As Australia ramps up investment and trade opportunities with our Asian neighbours, many business leaders believe Australia is still missing out on opportunities in the region.

A poll by Asialink Business at the University of Melbourne asked close to 200 businesses, 76% of which were already trading in the region, how they viewed trade with Asia and whether Australia was maximising opportunities.

86% responded that Australian businesses are missing out on opportunities in Asia. In addition, almost all participants answered that increasing knowledge and understanding of Asian markets would improve the success of Australian businesses in the region.

The results indicate that despite the growing list of Premiers and organisations embarking on trade delegations to the region, the business community thinks we still have a long way to go in realising our full potential in Asia.

Asialink Business Chief Executive, Leigh Howard said that while there’s significant pent-up interest in businesses travelling to the region post-COVID, there’s a lot more we could be doing to maximise our success in the region.

“Australian businesses returning to Asia will find themselves travelling to a region that has changed significantly in recent years. The pandemic accelerated key trends such as digital adoption and eCommerce and highlighted the importance of securing reliable supply chains to market. By far, the biggest eye-opener for Australian business will be just how much Asian markets continue to steam ahead in terms of their economic progress and development. There is a growing affluent class across Asia, and our international competitors increasingly want a slice of the action.”

“We’re seeing trade missions at every level of government and business to key markets, including India, Japan, Indonesia, and more recently China, to bolster economic ties and further promote sectors such as education, agribusiness, and energy. But without sufficient investment in understanding the markets, the danger is that businesses will achieve substandard outcomes - or no outcomes at all. Being under-prepared and learning how to do business after you’ve arrived quickly makes a market visit an expensive endeavour.”

“The increase in travel to the region demonstrates that in-person meetings are seen as critical to doing business – but this also means we need to invest more in being equipped to make the most of those meetings. In many instances, Australian businesses would do well to formulate their strategies in advance and to prepare for the operating environment and competition they’ll encounter in-market. It’s not enough to simply turn up anymore - Asia has moved on.”

“Growing your understanding and expertise of Asian markets is critical to navigating challenges and opportunities. Businesses need to be Asia-capable to maximise their chances of securing tangible and measurable results,” Mr Howard said.

After a more than two-year hiatus, there’s a stampede of government and business leaders to Beijing, including West Australian Premier Mark McGowan, hot on the heels of a trip by Victorian Premier Daniel Andrews. Queensland's Premier Annastacia Palaszczuk has indicated she’ll visit China in November, with Prime Minister Anthony Albanese indicating he’d be prepared to meet with Xi Jinping again this year.

“Many Australian businesses will be trying to make sense of our current relationship with China. On the one hand, we’re still hearing of security concerns, while on the other, trade tensions are easing. They’re also evaluating the importance of diversification and the opportunities other. Many of the enquiries we receive from Australian businesses are for assistance with market prioritisation and understanding which market is right for their industry and their company.”

“Asia is the fastest growing region globally, and Australia has a unique economic advantage thanks to our geographic proximity, abundance of natural resources, and education and research credentials. What we increasingly need to complement this is knowledge of Asian markets to be able to tap the best commercial outcomes.”

“Engaging confidently and effectively with Asia is essential to our prosperity and overall stability, particularly as we face an uncertain economic outlook,” Mr Howard said.

About Asialink Business

Since 2013, Asialink Business has helped thousands of Australian organisations and professionals seize opportunities in Asia. 

As Australia’s National Centre for Asia Capability, we equip leaders, entrepreneurs and employees with the insights, capabilities and connections to succeed across Asia. Asialink Business offers commercially focused solutions. We enable organisations to optimise their business with Asia by providing customised country, market and industry-specific support.

Asialink Business is supported by the Department of Industry, Science and Resources. It is part of the Asialink Group hosted by the University of Melbourne.