International Expansion: Why Multicultural Teams Are Essential
Key Points at a Glance
- International expansion requires not only product and sales expertise, but also in-depth knowledge of the market and culture.
- Different perspectives within the team can help to identify the specific characteristics of the target market at an early stage.
- A common team language only works if it is consistently adhered to in day-to-day work.
- Intercultural cooperation requires clear structures – good intentions alone are not enough.
- Local expertise should be incorporated into international expansion projects as early as possible.
International Expansion: Why Local Perspectives Are Crucial
International Expansion: Why Local Perspectives Are Crucial
An example that was discussed some time ago at one of my management meetings: a global company had chosen Turkey as its next market for expansion. At the time, the market was recording double-digit growth rates and offered further potential.
Management therefore put together a dedicated expansion team. German engineers took on the technical tasks, whilst German sales staff worked their way up to decision-makers and established contacts with potential customers. The project’s CEO was also German. The aim: to set up their own factory in Adana.
The project did not materialise.
In hindsight, a multinational team would have been the better choice. This is because, when establishing business relationships across national borders, it is not only technical expertise and sales competence that play a role. Knowledge of the target market, cultural nuances and local decision-making processes is just as important.
Anyone wishing to establish an international presence must therefore think globally right from the outset when putting together their own team.
“Anyone wishing to grow internationally should not wait until they enter the market to take the target market’s perspective into account. It needs to be part of the team right from the start.”
Serpil, expert in product management, product marketing and product-driven business development
What Internationally Oriented Companies Do Differently
An example of how this might work in practice is provided by a Berlin-based company. It specifically recruits experts from the countries into its team where it wishes to expand.
The company’s working language is English. Presentations are always prepared in English – even when the audience consists exclusively of native German speakers. Intercultural considerations are also taken into account from the outset in management training programmes.
At first glance, this sounds self-evident. Yet it is precisely these seemingly minor details that determine whether internationalisation exists merely on paper or is actually put into practice in day-to-day working life. Another example from my network illustrates just how quickly well-intentioned internationalisation can reach its limits in everyday practice.
An MBA graduate from the Philippines was assigned to an international project. She was assured that the collaboration would take place in English. At the same time, she was taking German lessons, but was still very much at the beginning of her language learning journey.
Gradually, the German-speaking team members reverted to German in their day-to-day work – initially in isolated situations, and later also in meetings. This effectively excluded her from parts of the communication. Email correspondence was also increasingly conducted in German.
It wasn’t long before she left the project, feeling disappointed.
This example shows that simply establishing an international team language is not enough. It must be consistently practised – in meetings and presentations as well as in emails and day-to-day collaboration.
What Research Into Multicultural Leadership Teams Shows
Academic and economic studies also examine the impact of different perspectives within organisations.
An international analysis by McKinsey from 2023, involving more than 1,200 companies across 23 countries, reveals a clear link between diversity in leadership teams and financial performance. The study found that companies with a high level of gender or ethnic diversity in their leadership teams were more likely to achieve above-average financial results.
It is important to note, however, that diversity alone does not guarantee economic success. It is also crucial that different perspectives within the organisation are actually heard and taken into account in decision-making.
| Characteristic | Pretence of Internationalism | Actually Practised Internationalism |
|---|---|---|
| Team Language | Switches back to the national language as soon as native speakers are in the majority | Consistently use the agreed team language, even amongst yourselves |
| Team Composition | Exclusively from the home country | With expertise from the target market |
| Communication | International in speech, back to the national language in writing | DConsistently in the agreed language, including in emails |
| Intercultural Competence | Nice-to-have | An integral part of management training |
5 Steps to Building Teams Capable of Operating Internationally
Step 1: Establish a standard team language (and enforce it!)
Define a common language for meetings, presentations and emails – and stick to it even when individual team members are not present.
Step 2: Involve expertise from the target market at an early stage
Do not simply consult people with in-depth market and cultural knowledge on an ad hoc basis; instead, involve them in the project from the very start wherever possible.
Step 3: Actively support integration
Be mindful within the team of whether linguistic or cultural barriers are arising and whether individuals are being excluded from relevant communication.
Step 4: Embed intercultural competence
Do not treat intercultural collaboration as a separate issue, but incorporate it into leadership, communication and collaboration.
Step 5: Regularly align aspirations with day-to-day practice
Check whether the way collaboration is actually practised still aligns with your own international aspirations – particularly with regard to the team’s working language, communication and composition.
Conclusion: Thinking Globally Starts within Your Own Team
When it comes to international expansion, product quality is not the only deciding factor. It is just as important that companies understand the perspective of the target market and take this into account within their own team.
Those who integrate local expertise at an early stage, consistently foster a common team language, and remain vigilant to ensure that individual team members are not excluded on linguistic or cultural grounds, create better conditions for successful international collaboration.
Internationalisation therefore does not begin with market entry. It begins within one’s own company.
FAQs
Why do international expansion projects fail despite having good products?
A good product alone does not guarantee a successful market entry. Market knowledge, local business practices, communication and collaboration within an international team also play an important role.
What does a multicultural team mean in the context of international expansion?
For expansion projects, this primarily means bringing together different perspectives as well as market and cultural knowledge. It is particularly valuable to incorporate expertise from the relevant target market at an early stage.
How can you prevent an international team language from fading away again in day-to-day life?
By making the common team language mandatory for meetings, emails and presentations, and ensuring that it is consistently modelled, particularly by managers.
Is intercultural competence also worthwhile for smaller businesses?
Yes. Also, smaller companies benefit when operating internationally by taking cultural differences into account at an early stage and specifically incorporating knowledge about the relevant target market.
Sources & Further Information
- McKinsey & Company (2023): Diversity Matters Even More: The Case for Holistic Impact. Internationale Untersuchung von 1.265 Unternehmen in 23 Ländern.
- Institut der deutschen Wirtschaft / IW Consult (2010): Interkulturelle Kompetenz als Erfolgsfaktor. Ergänzende Untersuchung zur Bedeutung interkultureller Kompetenz bei Auslandsaktivitäten.
Serpil Uensal
Trainer, Coach & Consultant in Product Management
Serpil is a specialist trainer, coach and consultant with over 20 years’ experience in product management, product marketing and strategy. She helps companies and product teams to systematically develop their product expertise and drive growth – with particular expertise in tech, medtech and regulated markets.
Last reviewed on 9 September 2026 • Graduate in Business Administration (FH) • International Executive MBA • Certified Trainer (dvct e.V.) • Certified Coach (dvct e.V.)
Serpil Uensal
Trainer, Coach & Consultant in Product Management
Published: 10 April 2025
Last updated: 9 September 2026
Reading time: 5 mins
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