Critical Thinking

Market forecast of 2.2% for 2014U.S.-Swiss trade generally

Market OverviewGDP of about USD 631 billion; growth forecast of 2.2% for 2014U.S.-Swiss trade generally stable despite financial and economic crisisWorld-class infrastructure, business-friendly legal and regulatory environmentHighly educated, reliable, and flexible workforceConsumer and producer of high-quality, value-added industrial/consumer goodsManufacturing sector is highly automated and efficientStrong demand for high quality products with competitive pricesHighest per capita IT spending in the worldMultilingual/multicultural European test market and business environmentMarket ChallengesMarket is sophisticated, quality-conscious, high-tech and competitiveWhile EU-type regulations and standards exist in general, there are significant exceptionsUnique Swiss requirements for pharmaceuticals, cosmetics, detergents, and chemicalsdomestic rules and regulations applySwiss consumers places a premium on qualityslow decision-making because of the need for consensus and a reluctance to take risksThe Swiss economy is highly integrated in the international economy, capitalising on an open trade regime for industrial products but with a protected agricultural sector.Tariffs on Swiss manufactures are generally low, and in principle there are no quantitative restrictions, anti-dumping, countervailing or safeguard actions. There are however significant tariffs on a number of agricultural products such as meat or on certain processed agricultural products.Market OpportunitiesProducts with relatively advanced technologies are best prospectsSwitzerland is strategically placed as a gateway to EU marketsIdeal test market for introduction of new high tech and consumer productsExcellent platform for marketing into Europe, Middle East and AfricaHigh concentration of computer/Internet usage per capitaSwitzerland is becoming a European center for commercial aviation businessFast growing demand for highly sophisticated security equipment/systemsOne of the world’s top countries for R opportunities for partnerships in biotech, nanotech, and renewable energies, especially solarSignificant assets pooled from around the world under Swiss management, creating excellent opportunities for U.S. financial services providersMarket Entry StrategyExpress commitment to the market and establish long term relationshipsWork directly with Swiss government for maximum market profitBe prepared to meet customer’s needs and willing to sell in small volumesOffer high quality and environmentally friendly productsEnter the market early to gain and maintain competitive edgeEvaluate carefully prospective partner’s technical qualifications and ability to cover the German, French and Italian regions