Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II Approaching Your Launch Customer in Tough Times

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II Global companies usually have three choices for foreign markets: 1.Establish their own corporate presence in key countries 2. Acquire a small local competitor 3.Establish a relationship with a local established distributor

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II Why The Choice Should Be The US

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II Quick Statistics for the USA Area - 9,629,091 sq km Population - 278,058, 881 (July 2001 Est) GDP - $9.963 trillion (2000 est.)

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II  Between 1992 and 2000, the U.S. economy grew by 36% in real terms, compared to only 19% for the EU countries.  Only four members of the G20 group of major economies grew faster than the United States between 1992 and 2000 — Australia, China, India and Korea.  If U.S. growth slows to 2.5% from here on out — and the EU manages to grow 0.5 percentage points faster than the United States — it will still take until the year 2028 to make up for the lost growth of the 1990s.  Under those same conditions, Japan will not make up for the growth they lost in the 1992 to 2000 period until 2047, and Russia will play catch-up for the entire century.  If Europe had grown as fast as the United States in the 1990s, the additional GDP it would have generated would have been equivalent to the addition of a country the size of Italy — the world's eighth largest economy.

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II How Long Will It Take the Rest of the World to Catch Up to the United States? US Growth 2.5% Rest of the World 3.0%

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II What is the difference in finding a good launch partner in tough times versus good times?

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II NO DIFFERENCE

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II Personal Experiences in Finding A Strategic Launch Partner

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II When I chose a distributor in an International Market I knew that distribution varied dramatically from country to country, region to region and in some cases from city to city. You should have the same view with the US compared to Finland.

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II The difference here is that you can view the US as one giant market and do business coast to coast across three time zones in the same manner.

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II  Make sure the management styles can co-exist and grow.  And sound personal relationships can be developed Some Points to Consider

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II Five Negotiation Points 1. Marketing plan 2. Volume commitment for shipments 3. Translation assistance (with ownership) * 4.Support (Dedicated Person) 5.Marketing Manager (Dedicated Person) * Not an issue here

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II Exclusives Two Points of View Your Viewpoint (No) 1.Multiple dealers 2.More sales 3.Spread the risk 4.Find the Princess 5.Easy to change Launch Partner’s Viewpoint (Yes) 1.High investment 2.No support 3.No innovation 4.No exclusive 5.High risk gamble

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II Because of the distances involved and the difference in time it is critical that you confirm that your launch partner has solid technical expertise and the ability to service customers. It will be difficult to maintain any profit margin while flying service personnel across the ocean.

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II Whether you like it or not the local launch partner will be the company in the US. Service and support are becoming increasingly important for future sales Often the first question is “Who will service and support the product locally?”

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II VERY IMPORTANT

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II There is a difference in culture that must be addressed between the US and any country regarding the installation and usage of Global products. This does not mean the products are inferior, just different. And that difference can’t be ignored or overlooked.

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II The previous statement was gained from past and ongoing personal experience. As my Grandfather said, “Experience comes from bad judgment.” Please take advantage of my experience.

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II Pick an company that will help localize your product. No matter what you think, believe or know, it needs some tweaking and probably a lot before it can be sold in the US. This is in addition to translation of the software and manual.

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II Pick an company that will help determine the need or market demand for your product. No matter what you think, believe or know, make sure that you have a solution to a problem and not a solution searching for a problem.

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II Don’t Forget eCommerce! Hamburg, Germany First month after release of Beta 1.0b 700,000 Page Impressions (Hits)15,000 Visitors 8,500 Downloads 2,000 Registered Users

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II CaptainFTP

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II THANK YOU

Global Software II Introduction Paving the Way to the US Market For Finnish Software Companies Copyright Global Software II