Vistaprint 2014 Annual Report Download - page 19

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Our global operations and expansion place a significant strain on our management, employees, facilities
and other resources and subject us to additional risks.
We currently operate production facilities or offices in 17 countries and have many localized websites
across our fourteen customer-facing brands to serve various geographic markets. We expect to establish
operations and sell our products and services in additional geographic regions, including emerging markets, where
we may have limited or no experience. We may not be successful in all regions in which we invest or where we
establish operations, which may be costly to us. We are subject to a number of risks and challenges that relate to
our global operations and expansion, including, among others:
• difficulty managing operations in, and communications among, multiple locations and time zones;
• difficulty complying with multiple tax laws, treaties, and regulations and limiting our exposure to onerous
or unanticipated taxes, duties, and other costs;
• local regulations that may restrict or impair our ability to conduct our business as planned;
• protectionist laws and business practices that favor local producers and service providers;
• our inexperience in marketing and selling our products and services within unfamiliar countries and
cultures;
• challenges of working with local business partners in some regions, such as Japan and China;
• our failure to properly understand and develop graphic design content and product formats appropriate
for local tastes;
• disruptions caused by political and social instability that may occur in some countries;
• corrupt business practices, such as bribery, that may be common in some countries;
• difficulty expatriating our earnings from some countries;
• disruptions or cessation of important components of our international supply chain;
• the challenge of complying with disparate laws in multiple countries;
• restrictions imposed by local labor practices and laws on our business and operations; and
• failure of local laws to provide a sufficient degree of protection against infringement of our intellectual
property.
To manage our operations and anticipated growth, we must continue to refine our operational, financial, and
management controls, human resource policies, reporting systems, and procedures in the locations in which we
operate. If we are unable to implement improvements to these systems and controls in an efficient or timely manner
or if we discover deficiencies in our existing systems and controls, then our ability to provide a high-quality customer
experience could be harmed, which would damage our reputation and brands and substantially harm our business
and results of operations.
Acquisitions and strategic investments may be disruptive to our business.
A component of our strategy is to selectively pursue acquisitions of businesses, technologies, or services
and invest in businesses and joint ventures. The time and expense associated with finding suitable businesses,
technologies, or services to acquire or invest in can be disruptive to our ongoing business and divert our
management's attention. In addition, we have needed in the past, and may need in the future, to seek financing for
acquisitions and investments, which may not be available on terms that are favorable to us, or at all, and can cause
dilution to our shareholders, cause us to incur additional debt, or subject us to covenants restricting the activities we
may undertake.
Form 10-K