International site selection: finding the best place for your project

You already know how important site selection is, especially when looking for a new home to your business abroad. After all, being at the right place can be crucial to operational success, right?

In a huge country as Brazil, looking for a new location can be tricky, a process that requires a thorough decision process. Climate and the presence of acquaintances in the region are always factors that influence the decision, as well as availability of direct flights and time zone. Of course, there are dozens of issues that must be taken into account to ensure that the investment is carried out in the best possible location, with the highest chances of success.

The first step is to define the needs of the project. With predefined target criteria it is easier to identify a suitable location that matches the needs of the project. Such as:

  • LOCATION: Is it near major cities? Is the region served by which railways, highways and airports? Is access convenient for those who come from far and near? How is public transportation in the region?
  • MARKET: How big is the potential market? Are there clusters, innovation centers, universities, research centers, and incubators? Where are the main competitors and suppliers? What level of qualification of the required workforce is available? Are there trusted consultancies and service providers to provide local support?
  • COST: What is the cost of doing business (taxes, labor, rent, energy)? What are the tax and attraction incentives for investments available by the local government?
  • QUALITY OF LIFE: If climate, quality of life, safety, educational level are important factors for designated executives to have a positive experience in the new country/region, it is clear that these should also enter into the analysis.

The second step is to select target regions that meet the needs of the project. It is recommended to have more than one final option, which allows the company to rank project priorities, such as cost, location, and size.

Finally, the third step is to visit the selected regions. To help with the decision, a wide agenda is recommended at each selected location. It should include meetings with local business executives, regional government to address incentives opportunities, relevant associations, service providers and consultancies that can support the operation during the first year of project life.

Hitting the hammer is the last step. With the location decided, then the project can begin after all with the best possible chances of success.