HOW MUCH DOES IT COST TO ENTER THE ASIA MARKET?

There are a range of ways to enter Asia, from establishing sales partners to establishing a subsidiary. Each of these entries comes with a range of benefits, costs, and limitations. Excluding the costs of localization of your product and services, the cost to establish a distributorship for an established product class can be from $30,000 to $50,000, and the cost to establish a local subsidiary can be $1,000,000 or more. For example, the fastest way to enter the region is often through establishing a trading company as a master distributor. The trading company has the resources to quickly deploy and train a team to provide sales and support locally. This may also be the least cost method for entry, since the majority of the local expense will be borne by the trading company. However, it also comes with serious limitations, including the lack of control over strategy and budget, and the lowest margin of other alternatives. You also need to have a clear plan for transition to a more closely linked organization when your revenue justifies your direct investment. APV is a specialist in developing the right strategy which will not only match your objectives for the current year, but will map out the transition so as to meet your objectives in the future years. APV can help not only to keep costs low in your initial entry, but also position your company for smooth growth to meet long term goals.