How to enter the Polish MarketIn cooperation with Actoribus

Polish-Estonian Meeting / Polish Chamber of Commerce 18th March 2014

 t: +48 22 275 57 84 / e: office@actoribus.com / w: www.actoribus.comActoribus Sp. z o.o. / Aleje Jerozolimskie 96 / Equator II Building / 00-807 Warsaw

Marek Florczak / CEOAndrzej Cholewinski / COO

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Success Delivery Agenda

1. About Actoribus

2. About our Partners

3. Our Approach

4. Poland – a place where the business has to be done

5. What can we offer?

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Success Delivery Our TeamMarek Florczak, MBA - CEO; GM, Sales Manager with 15 years experience (building, engeniering, distribution, operational management)

Andrzej Cholewiński, MBA - COO; GM, Capital Investor, Senior Interim Manager with over 25 years international experience (general management, IT, finance, sales, marketing) Robert Loranc, DBA - CFO; GM, Interim Manager with 20 years experience (capital investments, restructuring, financing, insurance)

Marek Szala, PhD. - Non Executive Director (IT, controlling)-----------

+ Associate Partners:

Wojciech Reszka, MBA, Company Doctor, Finance Manager, Managing Partner, Co-operating with VC, investors, insurance companies.

Katarzyna Dąbrowska, Licenced Tax Advisor, Accountancy, Co-operating with UE Funds

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Success Delivery Who we are? / Our roots…

• Active top managers for over two decades in Poland and Western countries running projects for significant, international key market players

• Founders and members of Interim Managers society in Poland (SIM – Polish Interim Managers Association)

• Access to the varies competencies and disciplines

• Close cooperation with:

• Shareholders & decision makers of small & medium enterprises acting on the Polish market,

• Business associations & organisations in Poland,• Law firms,• Tax consultancies,• HR & Executive Search,• Real Estate Agents,• Local authorities,• State authorities,• Venture Capital & Private Equity

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Success Delivery Our Bussiness Partners

• Accountancy officies

(MK Salvia Sp. z o.o. Mazowsze, Dolny Śląsk)

• Tax advisor consultancy

(Katarzyna Dąbrowska - Mazowsze, Dolny Śląsk; Robert Lorczyk - Śląsk)

• Legal offices

(Iurico - Dolny Śląsk, Trusiewicz & Siwko - Mazowsze )

• HR & Executive Search Agencies

(HR Practice, Inwenta, Hill)

• PR Agencies

(Glaubicz & Garwolińska Consultants)

• VC & PE

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Success Delivery Who we are? / Our projects …

• List of some our projects: simmilar to your area interest

• Link to our projects (available on www.actoribus.com)

• We run projects in following countries:

• Poland,• Ukraine,• Latvia,• Lithuania,• Estonia,• Slovakia,• Czech Republic,• Germany,• Switzerland,• Austria,• UK,• USA,

• Belgium,• Netherlands,• Danmark,• Finnland,• Sweden,• Russia,• Spain,• Italy,• France,• Romania,• Hungary,• China.

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Success Delivery Who we are? / Our projects (available on www.actoribus.com)

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What we do?

Effectively prove the multiplier effect in the process of delivering success in carrying out the services in the following areas:

1. Interim Management,

2. Outsourcing Personal Management Functions,

3. Project Management,

4. Business Advisory,

5. International Trade.

ACTORIBUS

Success Delivery

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Success Delivery International Trade

Actoribus helps in choosing the best form of representation on the Polish market:

• Agency - /The agent is working on your behalf and in your name/

• Consignment - /The person or company is working on your behalf but on its own name/

• Distribution - /The person or company is working on its own name; e.g. based on regional exclusivity/

What Actoribus has done already:

• Selected the best trading strategy for their clients, • Built departments and trading company "from scratch”,• Managed sales networks in various industries,• Opened trade agencies,• Built incentive schemes for staff,• Improved sales processes.

How to enter the Polish MarketIn cooperation with Actoribus

Polish-Estonian Meeting / Polish Chamber of Commerce 18th March 2014

 t: +48 22 275 57 84 / e: office@actoribus.com / w: www.actoribus.comActoribus Sp. z o.o. / Aleje Jerozolimskie 96 / Equator II Building / 00-807 Warsaw

Andrzej Cholewinski / COO

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Success Delivery Poland – new market for you

But not only … above figures are important.

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Success Delivery Poland – Estonia / small comparison

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Success Delivery Poland – Estonia / small comparison

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Success Delivery Poland – Estonia / small comparison

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Success Delivery Poland – new market for you

Polish Daily Rzeczpospolita on 11.3.2014

„… electronics, clothes and cosmetics are in Polish stores over 50% more expensive than in the West…”

„Polish sluice-gate prices”

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Success Delivery Poland – new market for you

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Success Delivery Poland – new market for you

A few numbers …

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Success Delivery What we offer for Estonian Companies?

„5-Step Primer to Entering New Markets”

We suggest following five steps to properly assess the opportunities and risks of a new market.

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Success Delivery What we recommend? 1/3

1. Define the MarketClearly defining your market may seem like a simple step, but before you identify who you want to sell your product to, it is difficult to understand their needs. You'll want to consider the demographics, location, and common interests or needs of your target customers.

2. Perform Market AnalysisExpanding into new markets involves a great deal of market research in addition to target customers. You'll want to develop an in-depth understanding of market growth rates, forecasted demand, competitors, and potential barriers to entry.

3. Assess Internal CapabilitiesMuch of your decision on how to enter a new market (build, buy, or partner) is driven by an internal capabilities assessment. During this stage, you should ask yourself questions like:

1. How much of our core competencies can we leverage? 2. Do we have sales channels / infrastructure / relationships in place? 3. What time-to-market considerations exist?

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Success Delivery What we recommend? 2/3

4. Prioritize and Select MarketsOnce you've completed the market analysis and internal skills assessment, it is time to prioritize potential markets for expansion. Markets should be prioritized based on the strategic fit and your ability to serve them. Answer questions like:

1. Are there gaps in this marketplace that we can fill (and do so better than our competitors)?

2. What value do we deliver to this market and how much are they willing to pay for it?

5. Develop Market Entry OptionsOnce you've selected an attractive market, you'll want to determine the appropriate level of organic investment vs. expanding through a series of acquisitions (or some combination of the two). If you have complementary infrastructure or sales channels in place, you might want to consider an organic approach to growth.

1. The key steps here are to develop:1. the business plan, case for investment, 2. implementation work plan, including owners, timelines, tasks, and key

milestones to enter.

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Success Delivery What we recommend? 3/3

Summarizing:

If you are entering an entirely new market, with limited core assets to leverage, you should consider a joint venture / partnership or acquisition.

These options require target identification, prioritization, due diligence, deal negotiation and close. Prior findings can be leveraged to identify the appropriate mix of market entry options that is linked to the business's core competencies, assets, and overall strategy.

This list of key steps in creating your market entry strategy is high level, but it shows that to make the best decision for your business, you need to do your homework and consider all of your options around cost, risk and predictability.

Remember:

Success of any market entry strategy is driven partially by factors outside of your control - but investment in these upfront steps should help you to mitigate the risk.

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Success Delivery What we offer?

1. Market Entry Strategy preparation

2. Market research and establishing approriopriate contacts & connections

3. Legal aspects

4. Organization of your local business

5. Staff recruitment

6. General Business Management

Everything from a single source

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Success Delivery What we offer?

Thanks for your attention

Actoribus Sp. z o.o.Aleje Jerozolimskie 96, Equator II00-807 Warszawa, PolandT: +48 22 275-57-84E: office@actoribus.comW: www.actoribus.com

Andrzej Cholewinski / COOT: +48 786 819 311E: andrzej.cholewinski@actoribus.com

Marek Florczak / CEOT: +48 607 337 948E: marek.florczak@actoribus.com