International entrepreneurship encapsulates the journey of companies expanding beyond their domestic markets to become global enterprises. Many Bangladeshi companies aim to leverage foreign markets to benefit from tariff advantages, regulatory compliance, and increased market access.
Among some Bangladeshi firms that have ventured abroad and contributed to the country's growing reputation in international markets, NASSA Group of Industries, Pran-RFL Group, Bangladesh Steel Re-Rolling Mills (BSRM), Incepta Pharmaceuticals, Renata, MBM Garments Ltd, Akij Jute Mills, Square Pharmaceuticals, DBL Group, MJL Bangladesh Ltd, Service Engine BPO, and Beximco Limited are notable. These ventures span various industries, including garments, pharmaceuticals, steel, food processing, and business process outsourcing (BPO).
Bangladeshi entrepreneurs have demonstrated remarkable resilience and innovation, propelling the country into the global spotlight. Today, Bangladesh is one of the top three garment exporters in the world, a testament to its robust apparel industry. Domestically, sectors like steel, cement, pharmaceuticals, and food processing have shown significant growth over the last two to three decades, creating a foundation for international expansion.
To thrive further in international markets, Bangladeshi entrepreneurs must start with thorough market research to identify target markets, customer segments, and competitors. Adapting products, services, and marketing strategies to resonate with diverse cultural and consumer preferences is crucial. Compliance with local and international regulations ensures smooth operations, while forging strong partnerships with local stakeholders facilitates market entry and growth.
For Bangladeshi firms, embracing innovation is vital to remaining competitive on the global stage. Schumpeter argued that entrepreneurship is the primary driver of economic growth, with innovation serving as its cornerstone. From a Schumpeterian standpoint, international entrepreneurship also aligns with the concept of "creative destruction" -- a process where outdated business models are replaced by innovative practices. Schumpeterian creative destruction, a concept introduced by economist Joseph Schumpeter, highlights entrepreneurial innovation as the engine of economic growth and market evolution.
By embracing innovation, disrupting traditional markets, and fostering a culture of continuous improvement, Bangladeshi firms can carve out a distinct competitive edge
This transformative process can drive international entrepreneurship in various ways. For example, pharmaceutical companies could innovate in generic drug production, delivering high-quality, affordable alternatives in markets like the U.S. Textile giants might adopt smart production techniques to gain a competitive edge in global markets. Similarly, FMCG firms could implement direct-to-consumer (DTC) strategies to penetrate emerging digital markets. By leveraging Schumpeterian principles, Bangladeshi firms can accelerate their international growth and secure global competitiveness.
By leveraging new technologies, developing unique products, and improving operational efficiencies, these firms have already been disrupting existing markets and creating new value propositions. For instance, by investing in a state-of-the-art facility in Kenya, Square is positioning itself to disrupt local pharmaceutical markets with affordable and high-quality medicines. By establishing a garment factory in Ethiopia, DBL Group demonstrates an attempt to innovate through geographic diversification, though profitability challenges highlight the need for further market-specific adaptations. Pran-RFL’s plan to set up factories in India indicates a move toward disrupting local markets with cost-efficient production and strong brand recognition.
A Schumpeterian framework further accelerates global competitiveness by dismantling inefficient practices and embracing innovation. Transitioning from labor-intensive to capital-intensive operations, particularly in the garment sector, can boost productivity and adaptability. Establishing R&D units enables firms to develop products tailored to diverse international markets. Collaborating with global research institutions and think tanks helps firms stay ahead of technological trends. Additionally, vertical integration within supply chains enhances quality control and reduces dependency, positioning Bangladeshi firms for sustained success in global markets.
International entrepreneurship plays a vital role in driving economic growth and global integration. By adopting Schumpeter's principles of innovation and creative destruction, Bangladeshi firms can enhance their competitiveness on the global stage. Strategic investments, coupled with a strong focus on innovation, will enable these firms to expand their global footprint and contribute significantly to national prosperity.
By embracing innovation, disrupting traditional markets, and fostering a culture of continuous improvement, Bangladeshi firms can carve out a distinct competitive edge. With visionary leadership, supportive policies, and relentless innovation, Bangladesh has the potential to transform its economy into a hub for international entrepreneurship, driving economic dynamism and global influence.
Dr Nusrat Hafiz is Assistant Professor and Director of Women Empowerment Cell, Brac University. Nusrat Tasnim Tahsin Anita works as a Teaching Assistant, Brac University.
