We are all aware of the hostile economic climate, with new tariff threats emerging. But what options exist as our southern neighbor becomes less inclined to import Canadian goods and services?
The inter-provincial borders have been an effectual hindrance to trade between our provinces, and the movement to reduce them seems to be moving quite fast for the moment. This is all good and a big step forward in getting businesses access to all parts of our country.
But what about exporting overseas?
We have become accustomed to the U.S. absorbing most of our exports, approximately 80%. This has been easy with the trade deals we’ve had, but now that they are disappearing, could it be an option to export to Europe and the EU – one of the world’s largest single markets?
What would it be like to export to those parts of the world? We gathered some of our insights on what you need to consider if you would like to export to Europe. It may not be imminent, but staying aware of options and maintaining control – being proactive instead of reactive – is a way to prepare for an uncertain future.
We come from an export-intense environment. What are our experiences?
The DNA of Swedish companies is Export. As a small country, we have to find larger markets to offset what we produce. This forces us to overcome the hurdles when it comes to launching products and services in new markets.
Since we established our business in Vancouver, Canada, we would like to share what we have learned. We hope that this can encourage companies in B.C. to establish themselves in Europe.
Key takeaways
Europe is not one country.
It is tempting to treat Europe as one region. But the differences are significant. The business climate, culture, and competition can differ quite a lot. Launching in Spain, Greece, and France can be very different – you have to adapt.
Find the ideal market for your proposition.
Depending on what you offer, it is wise to carefully pick what region to launch in first. It gives a smoother start and sets a standard you can learn from.
There are no holes to fill. It’s tough competition.
There is rarely anyone sitting and waiting for Canadian companies to fill gaps in demand. The competition is tough, and they are used to doing business in the EU. To get faster access, try to find alliances or cooperate with strategic partners.
Take legal control.
Be cautious to protect your intellectual property rights and ensure that, for instance, your brand is protected in the right areas. There is EU protection you can apply for, but you must also be aware of regional differences that can be expensive to neglect.
There are also many other aspects you have to consider as, e.g., CE marking (assessed to meet high safety, health, and environmental protection requirements; equivalent to Canada’s ISED), data protection (GDPR) and environmental regulations. The Canada-European Union Comprehensive Economic and Trade Agreement (CETA) is the trade agreement between Canada and EU. It is still not ratified by all members, but it’s worth looking into.
Conclusion
To start the process of discovering if expanding in/to Europe is an option for your business, you need to analyze the markets thoroughly, establish strategic alliances, and create a tailored marketing strategy.
But don’t be paralyzed by action. Take steps that move you towards a go/no-go decision. Being proactive is always an advantage when it’s time for a shift.
If you want a speaking partner, we are happy to help.
Links
We are all aware of the hostile economic climate, with new tariff threats emerging. But what options exist as our southern neighbor becomes less inclined to import Canadian goods and services?
The inter-provincial borders have been an effectual hindrance to trade between our provinces, and the movement to reduce them seems to be moving quite fast for the moment. This is all good and a big step forward in getting businesses access to all parts of our country.
But what about exporting overseas?
We have become accustomed to the U.S. absorbing most of our exports, approximately 80%. This has been easy with the trade deals we’ve had, but now that they are disappearing, could it be an option to export to Europe and the EU – one of the world’s largest single markets?
What would it be like to export to those parts of the world? We gathered some of our insights on what you need to consider if you would like to export to Europe. It may not be imminent, but staying aware of options and maintaining control – being proactive instead of reactive – is a way to prepare for an uncertain future.
We come from an export-intense environment. What are our experiences?
The DNA of Swedish companies is Export. As a small country, we have to find larger markets to offset what we produce. This forces us to overcome the hurdles when it comes to launching products and services in new markets.
Since we established our business in Vancouver, Canada, we would like to share what we have learned. We hope that this can encourage companies in B.C. to establish themselves in Europe.
Key takeaways
Europe is not one country.
It is tempting to treat Europe as one region. But the differences are significant. The business climate, culture, and competition can differ quite a lot. Launching in Spain, Greece, and France can be very different – you have to adapt.
Find the ideal market for your proposition.
Depending on what you offer, it is wise to carefully pick what region to launch in first. It gives a smoother start and sets a standard you can learn from.
There are no holes to fill. It’s tough competition.
There is rarely anyone sitting and waiting for Canadian companies to fill gaps in demand. The competition is tough, and they are used to doing business in the EU. To get faster access, try to find alliances or cooperate with strategic partners.
Take legal control.
Be cautious to protect your intellectual property rights and ensure that, for instance, your brand is protected in the right areas. There is EU protection you can apply for, but you must also be aware of regional differences that can be expensive to neglect.
There are also many other aspects you have to consider as, e.g., CE marking (assessed to meet high safety, health, and environmental protection requirements; equivalent to Canada’s ISED), data protection (GDPR) and environmental regulations. The Canada-European Union Comprehensive Economic and Trade Agreement (CETA) is the trade agreement between Canada and EU. It is still not ratified by all members, but it’s worth looking into.
Conclusion
To start the process of discovering if expanding in/to Europe is an option for your business, you need to analyze the markets thoroughly, establish strategic alliances, and create a tailored marketing strategy.
But don’t be paralyzed by action. Take steps that move you towards a go/no-go decision. Being proactive is always an advantage when it’s time for a shift.
If you want a speaking partner, we are happy to help.