Over the past twelve months (2024-25), various economies have experienced a slowdown, leading to growing uncertainty in several others. As a result, some design firms are beginning to look beyond their home countries for opportunities. Previously expanding markets such as China, Malaysia, Brazil, and Russia are now facing slowdowns, prompting firms to seek work in countries like India, Saudi Arabia, Uzbekistan, Kazakhstan, Kenya, Botswana, Mexico, and others. This shift has intensified global competition and introduced new competitors into the market.
Previously, only design firms from the UK, USA, Australia, Germany, Singapore, and others sought work on the international stage. However, this is changing as the design profession in countries like China, Thailand, Colombia and others has grown in expertise, leading to increased competition among design firms vying for the same projects. These firms have started exploring work beyond their home market. This rise in competition will be a new experience for some established firms facing these new challengers.
When globalisation is waning in the manufacturing and agriculture sectors, with governments seeking to create local jobs, it is interesting that the design profession is broadening its horizons and looking for work beyond their home countries. Many landscape architecture firms follow their clients or allied professionals into new markets. However, landscape architects need to remember to stick to the fundamentals of design when taking an approach to their sites and respect the local culture.
With increasing competition, all design firms will need to consider how much they are willing to invest in terms of time and budget in these markets. Building relationships and navigating the complexities of the market take effort and resilience.
When entering a new market, it’s common for people to feel excited about potential projects and new relationships. However, in this enthusiasm, they may overlook important factors such as culture, legal frameworks, financing, and tax compliance, which can lead to unforeseen issues and costs. The most crucial aspect to consider is culture; if you do not understand the market regarding client relations or, more importantly, the local culture relevant to your project, you should reassess your reasons for being there.
Established firms with international experience are familiar with the challenges and issues that come with entering a new market. In this regard, new competitors will struggle, as many lack experience in countries that have lower risk tolerance, stricter regulations, higher insurance requirements, and complex compliance issues. Additionally, they may face clients who negotiate project scope and fees throughout the duration of the project.
It is up to the established and new design firms to realise that when entering a new market can lead to better outcomes, but I would highly recommend that you seek out local partners and also work with your country’s trade organisation to ensure that you have a good understanding of the market and the culture before your first discussions with clients.
Increasing competition is good for the built environment industry as it can lead to the exchange of ideas, better design outcomes and the improvement of local talent, which flows into local design schools. It will be interesting to see the design work and implementation by the established firms versus the new competitors and the similarities and differences in methodology and design outcomes.
Article written by Damian Holmes, Founder & Editor of World Landscape Architecture(WLA) and registered landscape architect with over 25 years of international experience.
Image Credit: NOAA, Public domain, via Wikimedia Commons
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Originally published on World Landscape Architecture