'Global mindset is a must'

It is often jokingly said that companies coming to Silicon Valley for business expansion tend to believe that money grows on California trees. They also assume they will be welcomed by investors standing by the baggage claim and handed a big fat check right away. However, according to Klaus Wehage and Aaron McDaniel, co-authors of the entrepreneurship book "Global Class," the reality is quite different and entrepreneurs should have an in-depth understanding of target customers and markets.

"When we talk to companies, we advise them to prioritize customers first and investments later," said Wehage.

"They also need to understand how to localize and adapt their business for the market."

He emphasized that startup founders or top executives should be deeply involved in setting up global expansion strategies and executing them, stating, "Simply hiring a sales VP won't solve their problems."

Together, Klaus and McDaniel wrote the book "Global Class: How the World’s Fastest-Growing Companies Scale Globally by Focusing Locally" to share insights into how successful companies have expanded their businesses worldwide. The book, originally launched last year, has now hit the bookshelves in South Korea.

To celebrate the book's release in Korea, a panel session and talks were held on Monday in Seoul under the theme "How Fast-Growing Companies Expand into New Markets." The event was moderated by Jaekwon Son, CEO of the cross-border news media firm The Miilk. Dozens of startup CEOs and investors participated in the event, raising questions about entrepreneurship and global operations.

The co-authors put emphasis on the importance of thinking globally from an early stage, as this "global mindset," influences how entrepreneurs build their teams, culture, and business processes from the outset. They also mentioned that headquarters should grant global offices autonomy, serving as supporters rather than commanders, so that branches with a better understanding of local markets can identify the right business models and services.

For instance, Uber initially adhered to their car-sharing model to disrupt the Korean market. While doing so, however, they encountered regulatory obstacles and strong resistance from local taxi drivers. Recently, they belatedly chose to partner with SK Telecom, a telecom firm operating a taxi-hailing service in the domestic market, to better address local issues and resolve legal matters in operations.

The Monday conference saw participation from renowned figures in the startup sector. Clint Yoo, co-founder and chief business officer of Business Canvas; Hyemi Jung, co-founder and chief operating officer at WAUG; and Troy Malone, co-founder of Relevant, participated as speakers on the panel.

"Through the book 'Global Class' and today’s event, I hope startups can save time and energy when expanding their businesses in international markets, as the trial-and-error process can take a toll," said Youngduk Kim, chairman of D.Camp, a startup accelerator, in his congratulatory remarks.

Josh Choi, executive director of COMEUP, added in his remarks, "Korea is one of the few countries where unicorn startups struggle to enter global markets. I hope Potential unicorns should step out of their comfort zones and explore the globe."