planning for an international venture, it is preferable that you hire an intermediary agent to guide you through the nuances of your target country. It would also be helpful to conduct assessments on your own staff to whittle out those with flaky reputations.
Export control when entering a new market
While your company trades overseas, here are some tips that could protect it from the harmful effects of fraudulent employees, corrupt officials and bribery:
- Conduct personal research on your distributors and the countries of their origin.
- Intermediary agents could also be significant risk factors, so you must be diligent and wary in their selection and utilisation.
- Some companies implement a compliance program and assure that their employees understand the relevant effects of this.
- Another way is by admitting within the company that you are facing the challenges of fraud, corruption and bribery so that everyone unites to find effective solutions to the problem.
- Maximise support from trade associations to assist you with exports.
- You should implement high ethical values and communicate the benefits of following ethical behaviour.
- Doing third-party checks and assessments is the next step after establishing ethical conduct within your company. By doing this, you can evaluate the transparency of your employees and distributors in other nations. You must have reliable data analysis to conduct these surveys efficiently.
Each country has its unique import and export procedures. Entering unfamiliar territory with no knowledge of local rules is dangerous and shortsighted.
Being diligent and vigilant with your distributors and international ventures can protect your company significantly against opportunistic behaviour, fraud and corruption. To help you more on dealing with these negative issues, read market research reports with tips on overseas transactions.