5 Most Common Challenges Software Companies Face When Expand Globally

With the increasing interdependence of economies, cultures, and communities worldwide due to technology, it is important to trade across borders to provide harmony and promote equality in this digital age. Software companies are playing this role very well. Thanks to remote working, in which employees can work from their local location rather than using employers’ allocated workspace, running software companies anywhere in the world is no longer a challenge. But with this continuing trend, there are still some challenges software companies are facing globally.

In this article, we will discuss software companies’ challenges and what steps can be taken to avoid these challenges.

  1. Language

Even though different language translation tools and software are available in the market, language still needs to be improved for software companies. AI chatbots and language processing algorithms are not smart enough to translate exactly users’ intent. This problem leads to poor user experience due to unreliable software localization. Software localization refers to the process of adjusting the software to a user’s culture and language, including metric systems, visual styles, and other design elements.

Many software companies collaborate with different software localization agencies to solve this problem. This collaboration helps software companies to foster their products according to the target audience language. A software localization company will guarantee that your programme is translated correctly regardless of your operating system.

To solve this, many software companies partner with a software localization agency to adapt the product in each of the target languages required. A software localization company will guarantee that your programme is translated correctly regardless of your operating system. Furthermore, your customers will be happier and more adept at using your product.

  1. Costs

When you expand your business globally, you have to expand your budget. Global expansion of business comes at a high cost. Some of your projects may be finished in the regions where your company is based. Running most of your projects from your home country is very beneficial. It helps you to avoid business restrictions implemented on foreign investors by a country, and you can help your homeland by paying the tax.  

Fluctuation at international money exchanges is another problem faced by software development companies. It becomes difficult to budget effectively in uncertain conditions.

The key is proper budgeting. Establish a price in your home currency and pay your providers that amount. Avoid letting the cost rise due to currency fluctuations by predefined money exchange agreements.

  1. Pricing

In a worldwide market, the price also poses a challenge. A certain price in one nation may not be the same in another. This often concerns how much one country’s currency is worth relative to another. Setting a product’s price for a different nation might be difficult. For instance, it may be worth $45 in the US, which is little relative to the average pay, but it might account for a sizable amount of someone’s salary in Bangladesh. Hence, prices vary from region to region depending on the local currency’s worth, average salaries, and lifestyles. 

The company might need to accept a lower price to make sales in other countries or avoid experiencing no product sales there.

  1. Global Functionality

It would help if you had a lot of functionality while building a software program when you develop applications that rely on local system information. For instance, you may be creating payroll, accounting, or tax software. As the legal and administrative frameworks of every country vary differently, you must create many iterations of your programme or one that contains all the necessary features.

Several versions of your software will add a lot of effort and difficulties to updating and maintaining them; meanwhile, a programme that can be adjusted to the user’s location will need to be large, demand more system resources, and cost more to implement. Building a suitable version may be difficult if you are still familiar with the procedures in a foreign nation. Poor software reviews may result from your software package’s inaccuracy.

  1. Culture

As you travel, you encounter different cultural values. These values might seem insignificant, but they are essential to your company’s success. Your software’s visual style and user interface serve as a good representation of your business. Inappropriate cultural references might cause you to offend a foreign audience unintentionally. 

Check to see if your programme adheres to your area’s cultural norms and local values.


Consider these five problems your software firm can encounter when selling your product globally. Every new challenge is an opportunity in itself. Devise your plan carefully and make your actions more precise by carefully examining the demands and needs of your local audience. Create strategies to overcome software firms’ difficulties in a worldwide market rather than limiting your business to a single area.