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After integration with the EU, internationalization and benefits

This article explores the benefits of integrating with the European Union (EU) for software development and distribution. Promoting internationalization, companies like Real Systems have increased their export revenues by targeting multiple states, including EU members. Key advantages include enhanced funding opportunities, reduced customs barriers, and improved access to support structures. Companies experience easier business development and a more stable currency environment. The discussion emphasizes how digital services and localizations are key for success in various public and private sectors across Europe.

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After integration with the EU, internationalization and benefits

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  1. After integration with the EU, internationalization and benefits Example of software development & distribution Tiit Vapper With the support of the European Commission

  2. Software- a Specific Business • Software Development • Software Sales • Training • Support & Maintenance • Consultancy • No heavygoods, complicated transport & logistics • Electronictransferis a “service” • Language-specific (localization, int-lization) • Multipleversionstomaintain • Knowledge- based

  3. Countries 160 37 180 181 104 76 29 37

  4. Real Systems: 9 years of exporting: • Founded in 1993 • Proportion of export has been 60-90% of revenues of the last 5 years • Exporting to 15 states, 3 (Latvia, Lithuania, Finland) of them belong to the EU • Most of the customers are public institutions • Export- markets have special segmentation (LE or e-Gov)

  5. Products & Sales Objects • Softwareforcriminalanalysis and investigation • lawenforcement, banks, telecoms, … • Public & Enterprise-level InformationSystems/ Registers • Business Register, prisons, TaxBoard, post, vehicleregistration, etc. • Software • Training • Support & Maintenance • Consultancy

  6. Internationalization • TheStructureofSales • DirectSales (EU) • Subsidiaries (3rd countries) • Partners (& Agents) • Organizationaldevelopmentiseasierforthemembersofthe EU (moreinformation) • Businessdevelopmentiseasierforthemembersofthe EU, duetothehelpinginstitutionsinyour market statesinthe EU and outside

  7. Changes and Barriers After Joining the EU • Ingeneral-thebordersof a countryhavebecomevastlywider-newborders are oftheUnion • Real Systemshasnotnoticedanythingthatcouldbecalled“a barrier” inbusinessforthe 3rd countriesthathasnotexistedbeforejoiningthe EU • Customsformalitieshavedisappearedinsidethe EU; it’slikeinthepastforthe 3rd countries. Taxationisnotlessormorecomplicated. • EU bureaucracyhasreplacedmuchofthelocalone

  8. The Main Benefits (1) • More funding for your (potential) customers (mostly public) • More funding for business support (like “Enterprise Estonia”) • More support structures for business (diplomatic, business, lobbying, etc.) • More initiatives (pan-European, border countries, …)

  9. The Main Benefits (2) • Euro is an essential benefit- the fixed currency rate (1 EUR= 15,6466 EEK ) is like belonging to the Euro fiscal zone • EU does not offer any reputation to a company, it has to gain it’s own. But it gives the chance to make business easier with it while knowing the general EU standards. • The EU border- countries and potential new members try to adopt the EU ways of business

  10. Thank you for your attention! www.realsystems.eu

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