German-based start-up Psipenta is considering whether to acquire a technology or services company in the US as a means of penetrating into this notoriously protectionist marketplace.
The supplier of object-oriented process manufacturing software is a wholly-owned subsidiary of PSI AG, which went public on the Neue Markt stock exchange in Frankfurt last year.
It decided to spin off Psipenta as a separate business unit 14 months ago to enter new geographic markets and set up an office with three staff in Boston at the beginning of the year. It expects this number to grow to 15 by the end of 1998.
The firm already has offices in the UK, Switzerland and the Czech Republic, but generates 70 per cent of its revenues in its domestic marketplace, 20 per cent in Switzerland and the rest elsewhere.
Karsten Pierschke, Psipenta?s manager of strategic alliances, said: ?To try and enter a market, you can go direct. That takes time and money, but we?ve started it and we now have two US customers, which are the subsidiaries of German companies. The second possible way is to go indirect and the third is to acquire an existing company. We?ve no concrete plans here, but it may happen.?
He added that the company planned to open a West Coast office by the end of next year, but was considering whether to expand its US coverage elsewhere by recruiting a third party consulting channel.
Psipenta generated DM31 million ($20 million) in 1997, but expects to turn over about DM60 million ($40 million) this year, while its parent company made DM130 million last year and anticipates sales of DM160 million this.
The firm is intent on focussing on its process manufacturing niche to compete against rivals such as SAP and claims its strengths are in make to order, assemble to order, make to stock and engineer to order manufacturing - areas in which SAP is weak.
Key vertical markets include machinery, machine tool and capital goods suppliers, automotive parts and electronics vendors, where customers include Skoda, Volkswagen, and Lufthansa Airplus.
The tank will be subjected to high stresses and loads via dozens of hydraulic cylinders during testing
'Sunlit wet sidewalk' provides evidence of methane rainfall on the north pole of Saturn's moon Titan
Methane rainfall indicates the start of the summer season in Titan's northern hemisphere
Scientists believe there could be other hydrides or superhydrides with super conducting properties
Resetting the telemetry circuits and associated boards brought the instrument back to operations mode