The ONCE Business Corporation’s urban furniture company, PRIMUR, has embarked on a new project in the Indian city of Mumbai, offering technical assistance and verification, with the transfer of manufacturing designs and technology for several of its products. The initiative is the result of the evaluation by the CEOSA company of aspects such as the use of its technical office resources so as to avoid investment; keeping an appropriate margin corresponding to higher quality and technology, almost without costs; and payment guarantee.

As the Managing Director of CEOSA, Enrique Servando Sánchez, explained to our magazine: “this experience shows us that expansion in the international market, particularly in emerging countries, becomes an appropriate and feasible growth option for many companies. However, it is always necessary to have an in-depth awareness of the country’s economic and regulatory context and hold diverse strategic considerations for the organization”.

Although international expansion always represents an important challenge for any company, in the case of PRIMUR, it has been even greater due to initial difficulties derived from transport costs and complications to the market in India, in situ installation problems of the urban furniture and its subsequent maintenance. All of this is combined with the local characteristics in terms of legislation and recognition, without forgetting the problems involved in the payment for operations. “These are questions that can be faced with effort, imagination and courage –according to Sánchez-, but there are two inevitably unavoidable decisive factors: import duties that must be paid and competition due to the lower manufacturing cost of equivalent products in the destination country, in this case India”.

More Contracts in Spain
The scope of new foreign markets has not led PRIMUR to let down its guard in the Spanish domestic market.  Hence, at the end of this summer, it has already signed some important orders on diverse fronts. First of all, RENFE has awarded it with a one million euro-contract to develop, supply and install a series of new windows by 30th June 2010. On the other hand, Local Corporations that trust in its urban furniture products are being added to its portfolio of new clients.  These include Vitoria with an order for Sigma litter bins and shelters for the city centre; Zamora, with two Cubo kiosks and a Euro Minusválido disabled toilet; the town of Jávea (Alicante), which has requested the construction of a new  Watch Tower; Leganés (Madrid), with two toilets for use by drivers at the long-distance Transport Company; Talavera de la Reina (Toledo), with a T-5 kiosk; various Azahara kiosks for Venta de Baños (Zamora); and, an order for Alfa litter bins for various villages in the province of Seville. As for the city of Córdoba and its urban environment, PRIMUR has just supplied 43 Rural model shelters.

In parallel, automatic bicycle parking systems have been produced and supplied to the City Councils in Leganés (Madrid), Pontevedra, Avilés (Asturias), Ponferrada (León) and Getxo (Vizcaya). Finally, there are orders from Roquetas de Mar (Almería), which has awarded the construction of a hut for its Tourist Information Office; the municipality of Arona (Gran Canaria), with a new Rescue Building for Los Cristianos beach; Gijón, which has requested a wooden lifeguard cabin for one of the city’s beaches; and Laxe council (Coruña), with an order for Ola showers.