What do Aesop, HelloFresh, and Lorna Jane have in common? They all started as small businesses in Australia and successfully expanded into the international market, capturing a wider audience for their products and services. This demonstrates the power of understanding and leveraging global connectedness—the flow of trade, capital, information, and people across borders.
To provide businesses with a deeper understanding of these flows, the DHL Global Connectedness Report, released in March 2024, strongly challenged the notion that the world has entered a period of deglobalization. Published every two years, the report draws on nearly 9 million data points to provide a detailed analysis of the flows of trade, capital, information, and people – both worldwide and at the level of individual countries.
Contrary to popular belief, globalization has not retreated; it has stabilized at a high level, creating a dynamic and interconnected marketplace. This presents a wealth of opportunities for businesses in Australia to expand their reach, diversify their customer base, and tap into new sources of revenue.
The DHL Global Connectedness Tracker provides valuable insights and tools to help businesses navigate this landscape:
- Gain customized deep dives into the state of globalization and global trade.
- Examine additional types of international flows and see trends by region, by country income group, by geopolitical bloc, and for individual countries.
- Access key interactive charts, data, and concise explanations — all downloadable in different formats.
- Receive regular updates about emerging global trade trends — with supporting virtual press conferences and webinars.
By leveraging these resources and understanding the dynamics of global connectedness, Australian businesses can confidently navigate the international market and unlock their full growth potential.
Expanding your reach: Accessing new markets and customers
Expanding into international markets offers significant growth opportunities, whether you're starting an e-commerce business or scaling an existing one. By leveraging global connectedness, you can access new customers, diversify revenue streams, and gain a competitive edge.
International markets broaden your appeal, drive innovation, and unlock access to a global talent pool—all while boosting revenue. To prepare for this step, consider the following:
- Thoroughly research your target markets to understand consumer preferences, competition, and regulatory requirements.
- Ensure you comply with all relevant laws and regulations in both your home country and your target markets.
- Develop a robust logistics strategy to ensure smooth and efficient movement of goods across borders.
- Adapt your products, services, and marketing messages to resonate with the cultural nuances of your target markets.
- Secure adequate funding and financial resources to support your international expansion.
DHL Express simplifies this process by offering a range of solutions to facilitate international trade and logistics. With expertise in navigating complex global supply chains, customs regulations, and cross-border shipping, DHL can help your business expand its reach efficiently and effectively.
Building a resilient supply chain
Global connectedness not only opens doors to new markets but also enables businesses to build more resilient supply chains, which becomes a huge advantage when breaking into cross-border e-commerce. By diversifying sourcing and manufacturing locations, businesses can manage risks associated with disruptions in specific regions or countries.
However, building a resilient and agile supply chain for globalization is an ongoing process that requires strategic planning. If you’re looking to sell your products globally, here are some steps you can take :
- Diversify sourcing and manufacturing locations: Reduce reliance on single suppliers by spreading your sourcing and manufacturing across different regions.
- Implement robust risk management strategies: Identify potential risks, such as natural disasters, geopolitical events, or economic downturns, and develop mitigation plans to minimize their impact on your supply chain.
- Leverage technology to improve visibility and collaboration: Utilize technology solutions, such as real-time tracking and supply chain management software, to gain better visibility into your supply chain and facilitate collaboration with partners.
- Build strong relationships with suppliers and logistics providers: Foster strong relationships with key suppliers and logistics partners to ensure open communication and collaboration in times of disruption.
Driving innovation and collaboration
Opening doors to an international market also means stepping into a world of cross-cultural influences.
Globalization fosters innovation by connecting businesses with diverse perspectives, ideas, and best practices from around the world. An expansion of influences sparks new ideas, inspiring creativity and leading to the development of innovative products and services.
Beyond innovation, global connectedness fosters collaboration across borders. Partnering with businesses in other countries allows companies to leverage complementary strengths, access cutting-edge technologies, and tap into new markets. These partnerships often evolve into joint ventures, research and development initiatives, and other mutually beneficial projects that drive growth.
DHL Express plays a key role in enabling these connections. With its global network and logistics expertise, DHL can help businesses collaborate seamlessly — whether through connecting them with research partners,facilitating resource transfer, or supporting the development of prototypes for joint projects.
The DHL Global Connectedness Index: A closer look
The DHL Global Connectedness Index provides a comprehensive analysis of globalization trends, measuring the depth and breadth of international flows of trade, capital, information, and people. The index tracks these flows across countries and regions, offering valuable insights into the state of global connectedness and how businesses can take advantage of cross-border expansion for their supply chain and e-commerce.
Here are six key takeaways from the DHL Global Connected Tracker 2024:
Despite much talk about deglobalization, the latest data confirms that global flows remain highly resilient. There is no shift from international to domestic activity, meaning the opportunities for your business to grow cross-border have never been greater.
Expand your business internationally with DHL Express
Global connectedness offers a wealth of opportunities for Australian businesses to expand their reach, build resilience, and drive innovation. By embracing international markets, diversifying supply chains, and collaborating with partners across borders, businesses can unlock new levels of growth and success.
The DHL Global Connectedness Tracker allows you to explore the data and insights behind your country’s globalization efforts, how it affects your business, and how you can benefit from its expansion. The tool also provides valuable information on international trade flows, trends, and opportunities.
Ready to take your business to the next level? Open a business account and access a comprehensive range of export services, or explore their online resources for valuable business advice and support in navigating the world of international trade.
