Anish Lalvani of Euro Suisse believes Hong Kong companies should move up the value chain by creating their own brands

Hong Kong-based Euro Suisse International Ltd is expanding in the Middle East as emerging markets offer great opportunities for brand building, according to its group managing director Anish Lalvani.

Mr Lalvani, whose Euro Suisse group manufactures and distributes electrical appliances under its own brand name Binatone, said: "We have a good understanding of emerging markets having done a great deal of business in eastern and central Europe. Brand building is far more cost effective and market leadership is more easily attainable in emerging markets than in developed markets."

To maintain competitive edge, Mr Lalvani believes that Hong Kong companies should move up the value chain to develop their own brands. "China is a factory to the world and is coming up fast with very competitively priced products. In order to compete more effectively, we should develop our own brands or produce more value-added, higher-end products."

Many Hong Kong companies have managed to create global awareness with just the right approach to branding, Mr Lalvani said. He quoted electronics company Vtech "which has done a great job in the US", Hong Kong-based multinational conglomerate Cheung Kong Group which operates in 41 countries with investments from property to life sciences and the internet, and garment retailer Esprit.
 
Euro Suisse does not own any factories but uses about 50 subcontractors to manufacture its products in the Pearl River Delta and other parts of China, as well as in India and Europe.

"We stick to what we do best. Our core competencies are in product development, marketing and distribution, which includes managing a complex supply chain from identifying the right subcontractors to ensuring that products are according to specification and delivered to our customers on time," added Mr Lalvani. 

Although he does business around the world, Mr Lalvani said Hong Kong still remains the best base for a marketing company like Euro Suisse. "Hong Kong is a great city, home to many multinational companies and the only major city in Asia where you can do a day trip within the Asia-Pacific. Hong Kong has rule of law and a favourable tax environment which none of the mainland cities have.

"We need a headquarters. Our customers come here and Hong Kong people are very resourceful in spite of the bad times. Hong Kong remains my firm base."

Euro Suisse operates from 20 locations around the world and as well as producing its own brand, has a wide OEM (original equipment manufacturing) customer base.

Related link:
www.eurosuisse.com