“Peak Scientific found the Scottish Development International (SDI) staff extremely experienced within this industry and were able to give us a clear picture of its structure and, even more importantly, up-to-date business opportunities for overseas companies. Without their help, it would have been very difficult to break into the Japanese market.”
Hyeseung Dresser, Territory Sales Manager – Japan at Peak Scientific Instruments Ltd.
Founded in 1997, Peak Scientific has been in the gas generator manufacturing business for 17 years and has remained a family business.
All Peak products are manufactured and shipped out from the company’s factory in Glasgow, UK.
In 2014 Peak Scientific won the Queen’s Award for Enterprise in International Trade for the fourth time, a testament to the quality of product and after sales support package provided by this rapidly growing company.[memb_has_membership memberships=REGISTERED-MEMBER]
It took two years of thorough preparation and planning for the company to set up its Japan office. “Japan is a big market, but there was tough competition from local companies, so we waited for the right time and didn’t rush,” explained Hyeseung Dresser, Territory Sales Manager for Japan. “The option of selling through a dealer proved to be difficult due to the nature of the product provided by Peak. Gas generators require proper maintenance to work best,” she added. Thus, establishing a local presence in Japan was imperative for this dynamic company.
As the company has increased its operations in Japan, its next steps will involve hiring new people. “Japanese customers appreciate service support as well as sales support, and customer satisfaction is key,” said Dresser. “In our line of work, after market service support is important, as looking after the generators is central to ensure that they work well. Customers can expect Peak service engineers to look after Peak generators,” she continued.
Some challenges faced by the company in setting up their first office in Japan have included voltage issues, due to differences between UK and Japanese electrical requirements, and the fluctuations in exchange rates, which have made business transactions more difficult. However, Peak Scientific has used the Original Equipment Manufacturer (OEM) model with great success in Japan to overcome these issues.
Dresser believes that there are several fundamental aspects of building a successful business in Japan, namely having a representative for business with the requisite Japanese language skills, the right market price for your product or service, and in manufacturing, having strong service support as well as a good product.
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