Are you looking for help in crafting a strategy for entering the overseas market?
From reseller or distributor agreements, to joint ventures and strategic partnerships, and including setting up a branch office, we can provide support for each path.
You might have heard that a new entrant to Japan or US needs a local partner to be successful. However, we think that every situation is unique, and don’t adopt blanket statements about an entry strategy. Many companies with the financial means and a strong reputation have built successful businesses overseas, starting from scratch.
In designing an entry strategy, we take things step by step, listening to your objectives for the region, and provide advice on how the alternative approaches match with each aspect of your objectives. Is your objective to gain revenue quickly, or to gain first-mover advantage? Do you need to have direct control over the sales activity, or are you hoping that a partner will take the initiative? Often, the implications of primary objectives appear to conflict with secondary objectives. We have helped many clients to craft a strategy that is unique for their product and service and which best balances all the objectives. In this process, we also provide market intelligence, such as comparables of similar US companies who have had success in the overseas market, including intelligence on local prospective partners and supporting services.
An important point is to plan so that your initial entry method does not constrict your long term objectives. For example, if you plan from the beginning for the transition from a distributor relationship to direct sales, you can avoid a lot of pain and lost opportunity.
We help companies to establish dealers, master distributors, joint ventures, technology licensing, as well as to set up an offices for direct sales and/or support.
Options for Overseas Business Structures
Whether you sell directly to end users or license your technology for bundling with other products and services, your overseas business will often be a similar structure. However, the costs and distance of international business and the overseas market requirements may mean either a modification of your home country structure, or a new structure. For example, even if you sell directly to end users in your home country, it is often faster to establish a reseller relationship overseas than to build up your own sales organization there. This comes at the cost of a multi-tier sales structure and some loss of control. In some cases, there are opportunities for licensing a product for bundling with an overseas companies product or service. We can help to identify multiple revenue opportunities and revenue streams, and develop a market structure which accommodates all of them.
After developing the entry strategy overseas, we support you to implement the strategy.