Bringing innovation expertise in business and finance to address the challenges of planning, financing and executing your technology transfer
Market Research and Pricing Analysis
If you plan on entering a new market with technology, you probably already did some market research on your potential target markets. We add to your initial market research by combining services, including, among others, assessing the creation of additional value through entering a specific market and using multi-criteria decision analysis to decide between entering different markets.
We base all our services on analytical evaluation methods and quantitative measures, including microeconomic analysis of the market structure in the target market, analysis of the threat of substitutes and new entrants, as well as the economic value of your product to the customers in that market, a suite of pricing tools, or ongoing analyses once you have entered the market, such as elasticity calculations.
Internal Capabilities Identification
The right strategy is vital in entering a new market. We offer advice on several strategic decisions to launch your venture, starting with identifying your existing firm-internal capabilities. We help you determine how your capabilities can leverage additional value if transferred to another target market through the so-called RAT test:
- Relevant: Do your capabilities create value in the new market?
- Appropriable: Do these capabilities allow for the capture of value? Also, are there any barriers preventing competitors from meeting your abilities or developing alternative solutions?
- Transferable: Can you effectively deploy your capabilities in the target market without sacrificing value creation and capturing potential?
Strategic Partnership Identification
Complementary to identifying internal capabilities, we help you identify those required capabilities for your expansion that can be gained with strategic partnerships.
The right corporate strategic partnership can help you plug gaps in complementary technologies, capital, or market access in the target market.We help you identify potential partners and forge successful partnerships, securing your local supply chain and accessing local maintenance services and distributors
We support you in choosing the best corporate structure for your venture in the target market. As part of our services, we analyze the pros and cons of the leading alternatives for you, usually including:
- direct export to the target market,
- licensing the rights to use your product to another firm,
- creating a wholly owned local subsidiary of your parent company,
- or engage in a Joint Venture with another company to create an independently managed company that will produce and/or market your product in the target market.
We also suggest local business models appropriate to the local context and previously analyzed models that are little known to US or European firms, e.g., offering your product as a service rather than as a product, or through ‘sharing economy’ models adapted to the local market.
When financing the scaling of cleantech in a new market, we help to find the best-suited solutions. This includes a span of financial topics:
- We have widely consulted and published on fiscal instruments in international markets. We will help you select those representing costs (primarily taxes) while maximizing your benefit from cleantech-related subsidies.
- We will help you to define your optimal capital structure, capital needs during the scaling, and needed liquidity levels under ‘what if’-scenarios, or your ability to access certain types of capital in targeted markets.
- Accessing soft loans and grants can be an essential part of the financing strategy for your scaling effort. We help you to identify the funds you qualify for and help with the technical aspects of your application, as we did in previous projects.
Once the target market is known and strategy is developed, accompanying your market entry is the next step. Our extensive risk analysis experience in the sustainability sector enables us to identify potential risks and offer solutions for your operation.
This includes qualitative risk assessments, like risk probability and impact assessments or SWOT analyses, and quantitative risk assessments, such as sensitivity analyses, decision tree analyses, and modeling approaches, such as Monte Carlo simulations.
Additionally, we help you to set up an impact monitoring system focused on results-based management built on widely accepted criteria, including relevance, effectiveness, output, and outcome.
Managing future activities in the target market also involves examining whether your venture calls for more global integration (GI) of production or more locally responsive (LR) approaches. To weigh the two, it is necessary to include the state of the industry, your company’s specific capabilities, business model, and other factors in your analysis.
We identify challenges in operations management associated with adopting operations from the home market to the target market. By analyzing your processes, e.g., using optimization models, we help you to identify potential improvements.