Sag Group in India and Turkey thanks to Octagona

Sag Group lands in Turkey and India, and Octagona confirms its active role in providing internationalization advice to companies that decide to expand their presence in new emerging markets.

Sag Group, a group headquartered in Novellara (RE) and composed of Sag Tubi SpA, Sag Tubi Tredozio Srl and Sagom Tubi SpA, in a move to expand its business activities, has enlisted the support of Octagona, landing on the Indian and Turkish markets.

The Emilia-based company, with over forty years of experience and a consolidated turnover of about 50 million euros, operates in the automotive sector with processes for shaping and machining tubes and components for automobiles, tractors, agricultural machinery and earthmoving equipment, configuring itself as a leading company in the sector. The need to support its customers in foreign markets, and in particular in the new global markets characterized by significant economic growth, made this transition necessary.

Regarding the Indian market, Sag Group has seen fit to activate its presence through the establishment of a 50-50 joint venture with Hy-Tech Engineers, an Indian fittings manufacturer that is very active in the local market. The headquarters of the new company, called Sag Hy-Tech Tubes Pvt. Ltd. will be Pune and the manufacturing plant will have a floor area of at least 1,000 square meters. The joint venture's strategy is to process hydraulic components for the local market, initially in the agricultural and earthmoving sectors.

On the other hand, the strategy regarding the Turkish market is different: entry into the country's market involves in a direct way, the establishment of a company under local law in Istanbul: Sag Hidrolik Ticaret Sanayi Limited Þirketi. Sag Group is already present in Turkey and has several clients to its credit, including Turk Traktor. The production facility, in close proximity to the capital's main airport, in this case will be more than 2,000 square meters.

The role played by Octagona was of fundamental importance. Italian companies today necessarily have to deal with the new emerging countries in order not to be crushed by the new economic-commercial dynamics and to remain competitive in the face of the new needs and demands of a market that pushes more and more towards the internationalization of companies. For Italian SMEs, the path of access and development in the new global realities is always very complex and therefore external support becomes essential: the example of Octagona and Sag Group testifies how the integration between the two different teams and a correct and focused analytical and practical approach aimed at achieving common goals, are able to bring concrete results in line with the strategy and size of Italian companies.

Faced with a market driven by the new global players, Italian companies in order not to lose the pace must reformulate their concept of made in Italy: establishing companies under local law or finding a local partner with whom to share a corporate path, and not just rely on mere export, is an important solution as well as a guarantee of results in the future.

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