Describe what type of business structure works both for your company and within the country you select?
Transmerico chose to use a corporate structure to protect its Russian subsidiary, Bun desman Translation Inc., from the legal and financial dangers often associated with the Russian market.
What are some of the legal aspects of running your business in the country chosen?
Russia’s vast bureaucracy and the lethargic legal system can frighten the savviest foreign investor. Everyone possesses a fear of the unknown and unexplainable. Compound these fears with potentially serious legal and financial consequences and you have the perfect formula for an investor’s nightmare. How the Russian legal bureaucracy prescribes its cures for business problems can seem like an enigma to someone unfamiliar with the Russian culture. For example, large amounts of paperwork are required to conduct relatively simple business operations such as opening a branch office. “You have to rent a cargo van to haul all of the necessary documents to the financial and legal authorities. To open our first branch office in Moscow we had to process 47 different documents. To overcome these challenges we had to evaluate the cost of spending months in court to avoid paying small fines. For example, in Russia all business documentation needs to …show more content…
customers who have already established a beachhead in Russia. We are currently deploying agents to Russia regularly to assist them. We feel this demand is strong enough to warrant establishing branch offices in Russia to provide our existing global clients with an increased level of customer service. Having branch offices there will help to ensure shorter lead times for valuable our customers. In addition, our increased presence in the Russian market will help to foster our reputation for reliability and to build key relationships with other potential customers through increased local
Transmerico chose to use a corporate structure to protect its Russian subsidiary, Bun desman Translation Inc., from the legal and financial dangers often associated with the Russian market.
What are some of the legal aspects of running your business in the country chosen?
Russia’s vast bureaucracy and the lethargic legal system can frighten the savviest foreign investor. Everyone possesses a fear of the unknown and unexplainable. Compound these fears with potentially serious legal and financial consequences and you have the perfect formula for an investor’s nightmare. How the Russian legal bureaucracy prescribes its cures for business problems can seem like an enigma to someone unfamiliar with the Russian culture. For example, large amounts of paperwork are required to conduct relatively simple business operations such as opening a branch office. “You have to rent a cargo van to haul all of the necessary documents to the financial and legal authorities. To open our first branch office in Moscow we had to process 47 different documents. To overcome these challenges we had to evaluate the cost of spending months in court to avoid paying small fines. For example, in Russia all business documentation needs to …show more content…
customers who have already established a beachhead in Russia. We are currently deploying agents to Russia regularly to assist them. We feel this demand is strong enough to warrant establishing branch offices in Russia to provide our existing global clients with an increased level of customer service. Having branch offices there will help to ensure shorter lead times for valuable our customers. In addition, our increased presence in the Russian market will help to foster our reputation for reliability and to build key relationships with other potential customers through increased local