Australia and the region have excellent potential for military business
- Australia GDP is about $1560B (USD). Most of it is associated one way or the other with the mining industry (various natural resources, oil, gas, diamonds, gold, iron etc.).
- The Australian defense budget for 2015 is about $24B (USD).
- Australia is the only “power” in the region.
- Australian armed forces participated in each and every coalition effort in the last two centuries.
However, it is difficult and costly area:
- It takes 24-36h to get from Europe to Australia.
- Australia Ministry of Defense purchasing regulations are very “heavy” and it takes years to start a program.
- Cost of living in Australia is relatively expensive.
- For a European company, it becomes an expensive effort to market and support a product in Australia.
Achieving growth by entering a new market
Obviously, the cost and distance barriers play a major factor in decision processes made by European companies regarding Australia and the region market development.
RFV and its Australian partner offer a win-win solution to this issue, reducing the cost to a minimum and bridging the distance.
Hence, opening potential growth opportunities to companies that previously chose to avoid entering this area.
Our Australian partner
Our Australian partner is a public, well-established defense and technological company. It is very well connected to Australia and regional governments, as they have been the company’s customers for many years for multi-million dollar projects.
The business arrangement
Products or systems are carefully selected to ensure maximum success probability. Our Australian partner will carry out the marketing effort, integration, test, installation and life support. Thus reducing to minimum all overhead costs and improving competitive edge.