Thus, this form of collaboration implies a transfer of experience and information from the Italian company to the Indian company, avoiding the establishment of a separate legal entity. Technology transfer can simplify the internationalization process of enterprises in the short term, but if it is embedded in a long-term strategy.
Indeed, knowhow transfer actions allow initial market access without significant investment and initial brand development, and can serve as a basis for a subsequent phase of direct investment in the target country.
Indian companies have an extremely positive perception of “Made in Italy” efficiency and know-how and are constantly seeking new technologies. This is certainly a strong point of technology transfer, especially in relation to the entry of Italian companies into the Indian market.
An example of Octagona's trademark success is the case of Moss Ltd., a Reggio Emilia-based company that has been designing and manufacturing automatic machines for different types of printing applied to packaging since 1967. The company has relied on Octagona to activate a direct presence in the Indian territory by initiating a technology transfer agreement with a partner that will allow it to produce machines locally, thus increasing competitiveness and lowering costs in the country without sacrificing product quality.
Check out the full Case Study of Moss Ltd.
Another example may be that of MecVel Ltd., a company that deals with the production and marketing of linear actuators and mechanical jacks: through Octagona India, all stages of preparing the necessary documentation, paperwork, and registration of licenses and patents were handled in order to be able to operate peacefully in India.
Check out the full Case Study of MecVel Ltd.
Finally, we report the case of Coveme spa, a company engaged in the production and marketing of plastic films and electrical insulators and the processing of polyester films. The objectives of the project were to activate a direct presidium in India, to strengthen its position in a new market, and to better support its customers by offering them the latest technological innovations.
Discover the full Case Study of Coveme spa
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Technology transfer is a multi-stage process whereby an Italian company makes knowledge, technologies, skills and production processes accessible to an Indian company, which develops them to create new products or services. It takes place through collaboration with a local partner, without forming a separate legal entity in India.
Technology transfer allows initial access to the Indian market without significant investment and the initial development of the brand, avoiding the need to establish a local company. It is suitable for SMEs seeking a gradual approach and can be the basis for subsequent direct investment in the country.
India is the second most populous country and the sixth largest economy in the world, with an average GDP growth of 6.1% annually over the last 10 years according to the IMF. According to the World Economic Forum, by 2030 more than 140 million families will enter the middle class. Furthermore, Indian companies appreciate the Made in Italy know-how.
According to the Global Innovation Index, India ranks 40th in innovation capacity, while Italy ranks 28th. India has gained six positions in one year, from 46th place in 2021. Programs such as Make in India and Digital India have favored the growth of startups: in 2021, according to Forbes India, 42 were valued at over a billion dollars.
Moss srl, from Reggio Emilia, signed a technology transfer agreement with a partner to produce packaging printing machines directly in India, reducing costs without losing quality. MecVel srl managed documentation, bureaucratic procedures, licenses, and patents through Octagona India. Coveme spa activated a direct presence to support customers.
Yes, the transfer of know-how can serve as a basis for a subsequent phase of direct investment in India. However, in order to be effective in the short term, it must be part of a long-term internationalization strategy that defines from the outset how to develop brands and a presence in the Indian market.
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