Insights
Expertise and perspectives from five years of international business location consulting
Industry Insights
Lessons learned from helping companies successfully expand internationally
Global Business Services Evolution
The GBS landscape has evolved significantly over the past five years. Organizations are moving beyond simple cost arbitrage to focus on value creation, innovation, and digital transformation.
Key Trends:
- Automation and AI integration
- Focus on higher-value activities
- Hybrid delivery models
- Emphasis on talent development
- Sustainability considerations
Location Selection in the Digital Age
Traditional location factors remain important, but new considerations have emerged as businesses adapt to digital transformation and changing work patterns.
Emerging Factors:
- Digital infrastructure quality
- Remote work readiness
- Cybersecurity capabilities
- Tech talent availability
- Innovation ecosystem strength
Manufacturing Reshoring and Nearshoring
Supply chain disruptions and geopolitical tensions have accelerated reshoring and nearshoring trends, fundamentally changing manufacturing location strategies.
Driving Forces:
- Supply chain resilience
- Geopolitical risk mitigation
- Reduced logistics costs
- Customer proximity
- Sustainability goals
The Future of Office Space
The pandemic accelerated workplace transformation, leading to new office models that balance flexibility, collaboration, and cost efficiency.
New Models:
- Hybrid work environments
- Activity-based working
- Distributed office networks
- Co-working partnerships
- Purpose-driven spaces
Best Practices
Proven strategies for successful international expansion
Start with Strategy
Clear strategic objectives should drive location decisions, not just cost considerations. Align location choices with long-term business goals and market strategy.
Think Total Cost
Look beyond headline labor costs to consider total cost of ownership, including infrastructure, compliance, risk management, and hidden costs.
Plan for Scale
Choose locations and design operations with future growth in mind. Consider scalability in talent, infrastructure, and operational capacity.
Invest in Talent
Success depends on people. Invest in local talent development, cultural integration, and knowledge transfer from the start.
Manage Risk Proactively
Identify and mitigate political, economic, operational, and compliance risks early in the planning process.
Execute with Discipline
Strong project management and disciplined execution are critical for realizing the expected benefits from location strategies.
Market Intelligence
Key insights from our global project experience
Emerging Destinations
New locations are gaining prominence as traditional offshore destinations face capacity constraints and rising costs.
Rising Markets
- Eastern Europe: Strong tech talent, EU access, competitive costs
- Latin America: Nearshore to US, improving infrastructure, cultural affinity
- Southeast Asia: Growing economies, young workforce, government support
- Africa: Emerging tech hubs, cost advantages, demographic dividend
Investment Incentives
Governments worldwide are competing for investment with increasingly sophisticated incentive packages.
Incentive Trends
- Performance-based: Tied to job creation, investment levels, or performance metrics
- Skills-focused: Training grants, education partnerships, talent development
- Innovation-driven: R&D credits, IP incentives, innovation ecosystem support
- Sustainability-linked: Green investment incentives, carbon reduction support
Technology's Impact on Location Strategy
How digital transformation is reshaping international business location decisions
Automation Revolution
Increasing automation is reducing the importance of labor costs while increasing the value of skilled technical talent and digital infrastructure.
Cloud-First Operations
Cloud computing enables more flexible location strategies, reducing dependence on physical infrastructure while increasing focus on connectivity and data governance.
AI and Analytics
Advanced analytics and AI are improving location decision-making through better data analysis and predictive modeling of location performance.
Looking Ahead
Trends shaping the future of international business location strategy
The Next Five Years
Based on our experience and market analysis, several trends will continue to shape international business location decisions over the next five years.
Organizations will need to balance multiple competing priorities: cost efficiency with resilience, global scale with local responsiveness, automation with human talent, and growth with sustainability.
Success will require more sophisticated location strategies that consider these complex trade-offs and adapt to an increasingly dynamic global business environment.
Key Future Trends
- Continued hybrid work adoption
- Sustainability as a core criterion
- Geopolitical risk consideration
- Technology talent as key driver
- Agile and flexible location strategies
- Focus on business resilience
- Integration of ESG factors
Apply These Insights
Let's discuss how these insights can inform your location strategy