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Market and product analysis
Market and product: demand and supply. This is the first step for any business development. What are the best markets for my products? What are the most effective modification to my product in order to reach new markets and new sectors?
Scouting for opportunities
When market and product are defined, it’s time to scout opportunities, leads and partners. This is a delicate process that has to be performed properly and professionally, as finding the right counterparts makes all the difference between a positive experience and a waste of time and money
Transfer of know-how
Most long term partnerships include some transfer of know-how. This transfer could be related to local production, or to support and servicing, This is always a positive signal: the product is in high demand, and local support will protect it from competitors. Still this process can have some risk, specially if it is neglected. Experience and full dedication are very important here, as the investments related to this kind of operations are high.
Settlements abroad
Local settlements have many different forms. It could be a simple branch office to monitor the market, a commercial offices to boost sales, and after-sales servicing to support the local customers, or even a local production site to supply locally our product. Each settlement has its characteristics, and all of them have to be followed with care along the process: legal settlement, trusted advisors, local people and team building, transfer of uses, processes and company culture. None of those elements can be neglected.
Business cases
Italian market: biogas
Italian well known manufacture and industrial sector heavily depends upon energy intensive processes that involve a huge demand for gas. For this reason biogas and renewable energy sector in Italy is very important, super-competitive and rich in technologically advanced local players. For a foreign company is not easy entering in this market: it takes plenty of efforts, adaptations, time and contacts in order to be recognized as a reputable player.
In Summer we defined an ambitious plan to introduce a French company in this market. In November Phase I was successfully completed, with an active participation in the most important Italian exhibition of this sector and with the public introduction of the key-assets and activities of the company. Plenty of leads and opportunities were collected: they will be the base of the next phase.
North American market: DHC
Sometimes successful companies neglect to differentiate. I think it’s understandable: high demand drains most resources and looking for extra demand seems to be overwhelming. Neglecting differentiation is understandable in the beginning, but on the long term can be dangerous, because high demand requires big size and increasing costs, while the market will remain the same. In case of shock in the market, the company will have high costs and no plan-B in a different market or sector to absorb the shock.
A successful Italian company delegated us looking for new and different markets while they focus on the high demand they are facing in their traditional market. Promising opportunities emerged in North America during the scouting phase (Phase I) and 40 interesting leads were defined. In the next phase a plan of actions will follow.