A manufacturer of help desk products wanting to break into the German market and called on our expertise.

The client being new to the international scene, it was important for us to go over some of the basics. As we expounded on the realities of an already active and sometimes saturated market, they were able to understand the longer period between project start to product introduction, as well as the added costs of operating in an international arena.

We created a marketing strategy together with the project team which took into account added costs and time tables. An initial investment of US$50,000 is all it took for the company to reap a total of US$400,000 in licensing sales for the first year.

Now for a great story turned sour. An American ERP company which didn't have the same expertise on the international scene snatched up the small manufacturer and a new company culture prevailed. The stable, "take everything into account" strategy was replaced by an aggressive, "fast and furious" one.

Three years later, the company operates its own subsidiary in Germany manned with two sales people and three technicians. Yearly sales has only risen to US$800,000. Compared to the additional effort and cost, one would have certainly hoped for a better return on investment.

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