Grow Your Presence in the Asia-Pacific Region
Expand in Apac
We are a business consultancy focused on market diversification in the Asia-Pacific (APAC) region. Through first-hand insight into the market, we help businesses formulate realistic strategies for the region and see them through to implementation. Whether you are a Small or Medium-sized Enterprise (SME) looking at market entry or an international company looking to expand your presence in the APAC region, we are here to help you achieve full potential in your target market.
Our consultants have worked in Asia and Europe as both manufacturer and distributor. We therefore adopt a comprehensive and objective approach in providing our clients practical advice and invaluable insight. We place particular emphasis on regional business processes, value chain as well as local/regional geopolitical influences in formulating our approach. In particular, de-risking and supply chain independence have become important issues to consider in post-COVID corporate growth strategies.
In building up profitable and sustainable businesses in the APAC region, we help our clients navigate socio-political uncertainties and overcome intercultural business communication barriers. Whether you are looking to invest or trade in the APAC region, let us be your bridge to a region of promising, robust growth.
Services
We focus on, but are not limited to, the following industries:
We offer the following modules within the scope of our three main services.
These can be flexibly combined according to your needs.
ME1: Programming
- Initial market survey and analysis
- Initial business planning
ME2: Conceptualisation
- Review of current business activities in target country
- Goal definition for target market
ME3: Master Planning
- Market-driven specification of requirements for potential business partners
- Evaluation of potential business partner(s)
ME4: Implementation
- Preparation of both parties (distributor and manufacturer) on business and cultural expectations
- Introduction between both parties
- Support negotiation process and mutual agreement for cooperation – conclusion with official appointment and contract
MEO1: Handover
- Optional: organize and lead in-person introductory meeting between client and business partner
MEO2: Handover
- Optional: extended support to lead kickoff meeting in person with local partner (if necessary in local language) for training and further cooperation
ST1: Programming
- Comprehensive market analysis by country or region (eg. North Asia, ASEAN) – industry, environment
- Examination of geopolitical factors and their effect on business in target country or region
- Analysis of competitors and complementors
ST2: Conceptualisation
- Review of current business activities and profitability in target country
- Appraisal of company resources and capabilities
- Value chain analysis
- Goal definition for target market
ST3: Master Planning
Formulate market entry and expansion strategies based on internal and external analyses (ST1, ST2):
- Commitment level for market entry
- Supply chain
- Sales channels
ST4: Implementation
- Alignment of supply chain with corporate strategy
- Implementation of market entry and expansion strategies in business activities eg. production, marketing, sales, logistics
TR1: Seminar
- Day seminar “Business in the APAC region” – overview of business climate in the APAC region and how geopolitical factors affect regional business
TR2: Workshop
- Workshop – understanding the APAC region, sales channels, dealing with distributors, logistics and import/export requirements
TR3: Training
- Intensive training for manufacturer’s sales team according to market segment
- Product pricing, project approach and proposals
- Support team training
- Assessment of individual team members
TR4: Training
- Intensive training for distributors/business partner’s sales team
The following are some examples of our package combinations.
Please contact us for customized arrangements according to your needs.
Expanding in the APAC region
Capitalise on Regional Trade Agreements
You have identified a potential market in Asia and plan to export your products there. As a European company, you benefit from bilateral free trade agreements (FTAs) between the EU and countries/regions in Asia. If you want to take a step further and establish yourself closer to your target market, you may benefit from regional FTAs to competitively produce and export your products within the region.
Bilateral and regional FTAs in place include:
- EU-Japan EPA
- EU-Singapore FTA
- EU-South Korea FTA
- EU-Vietnam FTA
- ASEAN Free Trade Area (AFTA)
- Regional Comprehensive Economic Partnership (RCEP)
- Comprehensive and Progressive Trans Pacific Partnership (CPTPP)
- Digital Economy Partnership Agreement (DEPA)
For businesses to export their products under these preferential trade terms, they need to be aware of the following:
- Harmonized System (HS) code of their products, as well as product code in Europe and the destination country where applicable
- Their product satisfies the Rules of Origin under the specific trade agreement
Distribution channels and choosing a distributor
In most of the Asia-Pacific region, it is wise to work through a local distributor to sell your products in the market. This helps overcome logistical challenges (especially non-tariff trade barriers during import) and breaks down existing communication barriers with local authorities and customers. An established distributor would already have a network of reliable contacts through which your products can be brought to market at the quickest time possible. For high-end products, an established distributor could even provide the necessary on-site technical assistance to service end-customers with a quick turnaround time.
The choice of a suitable distributor/business partner is of utmost importance from the outset. Time and effort needs to be invested in grooming a successful business relationship. A poor partnership can cause a big setback for businesses in their plans for market expansion. As a general rule of thumb, the basic criteria are as such:
- Local customer network
- Capital
- Willingness to invest
- Capability of commercial and supporting teams
- Compatibility of mindset
Working with a business partner in Asia
Many European/American companies find their working relationship with local Asian partners to be complex and incomprehensible. This causes them to lose confidence in their influence over local market development strategies, resulting in conflict. Understanding and appreciating the differences in cultural business attitudes between European/American and Asian companies help avoid such scenarios.
Loyalty and sincerity are highly valued among the business community in Asia. Based on these values, business relationships are gradually groomed over time to build up trust between business partners. Transparency and accountability, an integral part of European business operations, are for Asian businesses inseparable from trust.
Going through shared experiences and surmounting challenges together help build up trust. At Expand in APAC, we advise companies to take an active role in training and guiding local teams in the acquisition of new accounts, as if they were their own employees. Doing so helps align the expectations of both parties and creates synergies for tackling market challenges together.
THE APAC MARKET IN FIGURES
Number of countries/territories
Population
Top GDPs in APAC region (2022)
EU top trade partners
in APAC region (2022)
EU-China trade volume (2022)
*Top imports: telecommunications equipment, automatic data processing machines, electrical machinery and apparatus
*Top exports: Motor cars and motor vehicles, electronic tubes, valves and related articles, motor vehicle parts
EU-ASEAN trade volume (2022)
*Top imports: Machinery and transport equipment, agricultural products, chemicals
*Top exports: Machinery and transport equipment, chemicals, agricultural products
Largest ASEAN destinations for EU exports of goods (2022)
EU exports of food, feed and food ingredients (2022)
EU exports of medicinal, pharmaceutical and laboratory products (2022)
*Source: World Bank, Eurostat
External links
European Commission Free Trade Agreements (Non-EU markets) : https://trade.ec.europa.eu/access-to-markets/en/content/free-trade-agreements
EU Customs Portal – European Database for HS code, Customs Tariff Number : https://www.tariffnumber.com/
German Chambers of Commerce Abroad (AHK) : https://www.ahk.de/en/locations-worldwide/asia-pacific
Germany Trade and Invest (GTAI) in Asia : https://www.gtai.de/de/trade/welt/asien
European Commission South-east Asia IP SME Helpdesk : https://intellectual-property-helpdesk.ec.europa.eu/regional-helpdesks/south-east-asia-ip-sme-helpdesk_en
European Commission China IP SME Helpdesk : https://intellectual-property-helpdesk.ec.europa.eu/regional-helpdesks/china-ipr-sme-helpdesk_en
Eurostat international trade in goods statistics : https://ec.europa.eu/eurostat/web/international-trade-in-goods/overview
World Bank open data : https://data.worldbank.org/
International Monetary Fund data portal : https://www.imf.org/en/Data
Our Team
We draw on more than thirty years of combined experience in business development to help our clients expand in the APAC region. Our team of consultants boast first-hand working experience not only on the ground as distributors in Asia, but also as manufacturers in Europe. This stands us in good stead to help our clients navigate the complexities of the Asian market while placing in focus the priorities and business values central to European businesses.
We work with a strong and reliable network of agents, distributors and partners across the APAC region. Our consultants have practical, first-hand experience in market development from China to New Zealand aided by fluency in more than seven European and Asian languages and dialects at a professional level. Through our experience, we offer a comprehensive, practical and hands-on approach, combining a broad view of regional geopolitical factors, trade agreements and international logistics through to the specifics of marketing and sales channels.
Contact Person (International Businesses)
Partners
Besides working with a broad network of agents and distributors in the region, we also collaborate on extensive projects together with our regional partners. These may be local experts in specific industries or companies that offer complementary functions, such as local company registration, fundraising and investment, legal advice as well as training/coaching for intercultural communication. In so doing, we are able to offer more comprehensive solutions for our clients