Nova-Tech Engineering – Indonesia Market Expansion

The Assignment

Successful market entry in China and Thailand encourages Nova-Tech’s continued expansion to Indonesia

  • Nova-Tech is a leading agricultural technology company based in the United States that produces machines that automate beak treatments, de-clawing, vaccination and head counting in bird hatcheries.
  • The firm’s business model is based on leasing its poultry machines to its customers while being able to bill its customers on a remote, per-processed chicken basis.
  • To date, the client has successfully expanded across over 40 countries, but faced challenges in implementing their lease model and overcoming import procedures in Indonesia.
  • Tractus was engaged to help the Nova-Techunderstand the Indonesian regulatory framework for veterinary medical devise, import procedures, legal mechanisms for lease agreement for foreign companies as well as sales and customer support.

Tractus' Solution

Build understanding of legal mechanisms, coordinate logistics and work as boots on the ground for sales and customer support,

  • Analyzed the overall Indonesian poultry market and built a business case for market entry
  • Collaborated with Nova-Tech and Indonesian legal agencies to create a solid contract that maintains Nova-Tech’s unique leasing business model
  • Facilitated the first import of Nova-Tech Poultry Service Processor
  • Ongoing communication and coordination with Nova-Tech’s Indonesian customer and additional sales outreach

Result

Redirected launch from USA to Asia and Europe

  • Nova-Tech has solidified one of Indonesia’s largest poultry companies as a client and is in discussions with a number of other local poultry companies
  • The company’s lease model is in harmony with Indonesian law and legally enforceable
  • Tractus has supported partnerships to facilitate the import of spare parts and syringes

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