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The Economic Cooperation between Vietnam and Australia

Picture - Local Insight Vietnam Australia
May 2024

Since establishing diplomatic relations in 1973, Vietnam and Australia have cultivated a strong and durable relationship, bringing diverse and growing interests. Currently, bilateral relations continue to grow, and Vietnam is considered one of Australia’s most important partners.

In 2023, Vietnam and Australia celebrated the 50th anniversary of their diplomatic relations.

What is the Australia-Vietnam Enhanced Economic Engagement Strategy (EEES)?

Recently, in March 2024, the two countries elevated their relations to a comprehensive strategic partnership. This partnership aims to strengthen bilateral cooperation in various fields, including climate, energy, trade investment, digital transformation, innovation, and security.

This partnership also reflects a shared ambition for the stability and prosperity of the region. Specific initiatives include a peacekeeping agreement, ministerial-level security dialogues, and enhanced cooperation in agriculture and education.

By implementing the Australia-Vietnam Enhanced Economic Engagement Strategy (EEES) across key sectors, both countries aim to become top 10 trading partners and double two-way investment.

  • One of the primary goals of the EEES is to recover the Indo-Pacific region, which suffered and went into recession during the COVID-19 pandemic. Thus, by boosting economic growth and creating jobs, this strategy aims to revitalize the region’s economy, enhancing stability and prosperity for both Australia and Vietnam.
  • Since the establishment of diplomatic relations between Australia and Vietnam, the bond between the two nations has strengthened considerably. Today, « almost 300,000 people of Vietnamese ancestry live in Australia and Vietnamese is the fifth most spoken language in Australia » (source https://www.dfat.gov.au/australia-vietnam/eees/en/strategy/overview.html)

Vietnam and Australia’s Strategic Strengths

On the one hand, Vietnam’s rapid industrialization and strategic location near some of the world’s fastest-growing economies makes it one of the most trade-intensive economies globally. This industrial growth, combined with its strategic geographical position, enables Vietnam to act as a major hub for trade and investment in the region.

Australia, on the other hand, has abundant natural resources and benefits from strong demand within the Indo-Pacific region. Coupled with its effective institutions and governance, these assets make Australia an attractive partner for trade and investment. The country’s stable economic environment and rich resource base provide a solid foundation for sustainable growth.

What are the benefits from both Australian and Vietnamese companies ?

1. Australian companies

The partnership between Australia and Vietnam offers plenty of advantages for Australian companies, positionning them favorably to benefit from the economic dynamism and investment opportunities provided by the Vietnamese market.

Access to a fast growing market

Vietnam is experiencing rapid economic growth, with a steady expansion of its domestic market. For Australian businesses, it represents a unique opportunity to access a flourishing consumer base and diversify their international activities. The growing demand for high-quality goods and services in Vietnam opens up interesting prospects for Australian companies looking to expand their reach and increase their revenues.

What are the investment opportunities for Australian businesses in Vietnam ?

The economic cooperation between the two countries facilitates investments in several strategic sectors. Australian companies aspiring to expand in Vietnam can invest in promising sectors such as :

  • Renewable energy: With an increasing interest in sustainable energy solutions, Vietnam offers fertile ground for investments in green technologies and renewable energy infrastructure.
  • Technology: The Vietnamese market is in the midst of modernization and welcomes technological innovations.
  • Agriculture: Vietnam has a diverse agricultural sector, offering investment opportunities for Australian companies specializing in agricultural technologies, sustainable agriculture, and the export of agricultural products.
  • Education: The demand for quality education is on the rise in Vietnam. Australian educational institutions can take advantage of this trend by establishing academic partnerships, exchange programs, and research collaborations.

2. Vietnamese companies

Vietnamese businesses wanting to set up in Australia can benefit from opportunities for growth and development in this stable and diversified international market.

A stable and diversified market

Australia represents a valuable opportunity for Vietnamese companies. By accessing this market, they can benefit from the economic stability and high incomes of Australian consumers, paving the way for consistent demand for quality products. This stability also provides a favorable environment for Vietnamese companies seeking to establish a long-term presence and mitigate risks associated with economic fluctuations.

What are the export opportunities for Vietnamese companies in Australia ?

The relationship between Vietnam and Australia facilitates the export of Vietnamese products to the Australian market. Key sectors benefiting from this opportunity include :

  • Agriculture: Vietnamese agricultural products such as rice, seafood, and coffee are in high demand in Australia. It enables increased exports and meets the growing demand of Australian consumers for quality food products.
  • Textile: The Vietnamese textile industry can leverage this strategic partnership to export clothing and textiles to Australia. Indeed, Australian consumers have a significant demand for affordable and fashionable clothing, which Vietnam can supply effectively due to its cost-efficient production methods.
  • Electronics and Manufactured Goods: As a manufacturing hub in Asia, Vietnam can increase exports of electronics and manufactured goods to Australia, benefiting from access to a technology-savvy and high-consumption market.

Discover our infographic on the sector-wise trade overview between Vietnam and Australia in 2023:

Infographic - Vietnam and Australia Economic Cooperation

The Healthcare & Life Sciences sector in China

Picture - Local Insight Healthcare & Life Sciences Sector in China
April 2024

China’s Healthcare and Life Sciences sector is among the largest and the most dynamic industries. With an increasing focus on health and well-being, China’s healthcare industry is at the forefront of innovation and expansion.

In this article, ALTIOS’ experts give key insights on the Healthcare and Life Sciences sector in China, and some recommandations to access this market.

The Evolution of China's Healthcare Sector

China’s pharmaceutical and life sciences industry has seen rapid growth in recent years, with pharmaceutical industry sales revenue growing an average of 21.4% annually. New healthcare reform policies gradually implemented by the Chinese government have been accelerating access to drugs in the retail market, away from the traditional in-hospital access.

An accelerating shift in China’s R&D landscape is already leading to increased R&D capabilities of local players, more competition for innovative programs and larger uncertainties for the regulation of clinical studies of overseas compounds. They are collectively challenging MNC pharmas’ traditional, global-centric R&D models and creating a strong impetus for change. China’s evolving landscape provides an array of alternative collaboration models for MNC pharmas to leverage new and emerging local capabilities.

Fill in the form to read the full article:

9 Reasons to Expand in the UAE and Saudi Arabia

Picture - Local Insight UAE and Saudi Arabia
April 2024

If you are considering expanding your business internationally, the United Arab Emirates (UAE) and Saudi Arabia (KSA) offer plenty of business opportunities.

In this article, ALTIOS’ experts give you the top 9 reasons why you should consider establishing yourself in the United Arab Emirates and Saudi Arabia

A Highly Competitive Economy

The United Arab Emirates stands out for its favorable macroeconomic situation, developed infrastructure, and high-income levels. This competitive economy provides a conducive environment for the growth of businesses.

UAE, the Best Place in the World to Start a Business

According to the Global Entrepreneurship Monitor (GEM), the United Arab Emirates is ranked as the best place in the world to start a new business. This distinction stems from the government’s efforts to promote cutting-edge technology and diversify the economy.

Entrepreneurial Vision

The United Arab Emirates and Saudi Arabia have adopted ambitious visions for entrepreneurship in their respective development plans. Initiatives such as the Projects of the 50 in the UAE and Vision 2030 in Saudi Arabia encourage innovation and economic diversification.

A Gateway to Success

The UAE is a true hub to the Middle East, Africa, Central Asia, and the Indian subcontinent. The country is ranked 21st globally for ease of doing business and offers benefits such as streamlined access to building permits and property registration.

Tax Incentives and Financial Support

The governments of the United Arab Emirates and Saudi Arabia offer attractive tax incentives and financial support to international businesses. Programs such as investment grants, tax exemptions, and development funds encourage the establishment of foreign companies and facilitate their growth in the region.

Security and Stability

The United Arab Emirates and Saudi Arabia offer secure environments, with low crime rates and political stability, ensuring the safety of businesses and international residents.

Embracing Cultural Diversity

Dubai is a cosmopolitan city that welcomes expatriates from around the world. This cultural diversity fosters an open and tolerant environment, conducive to establishing fruitful international relationships.

High Quality of Life

The United Arab Emirates and Saudi Arabia offer a high quality of life, with modern infrastructure, quality healthcare services, internationally renowned education systems, and a range of leisure and entertainment options. The year-round sunny climate adds to the appeal of these destinations, offering a relaxed and enjoyable lifestyle.

Networking and Partnership Opportunities

Trade fairs and regular business events in the region provide companies from around the world with unique opportunities to meet potential business partners, establish contacts, and strengthen their presence in these dynamic markets.

Here are some upcoming business exhibitions in the region:

  • SEAMLESS MIDDLE EAST, United Arab Emirates – May 14-16, 2024: Seamless is an ideal meeting place for innovators in sectors such as payment, fintech, identity, banking, retail, e-commerce, home delivery, and digital marketing.
  • CABSAT, United Arab Emirates – May 21-23, 2024: International exhibition of cable, satellite, audiovisual, and telecommunications.
  • GITEX Technology Week in Dubai, United Arab Emirates – October 2024: One of the world’s largest technology fairs, providing a platform for innovative companies to showcase their products and services.
  • Big 5 Expo in Dubai, United Arab Emirates – November 2024: One of the largest construction fairs in the Middle East, providing a platform for construction industry companies to showcase their products and establish partnerships.
  • Arab Health in Dubai, United Arab Emirates – January 2025: A major event in the healthcare field in the Middle East, offering networking and business opportunities for healthcare professionals and companies in the medical sector.

These exhibitions offer a unique opportunity for companies to connect with potential business partners and discover business opportunities in the region.

ALTIOS Middle East is here to help you make the most of these events and realize your international ambitions.

Want to know more?

For any additional information or to discuss your expansion project in the region, please contact Altios Middle East at the following address:

/ FRANCK PLANCHENAULT
Country Manager UAE

f.planchenault@altios.com
t: +971 58 190 00 75

Amendment to Registered Capital Rules for Subsidiaries in China

08 March 2024

China has recently announced a new amendment to its Company Law. This new regulation is directly impacting foreign companies operating within its borders.

In this article, ALTIOS’ experts answer all your questions about this new regulation.

What is the new amendment to the Company Law in China?

The National People’s Congress (NPC)’s Standing Committee adopted the new Amendment to China’s Company Law (applicable in Mainland China only) on December 23rd, 2023. It will take effect on July 1st, 2024.

This regulation will directly impact foreign companies operating within its borders. All private companies with the status of “Limited Liabilities Companies” (有限公司) will be concerned. The companies that refuse to comply with this new amendment will receive a fine.

How will the amendment affect new entities in China?

Newly established entities in China are required to comply with the new capital requirements within a 5-year timeframe starting from July 1st, 2024. They must pay their full capital during this period.

What about existing companies in China?

Existing companies in China must comply with revised time limitations for the payment of their subscribed capital starting from July 1st, 2024. They need to pay the rest of the subscribed capital within 5 years, with an adjustment period between July 1st, 2024, and June 30, 2027.

Companies already established in China will have to choose between :

  • paying the full capital
  • adjusting the capital amount
  • aligning the registered capital with what has already been delivered
  • closing their companies

Is this a common problem?

Quite common. This is because any changes to business licenses need approval, and the system before meant companies may include room for ambitious expansion. Also, some foreign companies have adjusted their plans since COVID or put plans on hold without revisiting their registered capital. The new regulations mean this is the right time to address these issues.

What is the goal of this regulatory change?

This change aims to enhance transparency and integrity within the corporate sector in China, attract more mature and sustainable projects, and ensure that Directors, supervisors, and management face greater personal liability. This also enhances corporate accountability and governance standards.

How does this amendment reflect on China's international business alignment?

The amendment signifies China’s efforts to align its business environment with international standards and best practices by enhancing transparency through improved information disclosure and ensuring the solvency of companies. This reform protects the rights of companies and creditors and fosters a conducive environment for foreign investment.

How can we help?

Our corporate services team in China can help you smoothly fix these issues or can manage all your accounting and compliance requirements, so you do not need to worry about keeping on top of issues like this.

If you need assistance with the set-up of local entities, restructuring, or the closing of companies, we’ve got you covered. Additionally, we can support you with the relaunch of activities and planning, including studies and business plans.

If you have a dormant subsidiary, we can help you close it, or we can help you consolidate your China business in an effective way to hire and manage the right team to support your suppliers and distributors across Greater China.

We can assist foreign companies already set up in China or planning to expand there in adjusting their capital or re-editing a new business license in China.

The Fintech Ecosystem in Brazil

Picture - Local Insight : the Fintech Ecosystem in Brazil

February 2024

The Fintech Ecosystem in Brazil is continuously expanding. With the largest financial market in Latin America, the country has became the biggest hub in this region.

In this article, ALTIOS’ experts share how foreign companies can take advantage of the Fintech Ecosystem in Brazil.

The Brazil's Dynamic Ecosystem

Financial transformation is experiencing a global wave of growth, and Latin America is no exception in leveraging these new technologies to improve access to financial services for its population.

Brazil hosts a continuously expanding FinTech ecosystem with over 1500 startups. These startups encompass a wide range of areas, from digital payments to investment platforms and online lending.

In 2023, approximately 1505 fintech companies were registered, almost half being local companies (447 local fintech).

According to the International Monetary Fund, the proliferation of new financial technology and digital banks is associated with a reduction in lending spreads. Fintech companies do not just compete with banks and insurance companies; they also provide banks and insurance companies with new technologies and services. Indeed, the line between traditional financial companies and fintech companies has already begun to blur.

Infographic - Finnovating Analysis Brazil FinTech Landscape 2023

Brazil's Fintech Dominance: Pioneering Regulation and Market Growth

Brazil is the country with the largest number of fintechs in Latin America, representing more than 30% of the region’s total and accounting for 58% of venture capital transactions in Latin America. In addition, the largest digital bank on the continent was born in that country, Nubank, which has a valuation of more than US$50 billion and has already made its debut on the New York Stock Exchange.

Another factor that has driven the growth of the fintech sector in Brazil has been the progress in the regulation, which is characterized by encouraging and facilitating development scenarios for the industry. In 2013, regulation for payment institutions was issued to allow these entities access to the Brazilian payment system, which was only for banks.

Picture - Market Growth Fintech Brazil

In 2018, the Central Bank of Brazil gave the endorsement for fintechs to provide credit without requiring the intermediation of banks. It has also implemented regulations to regulate cybersecurity and crowdfunding activities. Another initiative has been the ‘open banking’ model, which allows the exchange of data between financial institutions.

The main destination countries for Brazilian startups are in Latin America and the Caribbean. According to Finnovista statistics at the end of 2022, the largest share are Mexico, with 22%; Chile, with 14%; and Colombia, with 9%. Outside the region, the country’s fintechs have expanded to the U.S. (11%), Europe (6%) and Asia (3%).

In addition, the high penetration of technology and the internet in Brazilian society has made it possible to exploit financial services through these means, encouraging customer participation and helping financial inclusion.

Fintech Regulatory Framework

Brazil and Mexico are two of the leading countries in the regulation of fintechs in Latin America. Both have taken steps to foster the growth of this industry while protecting consumers and ensuring financial stability.

In Brazil, the Central Bank has created a specific regulatory framework for fintechs with the objective of fostering innovation and growth of the industry, while ensuring compliance with international regulatory standards. The regulatory framework includes the creation of a specific registry for startups in the sector, the supervision of the activities of these companies and the implementation of security measures to protect consumers.

Picture - Regulatory Framework Fintech Brazil

For its part, Mexico’s National Banking and Securities Commission (CNBV) has taken similar steps to regulate fintechs. The CNBV has established a regulatory framework for fintechs that includes the supervision of the activities of these companies, the creation of a specific registry and the implementation of security measures to protect consumers. In addition, Mexico has developed a favorable ecosystem for the growth of fintechs, with a large number of investors and a growing user base.

Ecosystem mapping in the region

The Inter-American Development Bank (IDB) has reported that Latin America’s fintech sector grew by 112% between 2018 and 2021.

According to the IMF, three key factors seem to have fueled the fintech boom in Latin America:

    • limited access to finance from banks and insufficient competition among banks
    • improvements in digital infrastructure
    • access to venture capital.

In this sense, some Latin American fintech sectors have all grown exponentially:

Digital payments grew from $89 billion in 2017 to $215 billion in 2021 and the number of users of digital payment services exceeded 300 million in 2021. Digital banks had more than 30 million users in 2021, mostly concentrated in Brazil and Mexico.

Business-to-business (B2B) fintech startups providing technological solutions to existing financial institutions on average grew annually by almost 50 percent between 2017 and 2021.

Figure: Distribution of Fintech Companies in Latin America and the Caribbean in 2021

Figure: Evolution of the number of Fintech Companies in Latin America and the Caribbean (2018-2021)

Graph - Evolution of the number of Fintech Companies in Latin America and the Caribbean (2018-2021)

What are the Market Trends and Opportunities for 2024?

Growth of Digital Payments

Digital payments will continue to gain ground in Latin America. McKinsey estimates that the value of digital payments in the region will reach $2.5 trillion by 2025. This momentum is attributed to factors such as increased smartphone penetration, continued improvements in telecommunications infrastructure and the growing adoption of contactless payment solutions.

Development of Open Banking

The open banking trend is gaining momentum in Latin America. Open banking allows users to share financial data with authorized third parties, such as Fintech companies, to access new financial products and services. According to the Allied Market Research report, the open banking market is projected to reach $43.152 billion by 2026.

Rise of Cryptocurrencies

Cryptocurrencies are gaining ground in Latin America, with 46% of banked individuals willing to make payments with bitcoin. Experts highlight that cryptoasset companies are evolving into end-to-end financial technology providers, acting as one-stop shops for investors, consumers and other companies.

To sum up, the Brazilian market is considered a benchmark in the region for the Fintech industry. This is mainly due to “the size of the market” in Brazil, where 84% of the adult population in a country of 203 million inhabitants is banked.

It is also due to the fact that few banks control this large market, which generates multiple problems that entrepreneurs are trying to solve. A great example of this is NuBank, a provider of credit cards and banking solutions facilitating their use and reducing complicated bureaucratic aspects. Nubank is already considered the largest digital bank in the world outside of Asia and is the largest Fintech company in Latin America. In late 2021, it launched its IPO and went public on the New York Stock Exchange, becoming the most valuable company in Latin America.

Want to learn more?

If, like NuBank, you want to identify business needs that turn into global success, contact us or book an appointment with one of our experts! We can accompany you in your international growth project.

In addition to this article, read about the aerospace industry in Mexico.

Green Transformation: What European Green Deal means for your Business

Picture - European Green Deal

January 2024

Amidst a global awakening to environmental imperatives, the European Union has launched a major initiative: the European Green Deal. Recognizing the pressing challenges of climate change, biodiversity loss, and resource depletion, the Green Deal stands as a resolute commitment to reshape the trajectory of the European economy.

What is the EU Green Deal?

Since the Paris Agreement, the European Union has been committed to achieving carbon neutrality by 2050 to reduce climate change. The European Green Deal represents a series of measures to guide the European Union towards an ecological transition. Launched in December 2019 by the European Commission, the Pact aims to outline a roadmap (set by the IPCC) to avoid exceeding the 2°C warming limit (compared to the pre-industrial era). Thus, two main axes have been identified:

  • The financing of the environmental transition is supported by robust investment plans. These plans involve investment funds such as Invest EU, operating with a financing structure shared between the public and private sectors, each contributing 50%. To further facilitate private investments, mechanisms such as taxonomy, which includes a carbon tax on New Carbon Forest Agreements (NACF) are implemented. Moreover, the Non-Financial Reporting Directive (NFRD) will progressively be succeeded and replaced by the Corporate Sustainability Reporting Directive (CSRD).
  • The operational transposition of the Green Deal, with the establishment of new policies (agricultural, energy…) or customs procedures. In addition, it plans to end carbon quotas by 2032-2034 and initiate the CBAM (Carbon Border Adjustment Mechanism), incorporating a new carbon tax at the borders for raw materials and semi-finished products that are most polluting and produced abroad.

The European Green Deal’s transformative impact extends beyond environmental protection, offering considerable potential for economic growth, job creation, and technological advancement. The integration of key policies like the Farm to Fork Strategy and the New Action Plan for the Circular Economy underscores the deal’s commitment to creating a more sustainable Europe.

What is the aim of this initiative?

Europe is firmly committed to a circular economy to adopt a sustainable model. Its main objectives by 2030 are to:

  • Tackle Climate Change: Reduce greenhouse gas emissions by at least 55% (compared to 1990 levels) and become the first climate-neutral continent by 2050.
  • Protect the Earth’s resources: Preserve and restore ecosystems and biodiversity
  • Develop a clean and sustainable economy: Mobilize industry and provide clean, affordable, and secure energy (Circular Economy Action Plan)
    • Invest 1 trillion € in clean energy investments
    • Reduce energy consumption by 32%
Picture Circular economy

What impacts on Businesses?

The European Green Deal will introduce stricter social and environmental sustainability requirements for primary and industrial production. SMEs from third countries will need to provide more detailed information on products they export to Europe. Production and export costs may increase in the short term, but it will also enhance competitiveness in a sustainable global market in the long term.

Companies will also be encouraged, or even required, to adopt cleaner sources of energy. This could involve switching to renewable energy, improving operational energy efficiency, and investing in more environmentally friendly technologies.

The CSRD Directive will be a turning point for corporate transparency. Implemented on January 5th, 2023, it aims to :

  • standardize sustainability reporting for companies and enhance the availability and quality of the disclosed data.
  • strengthens the actions of economic actors (develop a CSR policy to reduce negative impacts and anticipate risks for companies)
  • foster more sustainable finance

Consequently, a broader set of companies will now have to comply with mandatory European sustainability reporting standards and provide detailed information regarding their risks, opportunities, and material impacts associated with social, environmental, and governance considerations. They will be responsible for measuring their impact and auditing their first-tier partners in France and abroad.

Infographic - Timeline Green Deal

According to their measured impacts, they may access financing at preferential rates. Thus, financial institutions will no longer fund companies or projects generating excessively negative impacts. Companies already subject to the NFRD will be the first ones to publish their reports (2025) according to these new rules.

Want to learn more?

ALTIOS’ teams can help you succeed in your internationalization strategy: improve your global performance by combining growth and environmental responsibility. Contact us or book an appointment with one of our Experts for more information.

Poland, a European hub for Healthcare innovation

Picture - Local Insight Poland: A European Hub for Healthcare Innovation
January 2024

Poland invests a lot in healthcare innovation, presenting a wealth of opportunities for international companies seeking to expand their businesses into this dynamic market. With a growing demand for medical services, increasing expenditure, and a strong focus on innovation, Poland is about to become a major hub for the Central and Eastern European (CEE) region.

In this article, ALTIOS’ experts share how foreign companies can take advantage from the healthcare sector in Poland.

What to know about the healthcare system in Poland

Infographic Healthcare in Poland

The Polish healthcare system is rapidly evolving, marked by significant developments in both the public and private sectors. Public expenditure on healthcare innovation is expected to reach 196 billion PLN (43.5 billion euros) in 2024, representing around 6.2% of the GDP. The projection for 2027 anticipates a further increase to 7%, reflecting the government’s commitment to improving healthcare access and quality.

The private healthcare market is also experiencing notable growth; expenditure on private medical services including spending on drugs and non-drug services exceeded 70 billion PLN (15.5 billion euros) in 2022. Between 2023 and 2028, it is expected to grow at an annual rate of 7%, as more and more Polish turn to private providers for faster and more personalized care. In the third quarter of 2023, around 4.7 million Polish opted for private health insurance, marking a 15% year-on-year increase. Health packages, a popular employee benefit, are a major driver of the subscription and medical insurance market, generating substantial revenues of 6.9 billion PLN (1.5 billion euros), with expectations of 15-20% annual growth until 2026.

Poland’s commercial clinical trials market is also thriving, valued at over $1.4 billion as of 2022. This segment represents about 15% of the country’s Research and Development (R&D) spending and has captured the attention of both foreign and domestic investors. Several acquisitions have been made in recent years, indicating the strong growth potential of this market.

Emerging trends in the Polish healthcare sector include a focus on cancer therapies, particularly on fast-track treatments for cancer patients. Additionally, there is a growing awareness of well-being topics, encompassing physical and mental health, in corporate and private contexts.

Healthcare innovation in Poland: What are the advantages?

The healthcare industry is progressively embracing digital solutions to enhance the efficiency of patient appointments and treatment processes. Since 2019, the country has mandated the use of electronic medical records (EMRs) and e-referrals, solidifying the sector’s commitment to digitalization. This digital transformation, however, needs robust cybersecurity solutions tailored specifically for the healthcare sector.

In addition to this keen appetite for new technologies, there is a high demand for medical services and growing expenditure on health. The sector is experiencing progressive consolidation, with major players such as LuxMed, Medicoer, and PZU leading the way.

The Polish healthcare sector has emerged as a leader in startup financing rounds in Poland, accounting for a significant 15% share of all startup transactions between 2020 and 2021. Top medical and healthcare startups include DEBN, StethoMe, and DocPlanner.

Picture - Healthcare in Poland

What challenges to face when exploring the Polish healthcare industry?

The Polish healthcare market is dynamic and growing, but it also presents challenges for global expansion.

  • One of the significant challenges in the Polish healthcare industry is the severe shortage of professionals, including doctors, nurses, and also specialized fields such as psychiatrists, geriatricians, and pediatricians. This scarcity poses a considerable barrier to recruitment efforts. Within the next decade, the number of nurses could potentially decrease by 80,000, significantly reducing the potential of the group by ¼. Also, although the number of places in medical faculties is rising by 7% each year, the number of places in specialized medical programs is not increasing.

  • The Polish healthcare system is also complex. It bifurcates into two distinct paths: the National Health Fund (NFZ) and private medical care. Private medical care offers faster and more comprehensive care, but it is paid for by the patient. The NFZ provides access to healthcare for all, but waiting times are often extended, and the system of refunds from public sources is very complicated and unclear.

Would you like to develop your business in Poland?

If you are interested in more insights on the Polish market, read our last article IT sector in Poland 2023: what opportunities for international companies or reach out to our experts.

What are the advantages of the Australian market?

Advantages of the Australian Market - Photo

December 2023

Australia has a stable and diversified economy, from robust mining and agricultural sectors to growing expertise in technology industries. Its strategic geographic position makes it a key player in international trade, with close commercial links with Asia-Pacific and the Middle East.

In this article, ALTIOS’ experts share how foreign companies can take advantage from what Australia has to offer.

Australia's Economic Excellence

Considered as a model of economic stability, Australia boasts a resilient economy, characterised by steady GDP growth and remarkably low inflation rates. Despite global economic challenges, Australia has maintained robust GDP growth, averaging an impressive 2-3% per year, renforcing its status as an attractive investment destination.

Australia is distinguished by the diversification of its economy, covering key sectors such as mining, agriculture, services and technology. This diversification not only promotes resilience, but also reduces dependence on any single sector. With services accounting for around 60% of Australia’s GDP, alongside significant contributions from mining, manufacturing and agriculture, Australia’s economic landscape offers a wealth of investment opportunities.

Australia’s stable and well-regulated financial sector, which accounts for more than 8% of GDP, is also a key pillar of this economic success. This strength enhances the overall attractiveness to international investors seeking a safe and prosperous market.

In navigating the global business landscape, Australia stands as a strategic partner, providing a stable platform for growth, diverse investment opportunities, and the assurance of a well-regulated financial environment.

A global innovation hotspot

Australia is swiftly solidifying its position as a global innovation hub, drawing substantial investments in research and development. With an annual allocation exceeding $10 billion, the nation is propelling technological advancements and fostering an environment conducive to innovation. This commitment, one of the big advantages of the Australian market, positions it as an ideal destination for businesses seeking to thrive on the forefront of cutting-edge technologies.

Complementing this innovation drive is Australia’s robust commitment to infrastructure development. Ongoing investments, exemplified by the $110 billion National Infrastructure Plan, are strategically enhancing connectivity across transport, energy, and digital sectors. These developments not only bolster economic growth but also streamline operations for companies, creating a seamless environment for international enterprises to operate efficiently and prosper. Australia’s fusion of innovation and infrastructure lays the groundwork for a dynamic and forward-looking business landscape.

A winning combination of good education and quality of life

Australia presents a compelling proposition for international expansion, combining a highly educated and skilled workforce with an exceptional quality of life. With approximately 40% of Australians aged 25-34 holding tertiary qualifications, the country stands as an ideal destination for companies in search of top-tier talent and expertise.

Beyond professional considerations, Australia offers an unparalleled quality of life, making it an attractive haven for professionals and their families. Renowned cities like Melbourne and Sydney consistently rank among the world’s most livable, contributing to an elevated quality of life that goes hand-in-hand with the opportunities for professional growth. The synergy of a skilled workforce and an exceptional quality of life positions Australia as a strategic choice for businesses aiming to expand internationally.

Advantages of the Australian Market - Melbourne

The "Land Down Under"

Australia emerges as a pivotal player for international expansion, strategically positioned as a gateway to the dynamic Asia-Pacific region. With a geographic location that provides unparalleled access to a market exceeding 4.5 billion people, businesses can capitalize on Australia’s unique position to tap into the vast and growing opportunities within the Asia-Pacific market.

In addition to these strategic advantages of the Australian market, Australia has an abundance of natural resources, a cornerstone of its economic strength. Boasting a leadership role as a global exporter of resources such as coal, iron ore, gold, and agricultural products, the country becomes not only a gateway to markets but also a source of valuable resources for industries worldwide. We therefore advise you to make the most of Australia’s strategic location and resource-rich landscape, unlocking the full spectrum of opportunities for your business.

Australia's Pillars of Trade and Stability

Australia emerges as an international business hub, underpinned by robust trade relationships and unwavering political stability. The country’s strong trade ties with global economic powerhouses, including China, Japan, and South Korea, are facilitated by free trade agreements, creating an advantageous environment for international business activities.

Beyond commerce, Australia is distinguished by its political stability and transparent governance, laying the foundation for a favorable business environment. Consistently ranking high in global indices for political stability and transparency, Australia provides businesses with the confidence and security needed to thrive in the international arena.

Would you like to go further and develop your business in Australia?

Season's Greetings 2024!

The ALTIOS teams around the world wish you all the best and a wonderful year 2024!

Let’s work together to make this year exceptional, prosperous, and responsible!

We look forward to working with you to achieve your goals in 2024.

Discover our Season's Greetings' video!

How to succeed your market entry in India

Image - How to succeed your market entry in India

December 2023

Considered one of the world’s oldest civilizations, India is a land of diversity and contrasts. With its vast market and growing economy, it is an attractive destination for businesses worldwide. However, the Indian market is a complex business landscape that requires careful planning and understanding of the culture.

In this article, ALTIOS’ market entry experts give you key advice to succeed your market entry in India.

Understand the complexity of the Indian market

Conduct thorough Market Research

India is a home to a diverse population with varying needs and purchasing power. Before venturing into the Indian market, you will have to conduct a market research in depth in order to understand the market’s dynamics, consumer behavior and competitive landscape. Be careful not to overestimate the market size ; we strongly advise you to establish a market plan (over at least five years) and to define achievable and realistic goals.

What are the Market trends to consider?

India is witnessing a paradigm shift in consumer preferences, driven by the ‘Make in India’ initiative. This initiative launched by the Indian government in 2014 is reshaping the market towards domestically manufactured products, aligning with the growing demand for sustainable and environmentally conscious offerings. The Make in India Program is based on 4 pillars aimed at boosting economic growth, encouraging investment, and strengthening the country’s manufacturing sector:

  • New Processes (Ease of doing business): Simplify administrative procedures, reduce bureaucracy, and facilitate the creation and operation of businesses in India.
  • New Infrastructure: Develop and modernize key infrastructures to support the growth of the manufacturing sector and facilitate the movement of goods.
  • New Sectors: Identifiy 25 sectors in manufacturing, infrastructure, and service activities to promote under the “Make in India” initiative.
  • New Mindset: Change the traditional perception of the government as a regulator (adopt a facilitator role rather than a regulator), fostering a partnership for the country’s economic development.

In addition to the ‘Make in India’ initiative, sustainability has emerged as a key market trend, with many foreign companies investing heavily in ESG, CSR, and other initiatives. This focus on environmental and social responsibility reflects the growing awareness of sustainability among Indian consumers, who increasingly demand products and services that align with their eco-conscious values. Many European companies are recognizing India’s potential as a sourcing destination and align their strategies with this shift, presenting immense opportunities for businesses worldwide.

The fastest growing sectors in India in 2023

The Indian market is going through exponential growth in technology, renewable energy, healthcare, and education. In addition, E-learning platforms, which disrupt traditional education models, have gained immense popularity, especially among the tech-savvy youth. Health-tech solutions, addressing the growing healthcare needs of the population, are capturing the imagination of Indian consumers with E-learning platforms and renewable products.

If you are a European company aspiring to do business in India, know that European products are renowned for their quality and reliability, especially medical equipment and renewable energy products. This reputation presents significant opportunities because the demand of high-end and durable products on the Indian market is steadily increasing. Sustainable products, aligning with environmental concerns, are gaining traction, driving businesses to adopt eco-friendly practices.

Moreover, with a population of over a billion people increasingly connected to the Internet, the e-commerce sector in the country is also becoming more important. In addition to have physical stores, you should also consider your online presence, because even though Indians shop online a lot, they also like to see the products. While youth, particularly the techsavvy millennials, are drawn to innovative, techdriven solutions, rural consumers prioritize pragmatic yet transformative advancements that align with their traditional values.

India, a multiethnic country

The diverse geography and cultural influences in India lead to significant variations in consumption patterns, preferences and even language; the nation’s linguistic landscape encompasses over 120 languages (only 22 are recognized by the Indian Constitution). This diversity can have a significant impact on market entry strategies, product distribution and brand perception. While national trend may provide a general overview, you will have to adapt your approach to specific regions and states. A comprehensive understanding of these regional nuances is a must to successfully set up a business in India and to ensure that business strategies are aligned with the specific needs and expectations of each states.

Appreciating and adapting to India’s rich cultural heritage is essential for gaining consumer trust and loyalty. Cultural sensitivity permeates every aspect of market engagement, from product design and marketing campaigns to customer service interactions. Furthermore, tailoring product offerings to specific regions and demographics demonstrates cultural respect and resonates with local consumers.

India’s dynamic market, characterized by rapid technological advancements and evolving consumer preferences, demands adaptability. Doing business in India implies to embrace change, continuously evaluate market trends and consumer behaviors to refine strategies and maintain market relevance.

Adopt right distribution strategies

Develop Strategic partnerships

The Indian market presents unique challenges in distribution. Due to the complexity of logistical infrastructures and variations in regulations, you will need to have a strategic approach to supply chain management to overcome operational challenges. The logistical landscape in the country is known for its complexity, ranging from diverse geographic terrains to variations in regulatory frameworks across states.

  • Find reliable and experienced partners, experts in the Indian market, to supervise your operations. It will allow you to manage your operations transparently and to provide rapid customer service.
  • Having a partner who knows your business sector and operational subtleties in India will increase your efficiency and effectiveness and prepare you to meet the challenges of storage and material flow.
  • Ask for help regarding import licenses for goods subject to specific foreign trade rules and restrictions.
  • Dialogue openly and directly with distributors to avoid conflict: understand their concerns and points of view, negotiate, and propose win-win solutions. Always have an emergency solution: Explore alternative distribution channels to reduce dependence on a single distributor and broaden your reach in the Indian market.

Invest in Relationships

Building strong relationships with key stakeholders, including distributors, government officials, and business partners, is a key of long-term success in India. Fostering trust, collaboration, and mutual understanding is essential for overcoming bureaucratic hurdles, gaining market access, and achieving sustainable growth.

Want to learn more?

For more content about doing business in India, read the articles on Maier Vidorno’s blog or contact our experts.