EXTERNAL MARKET PENETRATION. SELECTION AND CHARACTERIZATION OF FOREIGN MARKET
Selection of foreign market
With modern management, client orientated CHIMLIN SA managed to increase its reputation on a highly competitive market through promotion and marketing of competitive products, in relation to market requirements, while maintaining the best quality – price.
Quality system certification according to ISO 9002/95, technical approvals and approvals issued by the competent bodies in the field, are CHIMLIN guarantee product quality.
As a result of decisions taken at management level, the company intends to send and export their products, this trend mirroring the company’s expansion.
Croatiahas one of the most liberal investment regimes in Central and Eastern Europe.
It was adopted as a business decision to expand the Croatian market. Croatia’s legislation is one of the freest and the Government has initiated programs to support foreign investment. Croatia, due to the reconstruction process is, is one of the largest importers of construction materials, chemicals. The tax system provides some tax cuts to companies that profit adds internationalization activity, that we can offer products at a lower price which leads to higher profits.
Advantage of economies of scale: increasing production for international markets help reduce the cost of production for domestic sales and increased domestic competitiveness.
Because the company has not participated in international transactions, that internationalization is a source of additional profit.
. Regulations on products sold
Unlike other Central European countries, Croatia does not have a foreign investment law. Framework Act is the law governing such companies (Official Gazette no. 56/90), which applies to foreign investors national treatment (the same rights and obligations as national ones). Also, under the Constitution (Article 49) are guaranteed free transfer and repatriation of profits and capital invested. There may be reduced by law or any other lawful act arising from the investment rights. Property Law (Official Gazette no. 91/96) allows acquisition and possession of property by foreigners (by request to the Ministry of Foreign Affairs), except for certain geographical areas of national interest.
In order to assist foreign investors, encourage and facilitate the attraction of foreign capital, the government in Zagreb has established Croatian Investment Promotion Agency (CIPA). Through its publications, CIPA has become a trusted source for information about the Croatian legal and economic framework.
Foreign companies can invest in Croatia iin a contract basis in one of the following types of companies: companies, banks or insurance companies. Can I also request the right to exploit natural resources or other items of interest, may attend BOT transactions (Build-Operate-Transfer) and B.O.O.T. (Build-Own-Operate-Transfer) or set up a company in the sector of small artisans or craftsmen.
Because the World Trade Organization membership, the investment climate has suffered a series of positive changes as follows: the transparency and predictability of the trade regime, securing foreign investment, reducing import duties, which entail lower costs of production and domestic prices, accelerating the conclusion of free trade agreements.
Following the accession to the WTO, average tariffs on industrial products were reduced from 10% to 5.3% and agricultural products have gone from a level of 33.7% to 14.3% level. From 1 January 2000, Croatian legislation is fully compatible with all WTO agreements, it involves a modern trade regime characterized by quantitative restrictions and non-existent administrative trade barriers. Also, licensing arrangements, and legislation on intellectual property are fully harmonized with international regulations, namely those of the WTO.
According to the Law on foreign exchange regime in Croatia, the currencies can be exchanged freely on the market, and commercial transactions are conducted through the foreign exchange market. Payments and credit transactions with foreign partners is carried out through banks authorized (licensed for such transactions). Foreign legal persons may hold accounts in convertible currency at authorized banks, through which they can perform transactions and payments in foreign currency. Payments can be made in foreign currency or foreign.
Foreign entities may accept receipts in local currency accounts with banks in Croatia, accredited to carry out banking operations abroad. Revenue in local currency made foreign legal persons may be transferred abroad, can be used for payments in Croatia, or may be transferred to accounts of other foreign legal persons.
The introduction of foreign currency and securities denominated in foreign currency in Croatia is not restricted. Croatian legal persons must collect payment for exports made within 90 days of export goods. This time limit may be extended only once, with the approval of the National Bank of Croatia. If the CIS payments, payment must be made within 180 days.
The introduction of the goods imported into the customs territory of Croatia, the following documents require the importer customs: the customs declaration (which is similar to the single document used in the European Union) together with other documents such as commercial invoice, certificate of origin, shipping documents or any other relevant official documents.
Our products meet ISO 9001 standards, ISNE 14001. It should be noted that preferences among Croats, washable paint meet.
Intellectual property rights are governed by two laws: the Law on Industrial Property and Copyright Law. In 1990, Croatia adopted the Law on the protection of inventions, technical improvements and badges. This law was amended in 1992 and turned into industrial property law, placing the country’s orientation towards a market economy.
Packaging requirements: primers, paints, varnishes and thinners are packaged in varying amounts, from 0.7l up to 200kg. Enamels are based on the amount of 1l.