Doing Business Down Under

DOING BUSINESS DOWN UNDER



What are the challenges and opportunities of doing business in Australia & New Zealand? Our Director of sales for our South Pacific division, Jason Stratford recently interviewed Nerella Campigotto, president of Boomerang Consulting Inc., a Vancouver-based firm that specializes in international business development.



JS: Would you agree that Australia is overlooked as a business destination?



NC: Yes, I would say that there certainly are businesses in Canada that may be missing out on good opportunities there. Canadian companies understandably focus on the US, and I think they perceive Australia as perhaps being too small or too distant a market, and don’t fully understand the potential.



JS: Why should businesses consider Australia?



NC: There are several reasons why Australia should be on the radar screen – the economy is strong and has shown amazing resilience in the past decade, unemployment is low and average income is significantly higher than in Canada, the currency tends to move in parity with the Canadian dollar eliminating some of the exchange risks, the business environment is vibrant and has very high standards, and it is an ideal gateway for companies looking to do business in Asia.



JS: What are the advantages for those looking at the Asian market?



NC: There are actually close to 500 multinationals that have their Asian headquarters in Australia. There are obvious cost advantages and proximity to those markets, but more importantly, in Australia you have access to business people who are very familiar with doing business in Asia and have strong networks there. And the workforce is multilingual as there are about one million people who speak Asian languages.



JS: Can you give me an example of a Canadian multinational whose Asian headquarters are in Australia?



NC: A well-known example is McCains Foods; their Asian HQ is in Melbourne where they employ about 1000 people. Interestingly, they also have about 30% of the processed food market share in Australia.



JS: In what kinds of industries are there opportunities Down Under?



NC: Opportunities can be found in sectors such as agrifood, aerospace, building and wood products, engineering, R&D, various technology sectors (biotech, environmental, ICT, broadband, etc.) and cultural industries.



JS: Many of these would be competitors for Canadian businesses wouldn’t they?



NC: Absolutely, but we mustn’t forget that these can offer opportunities for collaboration, partnering and alliances that are often very successful.



JS: Where can businesses find information if they are considering entering the Australian market?



NC: The first step is to contact government sources such as the Trade Commissioner (www.infoexport.gc.ca) or for those looking to invest in Australia, they can visit www.investaustralia.gov.au. These organizations provide an overview of the market. You should also check out industry or business groups such as the Canada, Australia & New Zealand Business Association in Vancouver (www.canzba.org) where they can make some important connections. However, once they need more in-depth assistance it’s advisable to engage a consultant who has a good knowledge of the market and can access the right contacts.



JS: Can our readers contact you if they have any questions?



NC: Of course, they can email nc@boomerangconsulting.com or call me at 604-609-6178 and I’d be happy to answer any questions they have.





Nerella Campigotto is President of Boomerang Consulting Inc. a company based in Vancouver, Canada, which specializes in International Business Development. For more information please visit http://www.boomerangconsulting.com or call: 604-609-6178, email: info@boomerangconsulting.com