How to succeed in an emerging market

Working in a developing market, or even a less-developed frontier market, is to say the least a challenge. Yes the growth potential is there, but often an established rule of law isn’t. You have your goals set by headquarters far away, and a team in place on the ground that doesn’t comprehend what you’re talking about. And it isn’t always just a matter of language. How to manage?

1. Be adaptable

You must be flexible and adapt to the local circumstances in which you find yourself. You can only advance your vision and objectives within the eco-system of the environment.

2. Stick to your values and those given to you by your company.

This is where the issue of corruption can raise its ugly head.

The legal codes in emerging markets can be unnaturally complex. “In Argentina, everything in the legal code is spelled out — the code is the size of a phone book” Herve Birnie-Scott, Head of Moet Hennessy’s Argentina Estates, says. “Some operators choose to ignore the rules and take the easier, off-the-books route. But there are no options in the LVMH Chandon world. ”All our employees are declared and we pay their social taxes,” he says. “We are audited by LVMH; we are more scrutinized by headquarters than you can imagine. We are whiter than white. Sometimes complying with the rules means we choose to lose opportunities, but we choose to remain compliant,” he says. “When the company behaves responsibly, the behaviour of the workers is elevated.”

3. Learn from your failures.

One example Birnie-Scott gives concerns the company’s Terazzas sparkling wine. “At first, I thought we should be producing something that would win ‘points’ (i.e., from wine connoisseurs such as Robert Parker), not necessarily a wine you would drink at home,” he recalled. “But after six harvests we were getting nowhere. And I finally was made to realize that no one was committed to making the wine this way, it wasn’t what the team wanted to do, so we came back to something more genuine and natural.”  Today, the point system seems to be giving way to more thoughtful journalistic writing about wines.

4. Visit the workers.

This is the agricultural variant of “walk the floor,” so often advised by manufacturing bosses. “It’s especially important in our culture in Argentina,” Birnie-Scott says. “Especially if you want to change the mindset and promote collaboration. You have to be part of the team while still being the leader; remember people’s names, their birthdays, their families.”

5. Focus on the good things.

“Put the bad things aside,” he says. “Especially when you’re with your family. Unless you’re in a crisis situation, focusing on all that went wrong will impede your progress.”

But not all people in leadership positions bring their families with them — or don’t have families to begin with. How to overcome the loneliness and one-dimensional skewed focus that being on your own in a foreign environment can bring?

“Say ‘yes’ to invitations,” Birnie-Scott recommends.” Even if you don’t want to go or may have a conflicting rendezvous. You can choose later.”