Market Entry…Market Sustainability
European Companies – A gateway to America
For European companies Canada is the preferred “beachhead” when entering North America.
Why? ….it’s a lot less expensive with faster results.
Canada has one key central economic point, Toronto. By engaging business in the Toronto region, you can effectively cover Canada. The Canadian market is very similar to the US with standards and business methods, there are nuances though. By entering North America via Canada costs are reduced with its high economic concentration and reduced expenses with profit positive reslts within 2 years.
The US while larger economically will have longer sales cycles, travel requirements with regulatory demands. Revenues in Canada are attainable within the first year of operation reducing risk while at the same time engaging the US tactically with shows and events at lower cost.
Canada is the entry point of many famous companies, Philips, Siemens, Electrolux, Mercedes Benz, Loreal, Hyundai, Honda, Datsun, Volkswagen, Alcatel, etc., and even Ericsson.
American Companies – Effective and Local
Trade agreements and disagreements aside, there are manageable differences. A lot of myths exist about doing business here that still permeate the news, most can be successfully navigated with experience and known and grown relationships.
One of the biggest issues for Canadian companies is being “orphaned”, after the buying decision is made support is often neglected. Canadian companies believe that having a local representative in Canada is mandatory especially from the US which creates an unviable model.
Small issues can take on disproportionate heat eliminating profitability. With both countries so similar and close it’s difficult to justify a local representative. Canadian Presence brings “local-light” with a model that preserves profitability, sustains relationships, ensures growth.