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Globalisation highlights the importance of recruitment
With more global businesses entering the Australian marketspace, how can local companies remain competitive moving forward?
Global businesses are entering Australia at a fast rate.
There is no doubt that globalisation is having a unique effect on the landscape of Australian business - for the best and worst.
According to Deloitte's 2015 'Global Powers of Retailing' report, 37 of the world's top 250 retailers now operating in Australia, which is up seven from last year.
2014 saw Fast Retailing (Uniqlo), H&M, Forever 21 and Sephora all launch physical stores in Australia, creating severe competition between themselves and established local businesses. In addition to this, Deloitte Australia partner and retail industry leader David White mentioned in a January 13 media statement that Woolworths South Africa took over David Jones in the past calendar year.
Mr White offered insight into why this was occurring and whether 2015 would see more of the same.
"With a weakening Australian dollar and ever increasing competitive pressures, we expect to see further interest by overseas retailers in the Australian retail market," he said.
"As major global players continue to enter the Australian market, and existing global retailers expand their store footprint, Australian retailers across all segments will continue to face significant challenges and increased competition."
There is little stopping big multi-national companies establishing themselves in the Australian market, so it is up to smaller local businesses to build up their defences. While top retailers can offer lower prices, quality can sometimes be an issue which suggests Australian businesses with good customer connections could stand a fighting chance.
"The ability to innovate, drive improved processes and to connect with the consumer will be critical in order to remain competitive," Mr White explained.
For this to be effective, Australian firms will need to recruit sales and marketing professionals with experience in social media and brand awareness. Despite not having the revenue to match global entities, creating timeless relationships can keep customer numbers ticking over in the face of increased competition.
Ethos Corporation is an Australian owned Executive Recruitment Consultancy specialising in the $120k - $400k candidate market.
By Adam Forster