Press release: Quebec companies are well-positioned to penetrate international markets but must meet certain challenges

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Added on 27 February 2005 in Press releases

Press release

Quebec companies are well-positioned to
penetrate international markets
but must meet certain challenges

Montreal, February 28, 2005 – Today, Mr. Yvon Beaudoin, president of the Association de la construction du Québec (ACQ), and Ms. Isabelle Hudon, president and CEO of the Board of Trade of Metropolitan Montreal, revealed the results of a major study of market diversification for companies in Quebec's non-residential construction sector.

This study, carried out for the ACQ by the team of experts at the Board of Trade's World Trade Centre Montréal, is in line with their common goals to inform, train, and support companies in the construction sector in their efforts to prospect new markets.

While 87% of ACQ members that export do so to the United States , much remains to be done to develop promising new export markets. “Meeting the export challenge is vital to ensuring the development of non-residential construction companies. It is important for them to understand global trends so they can take advantage of attractive business opportunities,” explained Beaudoin.

Although the markets proposed by the study present significant challenges to those wishing to penetrate them, the study shows that Quebec's non-residential construction companies have all the expertise necessary to carve out a choice niche for themselves in several international markets.

In preparing this report, the Board of Trade's international trade experts, the team at the World Trade Centre Montréal, analyzed the potential of various export markets. After eliminating those countries presenting risks of non-payment or ranking high on the Corruption Perceptions Index, they classified markets according to both economic and business opportunity indicators.

This exhaustive analysis revealed that four countries stand out as offering high potential for companies wishing to export their know-how. These are Brazil , Chile , China , and the Czech Republic .

“While recent years have been prosperous for the construction sector, Quebec and Canadian markets are relatively limited, particularly with regard to non-residential construction. And it is precisely when things are going well that you've got to take advantage of that situation to develop external markets with high potential, so you're ready when the domestic market shows the first signs of slowing down,” explained Hudon.

But, whatever the market, contractors must seize business opportunities by adapting their strategies based on their strengths and weaknesses. For example, while companies offering innovative products may do well in industrialized countries, manufacturers of customized products might do better to target small emerging markets.

A study of this kind also makes it possible to convey first-hand information to companies developing an export strategy aiming to expand their expertise, increase their size, and implement continuous improvement processes to adapt to major demand trends on world markets.

“The Association de la construction du Québec has always strived to adapt its actions to meet industry demands. In the light of the results of this important study, our association is better equipped to inform and, where necessary, support construction contractors in taking an informed approach with every chance of success,” concluded Beaudoin.

The Association de la construction du Québec represents 15,000 firms through its various mandates to promote and defend the interests of construction companies. Its members operate primarily in the institutional-commercial and industrial sectors (IC/I). ACQ is the employer bargaining agent for IC/I employers. The Association is also present in the residential sector through its Qualité Habitation and Qualité Rénovation guarantee plans.

The Board of Trade of Metropolitan Montreal , through its experts at the World Trade Centre Montréal, offers international trade services to the greater business community.

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Source:
Dominique Lambert
Communications Dominique Lambert
(514) 879-9779

Information:
Élizabeth Huart
Agent, Communications
Board of Trade of Metropolitan Montreal
(514) 871-4000, ext. 4088

Dominique Racine
Agent, Communications, and reviser
Association de la construction du Québec (ACQ)
(514) 354-8249, ext. 263

Étude de diversfication des marchés

Executive summary - Market Diversification Study