# Regional Expansion Guide

Specific considerations for key regions. Not exhaustive — these are the patterns that trip up most expanding companies.

## Europe

### DACH (Germany, Austria, Switzerland)
- **Language:** German required for SMB. Enterprise sometimes English.
- **Sales:** Relationship-driven, longer cycles, value formal proposals
- **Pricing:** Willing to pay premium for quality and reliability
- **Compliance:** GDPR, industry-specific (MDR for medical devices, BaFin for finance)
- **Payment:** SEPA, invoice preferred for B2B (not credit cards)
- **Culture:** Punctuality matters. Directness is respected. Don't oversell.
- **Data:** Strong preference for EU data residency
- **Entity:** GmbH for subsidiary, typically €25K minimum capital

### Nordics (Sweden, Norway, Denmark, Finland)
- **Language:** English widely accepted in business
- **Sales:** Consensus-driven decisions, flat hierarchies
- **Pricing:** High willingness to pay, value innovation
- **Compliance:** GDPR, strong data protection culture
- **Culture:** Equality-focused, sustainability matters, low-key approach preferred
- **Entry:** Often the easiest European expansion for English-speaking companies

### France
- **Language:** French required, even for enterprise (most buyers prefer it)
- **Sales:** Formal, hierarchical decision-making, relationships matter
- **Pricing:** Price-sensitive but willing to invest in proven solutions
- **Compliance:** GDPR + CNIL (strict data authority), French hosting preference
- **Culture:** Business lunches are real meetings. Email etiquette matters.
- **Entity:** SAS or SARL, complex employment law

### UK
- **Language:** English (obviously)
- **Sales:** Similar to US but smaller deal sizes
- **Pricing:** Competitive market, price comparisons common
- **Compliance:** UK GDPR (post-Brexit), FCA for finance
- **Culture:** Understated, humor works, don't be too pushy
- **Post-Brexit:** Separate data adequacy, some regulatory divergence

### Southern Europe (Spain, Italy, Portugal)
- **Language:** Local language strongly preferred
- **Sales:** Relationship-heavy, trust-based, longer cycles
- **Pricing:** Lower willingness to pay than Northern Europe
- **Entry:** Partner/reseller model often more effective than direct
- **Culture:** Personal relationships precede business relationships
- **Timing:** August is essentially closed in many industries

### Eastern Europe (Poland, Czech Republic, Romania)
- **Language:** Local language for SMB, English for enterprise/tech
- **Sales:** Growing market, value-conscious, quick adoption of new tech
- **Pricing:** 30-50% of Western European pricing
- **Talent:** Excellent engineering talent for local offices
- **Entry:** Often good for first offshore team, not just sales

## United States

### General
- **Entity:** Delaware C-Corp if seeking US investment
- **Sales:** Expect American-style responsiveness (same-day replies)
- **Pricing:** Higher than Europe (typically 20-40%)
- **Compliance:** State-by-state complexity (privacy, tax nexus)
- **Culture:** Optimistic, results-oriented, comfortable with direct outreach
- **Legal:** More litigious environment, good contracts essential

### Regional Differences
| Region | Characteristics |
|--------|----------------|
| **West Coast** | Tech-forward, early adopters, startup-friendly |
| **East Coast** | Enterprise-heavy, finance and healthcare strong |
| **Midwest** | Manufacturing, agriculture, relationship-driven, underserved |
| **South** | Growing tech hubs (Austin, Atlanta, Nashville), cost-conscious |

### Key Considerations
- Sales tax: Complex, state-dependent, use automation (Stripe Tax, Avalara)
- Privacy: California (CCPA/CPRA), Virginia, Colorado, Connecticut have state laws
- Employment: At-will, but benefits expectations are high
- Health insurance: Expected by employees (significant cost)

## APAC

### Singapore
- **Best entry point for APAC** (English, business-friendly, strong rule of law)
- Low tax, easy incorporation, access to Southeast Asian markets
- Small domestic market — use as hub, not primary market

### Australia
- **English-speaking, familiar business culture** (similar to UK)
- Strong B2B market, good for SaaS
- Data privacy: Australian Privacy Act
- Time zones: Challenge for support from Europe

### Japan
- **Highest quality bar in the world** — products must be polished
- Local partner essential (trust, introductions, support)
- Japanese localization is non-negotiable
- Long sales cycles but very loyal once committed
- Business etiquette matters significantly

### India
- **Huge market but price-sensitive**
- Strong engineering talent market
- Relationship-driven, patience required
- UPI and local payment methods essential
- Often better as talent market than sales market initially

## LATAM

### General
- Portuguese (Brazil) and Spanish (rest) — two distinct markets
- Growing SaaS adoption, especially in Brazil, Mexico, Colombia
- Price-sensitive but growing willingness to pay for quality
- Boleto (Brazil) and local payment methods essential
- Currency volatility can affect pricing strategy

### Brazil
- Largest LATAM market by far
- Complex tax system (NF-e, ICMS, PIS/COFINS)
- Portuguese required, no exceptions
- Strong startup ecosystem (São Paulo)
- Data privacy: LGPD (similar to GDPR)

### Mexico
- Second largest LATAM market
- Growing US business ties
- Spanish required
- Proximity to US is strategic advantage
- Increasing SaaS adoption

## Cross-Region Patterns

### What Works Everywhere
- Start with existing customer demand (pull, not push)
- Invest in local language support before local sales
- Price for the market, not for your cost structure
- Build local case studies as fast as possible
- Find one strong local partner before hiring

### What Never Works
- Assuming English is enough (even when people speak it)
- Copy-pasting marketing materials with just translation
- Ignoring local payment preferences
- Treating "Europe" or "APAC" as single markets
- Sending your best home-market rep without local context
