Market cultivation: Roles of Enterpreneurs

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1 Market cultivation: Roles of Enterpreneurs Michele Perini President Fiera Milano Spa SAGSA Office Furniture Spa

2 Small companies 95% of Italian companies are Small or medium sized The majority has less than 100 employees For European parameter small ompanies must have less than 50 workers and a turnover below 10 million

3 Globalization The global market is a new difficult job for the SMEs Complexity has become ordinary administration Complexity takes an important space of the time of entrepreneur Bureaucracy is an enemy of SMEs The global market can became a new opportunity

4 Time is a component of success The global market needs quick decisions The role of mass media cuts the time of the decisions Entrepreneurs must take decision at the right time not to late The speed of the economy does not let you move with different times

5 Speed has increased `Well, in our country,' said Alice, still panting a little, `you'd generally get to somewhere else - if you ran very fast for a long time, as we've been doing.' `A slow sort of country!' said the Queen. `Now, here, you see, it takes all the running you can do, to keep in the same place. If you want to get somewhere else, you must run at least twice as fast as that!' (Alice in the Wonderland)

6 Categories of companies Companies with a strong brand Companies with an important heritage Companies with low prices

7 Strong Brands

8 Strong Brands Prada, Gucci, Giorgio Armani, Valentino, Dolce & Gabbana, Campari, Porsche, Möet & Chandon, Ferrari, Lamborghini, Bulgari, Mont Blanc, Zegna, Chanel, L Oreal, Rolls Royce, Honda, Bmw, Apple, Nike, Mc Donald s, Nestlè, Ac Milan Strong investment in brand awareness (location, exposure, sponsorship) Neighbor effect

9 Heritage Brands Pirelli Piaggio, Moto Guzzi, Martini e Rossi, Borsalino, Sagsa Office Furniture, Fernet Branca, Zucchi, Citterio, Mapei, Fiera Milano Increase brand value and credibility through heritage Association named Museimpresa (company museum association)

10 CITTERIO BORSALINO

11

12

13 Low Prices Being always competitive is their essence Always search for the cheapest resources Be ready to expatriate and outsource the different phases of the process Capability of selling to the greatest distribution chains (Wall Mart, Tesco ) Strong investment in commercial network and participation in exhibitions and technical documentation

14 The role of the entrepreneur Scouting the market and know the positioning of the company Ask: to which of the 3 models I belong to/i want to pursue? Invest coherently to your industrial project involving all company s functions and processes Strongly believe in the Business Plan decided

15 The role of the entrepreneur Very often to go alone is not too easy In many decision the entrepreneur is really alone Understanding the importance of partnership and alliances, that may represent an opportunity for the entrepreneur Exhibitions represent an occasion to meet other companies of the same sector and start cooperating (split costs for internationalization)

16 Exhibitions Exhibitions represent an important way of communication for all the 3 categories Exhibitions are more important for the small companies than for big ones Exhibitions venues should not only be a window but an integrated instrument of marketing and sales promotion for the companies

17 Fiera Milano Fiera Milano is the largest exhibition venue in the world ( sqm) Fiera Milano attracts 4,5 Mio visitors each year Fiera Milano hosts more than 75 exhibitions each year Fiera Milano s induced businesses amount to 5 Bln each year Fiera Milano offers to its exhibitors not only the venue but also a full range of services

18 World Expo 2015 Milano is a candidate city Fiera Milano will the centre of the whole project Expo 2015 represents a incredible opportunity especially for Italian SMEs Fiera Milano and Milano Municipality can boost their development

19 The role of the familiar capitalism Family run business represent an important part of the world economy Family can be the support to start any economic activity Family run business, in moments of difficulties, may give up the immediate returns on investment in view of a future development Familiar Capitalism is a value

20 Thank you! Michele Perini President Fiera Milano Spa SAGSA Office Furniture Spa

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