There was a time when start-up companies had to turn a profit before even thinking about expanding internationally.

But those days are long gone. Even the earliest-stage companies now have a global strategy, and countries like India and China are viewed as explosive markets to tap into, as well as turn to for inexpensive engineering or development talent.

In a sign of the increased influence of emerging countries, venture capitalists - long used to seeking exits in the U.S. - are warming up to the idea that foreign acquirers might be just as attractive as buyers of portfolio companies.

"Two thirds of acquisitions [take place in] the U.S.," said Martin Haemmig, a professor of entrepreneurship and global investing at U.C. Berkeley and other institutions. "But other markets are developing to where you can exit at a reasonable rate."

Haemmig was part of a panel discussion Tuesday at the 19th Annual Venture Capital Investing Conference in San Francisco. He was joined on the panel by partners from Kleiner Perkins Caufield & Byers, Scale Venture Partners, Cazenove Private Equity, GIC Special Investments and Vertex Venture Capital.

All of the VCs said that, over the last ten years, their investment focus has broadened to encompass most of the world.

"Five years ago, we didn't invest in the East Bay [of California], let alone the East Coast, let alone China," said Ajit Nazre, a Kleiner general partner. Kleiner now has investments and teams all over the world.

Kleiner has found China rife with opportunities and entrepreneurs, he said, but the firm has been slightly more cautious in India.

"India is a market opportunity, not a resource opportunity," Nazre said. "We are doing very early-stage, four people and a PowerPoint. There are not a lot of co-investors. We are taking it very slow. It's not a capital problem, it's a bandwidth problem."

Working with foreign entrepreneurs can be exciting, and sometimes frustrating, panelists said.

"European entrepreneurs are the least aggressive in the market," Haemmig said. "It takes, on average, 18 months longer to get to an exit, and these are good companies."

In many Asian countries, said Nazre from Kleiner, a small setback or failure at a portfolio company can spell doom.

"It boils down to the entrepreneurs," he said, "the wherewithal of taking risks, learning from them, and doing it again. That's where it falls apart in Asia ... People want to take as little risk as possible."

Other emerging countries are beginning to steal the thunder of India and China, panelists said.

Siberia and Vietnam offer "great deal flow and great talent," according to Jeremy Kranz of GIC Special Investments.

Kate Mitchell, managing partner at Scale Venture Partners, said small and medium-sized start-ups are flourishing in Brazil, as call-centers and other Indian-dominated business is migrating to Latin America.

Haemmig said Russia has the third largest number of scientists in the world, with half of those concentrating on math and science. It bodes well for technology, he said.

"In five to eight years, you'll see more tech coming out of Russia than India or China," he said.

But though emerging markets are heating up, VCs are wise to keep a sharp eye on their home turf, said Nazre.

"This is the major market," he said. "The talent...comes from this market. [For the best teams of] interdisciplinary research and development, try to find that outside of Silicon Valley. I challenge you."