Manufacturing is a core part of the UK economy, employing over 2.6 million people and accounting for £186.6 billion. Nearly half of UK manufacturing exports come from five key sectors. For UK manufacturers to expand internationally, they must be responsive to local cultures and consider seeking local support, adapting their organizational design and culture, targeting markets based on geography, developing leadership and learning from mistakes, and managing issues like corruption and intellectual property protection in new markets.

1. THINK GLOBAL ACT LOCAL
MANUFACTURING IS AT THE CORE OF THE UK ECONOMY
Today, over
people in the UK work
in manufacturing
2.6 MILLION2.6 MILLION
£186.6 BILLION£186.6 BILLION
Almost half of the UK’s manufacturing exports come
from five key sub sectors: mechanical and electrical
equipment; chemicals; transport; metals; rubber, plastics
and non-metallic minerals, accounting for
Getting insight from professional
services companies with a local presence
was the key issue for 83% of businesses
seeking help with international
development
The most prevalent approaches towards
international growth were: joint ventures, mergers
and acquisitions and establishing independent
operations
Traditionally Europe has been the
biggest market for UK businesses, and
this is still the case – by 2020 the EU
will account for around 17% of
global output
In relation to emerging markets, ease of doing
business, quality management and
political-economic stability were important
considerations
52% of manufacturers say that expansion
hinges on the emerging markets
Having good decision makers to evaluate
current and future risk and uncertainty of
market opportunities
Entering a new market without country
specific knowledge is a high risk strategy
Promoting knowledge, sharing internally
and learning from mistakes were regarded
as key factors for growth
Where there is a mismatch between culture and
strategy the likelihood of failure is
significantly increased
Those interviewed emphasised that international
growth demands a need for the business to adapt
to local cultures
The sector accounts for around 11% of
UK Gross Value Added and 54% of UK exports
11%11%
83%83%
54%54%
52%52%
But if UK manufacturers want to expand internationally, they must be
responsive and agile. Considering the following five key factors will help:
SUPPORT AND SEEKING HELPSUPPORT AND SEEKING HELP
ORGANISATIONAL DESIGN, CULTURE AND VALUESORGANISATIONAL DESIGN, CULTURE AND VALUES
GEOGRAPHYGEOGRAPHY
Anti-corruption legislation 29
Health and safety issues
25Export controls
29
25Product safety
21Strategic partnerships
21Tax
They were most likely to want advice on…
17%17%
3
2
1
LEADERSHIP AND LEARNINGLEADERSHIP AND LEARNING
LOCAL KNOWLEDGE, CORRUPTION AND PROTECTING IPLOCAL KNOWLEDGE, CORRUPTION AND PROTECTING IP
#DLAPiper
1
As businesses grow internationally, so has
the importance of protecting Intellectual
Property (IP)
2
100% of businesses interviewed stated that
they had been aware of corruption when
operating internationally
3