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Difficulties did not frighten, but mobilized

Difficulties did not frighten, but mobilized
Export stories of successful furniture companies are typical in many respects, but still each has its own distinctive style. Like this – from Alexander Yushchenko, commercial director of the company Mirt Company.
The company took the first systemic steps in the export direction in 2013. Without hesitation, we chose Moscow – a huge Russian market, a similar mentality, territorial proximity and many connections. For about ten months, they took these first steps – exploration, working out contacts, receiving first orders, establishing logistics, searching for office and personnel. But, February 14 came quickly – and … everything “covered up with a copper basin” …
In April of the 14th year we went to Baku. At that time, Azerbaijan was at the peak of the construction boom. Still – oil at 140 dollars per barrel! Several visits, a lot of meetings, trips to objects, oriental hospitality … And here we are at the BAKUBUILD 2014 exhibition! A large luxury stand (even received the award “Best Stand”), indicated by huge golden letters “MIRT” on three sides, elegant products, promoters girls in embroidered shirts and wreaths, lard, snacks, Ukrainian flags – and a full house on the stand! Everyone admires, wonders, smiles. However, some people laughed. Only after the exhibition we found out why: MIRT in Azeri means “joke”.
The euphoria after the exhibition did not leave us any doubt about the correctness of our choice of the next foreign market. And then the price of oil began to plummet … and again everything changed. But by that time, we had already managed to organize the office, received the first orders and began to work quite successfully in Baku.
2015 went with their booth at the exhibition «MADE Expo», which takes place in Milan. Visitors from different regions of the world, not only from Italy, come to the “MADE Expo”. Thanks to this exhibition, we found several clients from Kazakhstan and, again without hesitation, we decided to organize a representative office in Astana (now Nursultan). And then, according to the established scheme – employees, samples, exhibitions, logistics, and the like.
Of course, not everything was given easily and clearly according to plan. For example, the Russian ban on the transit of goods to Kazakhstan and Kyrgyzstan through the territory of the Russian Federation changed the route for delivery of our products by cars. Now we carry cargo to Kazakhstan through the Black Sea, Georgia, Azerbaijan, the Caspian Sea. This led to an increase in delivery times from 10 to 30 days, and the cost of the truck – from 4-5 thousand dollars to 10-11. In addition, the market of Kazakhstan itself in connection with the fall in oil prices and the devaluation of the tenge significantly decreased by half and sank. But the competition at the same time has increased significantly: local manufacturers almost always offer products that are much cheaper, and the delivery time is a day instead of a month. But this did not stop us! A high-quality product, a powerful project department, good project and object management is what distinguishes us favorably from competitors and for what our customers value us.
Another area that seemed interesting and promising is Arabic. Why? At the exhibition in Milan, we received a large number of offers from the United Arab Emirates and Saudi Arabia. Hot on the heels they took part in The Big 5 Show, the largest construction exhibition in the Middle East, which takes place in Dubai. She confirmed the huge demand for our products in these countries.
But, as you know, the east is a delicate matter. It was not possible to enter the local market and attack there. Other countries, culture and mentality are also different, work principles, climate, lifestyle – everything else. The first steps in Dubai were not enough. And we went to Saudi Arabia. But it turned out that there is no easier there. On the one hand, I have not seen such a number of villas and palaces anywhere, but on the other hand, it is extremely difficult to get my own furniture to these objects. And everything here in the aggregate – distrust of strangers, fears, oriental “stinginess”, and the absence of a registered company, and delivery times, logistics nuances, and extremely slow client’s decision making and much, much more that slows down or becomes obstacles. Projects happen, but few, and very slowly they agree.
There are many nuances in working with the countries of the Persian Gulf. For example:
1) The term of transportation from Ukraine is 5-6 weeks. In most cases, it is necessary to haul goods with “refrigerators”, since in summer the temperature in the container rises to 80 degrees, and wood products do not withstand such heatstroke;
2) the cost of organizing a company is almost 150,000 dollars and lasts at least 2-3 months
3) the temperature on the street from May to September is from 40 to 55 degrees in the shade, and in rooms 18-20, which makes significant adjustments to the work – not all Europeans are able to tolerate such temperatures and their drops;
4) during the period of Ramadan and Hajj almost no one works, most people leave the country, and the work stops for 3-4 months;

5) the presence of a huge number of various intermediaries and consultants, each of whom, at best, is trying to make money on you, if not simply “throw”;
6) The cost of an annual visa to Saudi Arabia is about 1500 dollars. And it’s not easy to get it. There are no tourist visas at all – only business visas. To obtain such a visa, you must find a company that will make an invitation for you and will be your guarantor.
And another nuance: it is difficult for Arabs to say no to you, because categorically denying their culture is considered a bad form. And you very often hear from them in response “inshalla” (God will give), which can mean anything, but more often it means: never. And their uncles constantly “die” – it happens two or three within a month … We only learned a year later that in fact no one in them dies in this way you are politely given to understand that they no longer need to call nor write.
But all the difficulties encountered on our export route did not stop us, and MIRT continues, step by step, to develop international markets. Our systematic approach and already considerable experience make it possible to implement objects around the world. For example, we are simultaneously working on projects in 15 countries. Today we have representative offices in Baku, Odessa, Astana and Almaty. And in such cities as Moscow, Dubai, London, Toronto and Saudi Arabia, our partners work.
The heading “Success Stories” was founded as part of a grant project with the support of the Swiss Cooperation Office in Ukraine, the project name: “Increasing the level of cooperation and trust with joint participation in international and national government procurement” – TENDER TOGETHER.

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