Business Development
Entering and navigating a new global terrain
One of the fastest ways to enter promising global markets is acquiring existing assets in another country (Intellectual Property or Real Assets). Another is to expand an existing business and its brands beyond domestic borders. Launching and growing a business in another country may entail facing logistical and cultural roadblocks, though. The process may be too slow or goes nowhere unless expertise in regulations, currencies, cultures and access to the right resources is available.
Our multicultural, multilingual team has the right experience and expertise to facilitate Chinese investment in Europe and European investment in China. Since the VAYTON home office is in Luxembourg, EU, an investor or business may benefit from the country’s tax exemption for IP development and management. The return on investment for new IP developed and managed in Luxembourg doesn’t stop there. All revenue generated by the IP potentially qualifies for a tax reduction.
To fast track entering new, international markets, we recommend companies rely on us to implement four strategic options:
IP Acquisitions
We will identify available trademarks and strategic IP assets and assess the IP value for a perfect fit with the company’s vision.
Brand Development
We will guide a company in brand name creation, corporate identity creation and the launch of the brand in new countries.
IP Localization
We will adapt your brand name in different languages and alphabets. Name testing, translations, local trademark search, brand name use research, and Internet monitoring are critical to succeed in new global markets.
New Company Incorporation
We will assist clients from initial ideas to the incorporation of a company in Europe and China.
Supply Chain Management
A competitive and integrative approach to Supply Chain Management is absolutely necessary to deliver quality, innovative products within the quickest time possible.
The China to Europe and Europe to China Supply Chain can be complicated and vulnerable to costly interruptions. VAYTON has a presence both in Europe and in China to optimize international business-to-business relationships and new business supply chain opportunities.
Supply Chain Management at the global level requires special expertise offered by VAYTON in the following areas:
- Cultures
- Regulations
- Currencies
- Technology
- Infrastructure
- Resource Availability
(Source: School of Business, Arizona State University, USA)
Transactions
VAYTON is in an excellent position to connect Chinese investors with European markets and industries and to connect European investors with Chinese markets and industries. Our company has a presence in Luxembourg, the financial center of Europe, and in China, now the world’s second largest economy.
VAYTON will link Chinese and European investors with buyers and facilitate the transaction process.
Connecting European and Chinese investors can be mutually beneficial on three fronts:
Foreign Investment in Chinese Industries
The Chinese government is making foreign investment in China part of its plan for developing strategic emerging industries. According to the China Business Review, the Guiding Opinions on Promoting the International Development of the Strategic Emerging Industries, published by the Chinese government, is targeting foreign investment in China in three areas: information technology, advanced equipment manufacturing, and new materials.
- Information technology The opinions encourage foreign investors to establish 3G R&D centers and high-performance integrated circuit enterprises.
- Advanced equipment manufacturing Companies are encouraged to develop platforms for joint investment and cooperation between domestic and foreign companies. Domestic and foreign companies are also encouraged to cooperate in developing seaborne engineering construction equipment.
- New materials The opinions also encourage foreign producers of value-added new materials products to establish and invest in factories.
Chinese Luxury Imports
The gates are wide open for capitalizing on a growing Chinese consumer interest in luxury, high-quality products made in Europe. An article posted in Chinadaily.com (July 18, 2012) highlights China’s interest in encouraging this new market:
“The robust growth of the Chinese luxury market in the first five months of this year allowed the WLA [World Luxury Association] to predict that China will contribute more than $14.6 billion to the global luxury-goods market in 2012, to become the global leader”
“With the help of the Ministry of Commerce and the China Council for the Promotion of International Trade, the China Luxury Trade Commission was established in early June, indicating the government’s interest in promoting the expansion of the luxury-goods market”
Chinese Investment in Real Assets
Chinese investment in European real assets can have unforeseen benefits as reported by The Economist (June 30, 2011):
“Deals can help to open up the Chinese market. In June 2010 Fosun, a Chinese conglomerate with pretensions to become a global investment giant, bought 7.1% (later raised to 9.3%) of Club Med, a French leisure company hoping to serve Chinese holidaymakers. Club Med’s first Chinese resort followed in December. In May Fosun also bought 9.5% of Folli Follie, a Greek retailer whose brands include Links of London and which thinks the deal will accelerate its expansion in China.”