Generalizes on the best strategy to enter the market, e.g., visiting the country; importance of relationships to finding a good partner; use of agents.

A company’s market entry strategy will largely depend on the type of product or service it has to offer. As in most markets, finding a reliable and competent importer, distributor, or partner is advised. A strong understanding of local legislation, particularly tax and customs legislation, is required. 

Western-style legal consultancies can help find partners or perform due diligence; however, their capacity to act as responsible agents is limited, largely due to the lack of transparency in the business culture as a whole.  Most successful foreign investors have Armenian partners who are familiar with the local business environment. Person-to-person contact in the Armenian business culture is very important.  Additionally:

Expect to commit significant time, personnel, and capital, as developing and maintaining business in Armenia is resource-intensive.

Conduct significant due diligence to ascertain the reliability of business partners.

Consult with U.S. companies already in the market, as well as with the U.S. Embassy and business organizations such as the American Chamber of Commerce in Armenia.

Communicate regularly with Armenian business partners to ensure common understanding of expectations.

Travel frequently to Armenia in order to establish and maintain relationships with partners and to understand changing market conditions.

Maintain a long-term time frame. 

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.