Supply Chain Opportunites in the ASEAN Region

For Australian companies wishing to grow and develop in the Supply Chain sector, now, more than ever, is the time to prepare to expand business links with Asean countries.

In developing Asia, particularly in the Asean region, studies show that domestic consumption is dramatically rising. Today in countries including; Indonesia, Philippines, Thailand and South Korea the consumption of goods account for more than 65 per cent of GDP.

In the past Australian supply chain businesses have been hampered by the tyranny of distance when it came to dealing with European and American markets. In the Asian century, Australia can now come into the fore.  Australia is in the right place at the right time and is well-placed to capitalise on the scale and pace of Asia’s transformation.

Opportunities abound in the massive supply chain required in developing these sprawling cities. For Australian companies to remain a vital part of the supply chain, operating within the Asean region is compulsory.

Australian supply chain companies need to be ‘Asean ready’ before even contemplating trying to break into the region.  Many of the Asean region countries have tough compliance issues, especially with local governments and regulators. Moreover, experts agree that within the highly fragmented Asean supply chain market the competition is probably fiercer than anywhere else in the world. It is also important to remember that the principles of success into Asia are no different than in Australia.

So what do Australian companies need to do to position themselves?

  • To begin you will need to review your current business plan and explore Asean markets;
  • You will need to conduct research in the areas you are looking to expand in
  • Prepare and plan for your growth – and plan big. Scaled production and speed Asean markets are highly competitive and loyalty is a new trend.
  • Get advice on regulatory differences and engage in collaborative business relationships that give you a successful market entry edge.
  • Ensure your business and staff have relevant skills and capabilities;
    • Training of staff in Asean supply chain markets will be crucial

These first simple steps will help to ensure that your business is well placed to make the most of the opportunities in the Asian century. Are you ready?

Emma Baker

Emma Baker is a senior consultant for Latus. Emma has a background in communications and marketing, with a focus on business development. Her primary focus for Latus is assisting in spearheading the growth and direction of the company´s marketing initiatives in Australia as well as; channel development, strategic partnerships, brand image, and customer acquisition through both online and offline advertising. Emma resides in Melbourne Victoria and holds a degree in Business from Victoria University and Arts, from the University of Ballarat.

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