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.

The Czech Republic is characterized by wide population dispersion. Over 10 percent of the population is centered in Prague, the only city with more than one million inhabitants, while the majority of Czechs live within 30 minutes of other major commercial/industrial hubs (Brno, Plzen, Olomouc, etc.). Urban consumers generally have greater purchasing power than their rural counterparts. Success in this market requires an in-country presence such as an agent, distributor, or representative office. Local distributors generally take responsibility for handling customs clearance, dealing with established wholesalers/retailers, marketing the product directly to major corporations or the government, and handling after-sales service. Companies should consider taking a regional approach to business involving one or more Central or Eastern European countries. Poland and Slovakia tend to fit into a successful regional strategy, with Hungary a close third. Performing detailed market research to identify specific sector opportunities and capitalizing on the experience of successful U.S. companies in the market is a good starting point. The local American Chamber of Commerce is a valuable resource in this regard. The Czech Republic’s communications network is well developed. Email communication and website offerings are an increasingly effective means of reaching local buyers. Price remains the most critical factor when positioning a product or service for sale.
 
For additional information on topics that appear in this report as they relate to the European Union, please refer to Doing Business in the European Union: 2018 Country Commercial Guide for U.S. Companies at www.export.gov/ccg/. Sections of that report have been included in the following pages but not the entire report.

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.