Transcript Slide 1

All rights reserved Power Quality Thailand LTD
5/10/2010
1
All capital or large purchases are done via the tender
(bid) process. (some direct negotiations but very few)
 Expect sales cycle to be 2 years or greater
 New Technology products will involve “show me”.
 Most utilities have limited engineering expertise in
new technology products.
 Most utilities are government owned and controlled.
 Expect the unexpected at all levels

All rights reserved Power Quality Thailand LTD
5/10/2010
2
Must be a qualified and authorized company to bid.
Engineering projects require local engineering
license.
 Very often a bid bond must be posted with the bid.
(5% to 10% of bid amount)
 A performance bond of 5 to 10 % of contract
amount for the duration of product warranty.
 Bid must include all local taxes, import duty,
training, installation costs, local warranty support,
travel for factory acceptance tests and any ancillary
costs, options etc.

All rights reserved Power Quality Thailand LTD
5/10/2010
3

New technology products require extensive
educational process.
› For the technology of the product
› For the economic return on the investment of
product.
Many levels of management must be contacted
and a project developed.
 A budget must be set, 1 year in advance.
 Budgets are subject to change or delay for a
higher priority project.

All rights reserved Power Quality Thailand LTD
5/10/2010
4
Must be proven theoretically.
 Must be demonstrated actual or simulated.
 Must have references (not necessarily in Asia)
 Must show economic return by customer
business model.
 Must be viable for Asian Climate
 Must be adapted to Asian Culture
 Must support Asian Languages

All rights reserved Power Quality Thailand LTD
5/10/2010
5
Most have limited exposure to new technologies
 Most have limited available time to investigate new
technologies
 Most are anxious to learn about new technologies
 No travel budget to investigate new technologies
 Engineering degrees in Asia have a different level of
investigative training than USA or Europe

All rights reserved Power Quality Thailand LTD
5/10/2010
6
Most are government owned and operated
 Political situation is not logical
 Economic model is very different from USA or
privately owned utilities.
 Vary greatly country to country
 Have an inherent bias to work with companies
they know and trust. Building a new relationship
adds 1 to 2 years to the process

All rights reserved Power Quality Thailand LTD
5/10/2010
7
Budgets get “shuffled based on political priorities”
 Personnel changes occur based on political positions.

› Working with foreign vendors is a desirable position
Local civil strife (IE Bangkok) will change the situation.
 Competitors are always lurking and may not be visible.
Especially competitors for budget $$$.
 Top management may “change” or “change their
mind”, regardless of budget, plans etc.

All rights reserved Power Quality Thailand LTD
5/10/2010
8

Define your internal specific goals.
› Expand your market to Asia is NOT a specific goal.
› Set a budget to develop the market (time, $$, people)
› Prepare an internal road map with a timeline
Identify a responsible management person for a
primary single point of contact for field sales.
 Expect hundreds of technical and business questions
beyond your domestic business.
 BE PATIENT!!! This is a process that will take 2 to 3
years. Are you prepared to make the investments???

All rights reserved Power Quality Thailand LTD
5/10/2010
9
About the same level of power consumption as
USA with 10 times the population
 20 markets/countries/ with 20 (or more) sets of
political influence .
 Countries should be studied by culture, religion,
political organization and state of development.

› There is NO “Asian” market, there are 18 of them.
All rights reserved Power Quality Thailand LTD
5/10/2010
10

2004
All rights reserved Power Quality Thailand LTD
5/10/2010
11
All rights reserved Power Quality Thailand LTD
5/10/2010
12






Is their primary customer the local electric utility?
Do they currently have projects they’ve bid at the utility?
What size?
Do they have a technically competent staff available for
your technology? Will they add one to get your product
line?
Do they have the financial capability to manage, finance
and support a transaction for your product with the
utility?
What access to top management at the utility do they
have?
What international experience do they have dealing with
your country, your language, your culture, your business?
All rights reserved Power Quality Thailand LTD
5/10/2010
13

Identify potential distributors in each country
› May need more than 1 for China, India, Indonesia
Qualify, Qualify, Qualify
 Prepare sales, marketing materials to carry your sales
message.
 Internet research on each potential utility customer

› So you can focus distributor sales efforts

Physical visits to each market 4 to 8 times per year
All rights reserved Power Quality Thailand LTD
5/10/2010
14
A new organization (with more than 20 years
experience) based in Asia to provide sales, marketing,
management, service and consulting for sales into the
SmartGrid market in Asian.
 Our members are distributors in every major market
in Asia. A single point of contact provides market
access to most of the electrical utilities in Asia.
 More than 20 years successful sales to utilities in Asia

All rights reserved Power Quality Thailand LTD
5/10/2010
15

Terry Chandler
› [email protected]
All rights reserved Power Quality Thailand LTD
5/10/2010
16