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For American and European retailers in a still-struggling economy, the imperative to grow can be as hard to fulfill as it is hard to ignore. Cash-strapped shoppers are still not opening their wallets, as evidenced by the drop in U.S. retail sales last year. As a result, more and more retailers of all shapes and sizes are going abroad to sustain their growth. And it’s a wide-open playing field.

This October, Wal-Mart announced the premature end of its joint venture with retailer Bharti Enterprises in India and the indefinite suspension of its retail plans there. It’s a telling sign that despite government efforts to solicit foreign direct investment – especially in retail – there remain significant obstacles for outside firms hoping to reach the Indian market.

By Rich de la Rosa, Director, Advisory Services, Americas

Rich de la Rosa; Brazil expert; International Expansion Brazil

If your business is planning an international expansion, a key consideration is how to setup your operations. And, if your overseas business opens you up to permanent establishment risk, you may want to consider establishing an international entity.