Lately, Ukraine has become the new centre for the textile industry and in 2005 ACG-Nyström opened up in Lviv. A local consultant company assisted with legal matters in the setting up.
– We found personnel through our network. The right people are by far the most important success factor. No matter how good your product is, you will get nowhere without your personnel.
Ukraine is not the Baltics, however, it is a much more mature market.
– We couldn’t copy what we did in the Baltics. In Ukraine our competitors were already
established and it was only our embroidery machines that had real potential. That is why
we chose to focus on those, which turned out to be a good choice. Annual sales of SEK 10-
12 million and half a million in results is pretty good in three years. Next year we estimate to double it.
Pierre Andersson regrets the alternative part of the economy in the former Soviet Union, but explains that with good products and service it is possible to do decent business.
– You need to recognise that the local business culture is essentially different from ours, or you will get nowhere. Swedes tend to be very serious when doing business, but there you need to be more relaxed and friendly. This is diplomatically speaking. Many are those who can testify that a considerable amount of vodka could be involved when doing business in the former Soviet Union, which could be problematic for cautious Swedes.
ADVICE TO SUCCEED IN THE EAST
* Don’t be afraid to focus on one
single product if it is right for the
market.
* Find local personnel as soon as possible.
Westerners could be a support,
but local knowledge is key.
* Accept the local culture. You can’t do
the same as in Sweden.