This document provides guidance on market expansion for startups. It discusses why, when, where, and how to successfully expand into new markets. The key points are: consider expanding only if it aligns with your vision and objectives, and you have the resources to support expansion without putting the home market at risk. Prioritize large, growing markets with low barriers to entry where your product fit is a good match. When expanding, test critical assumptions cheaply, localize for the new market, and hire the right local team while aligning the new market with HQ.

1. A Crash Course on Market Expansion
500 Startups Insider

2. ● Senior Associate, HYPE
● Founders were GMs of Airbnb, Uber, Google etc.;
as a team, we’ve helped Carousell, Homage, GOAT,
Snapask etc. in their international expansion
● Spent >50% of time in past few years outside of SG:
Bangkok, Jakarta, Penang, Kuala Lumpur
● Worked with 6 startups across Asia on market / product
expansion (mix of strategy and operations)
WHO AM I?

3. ● Why expand into a new market?
● When to expand?
● Which markets should I go into?
● How to succeed in the new market?

4. WHY EXPAND?
^
NOT

5. Competitors yet to dominate
● Not aligned to vision / objectives
● It is going to be costly
● It puts your home market at risk
● Competitors have a strong moat
● Consumers are different
WHY NOT EXPAND?
Alignment to vision & objectives
You have a war-chest ready
Found product-market fit in HQ
Understand your consumers & opportunities
Hence, when should you expand?

6. WHICH MARKETS
SHOULD I GO INTO?

7. MARKET PRIORITISATION
1. Potential market size
● TAM + growth rate
● Any latent demand
2. Cost / operationalisation required
● Salaries, real estate, product localisation, finance, legal etc.
● Barriers of entry to overcome (e.g. licensing approvals, infrastructure)
3. Competitive landscape
● Market share and market saturation
● Value proposition, pricing
4. Synergies with HQ

8. HOW TO SUCCEED IN THE
NEW MARKET?

9. OPERATING PRINCIPLES
1. Figure out what are your most critical assumptions and
test them in the lightest, cheapest ways
2. Be adaptable and don’t underestimate localisation in
the new market
3. Align and integrate HQ to new markets
Hire the right team

10. bolong.chew@gmail.com