The US approves a $1.2 trillion Infrastructure Plan, creating huge opportunities for international companies

The US approves a $1.2 trillion Infrastructure Plan, creating huge opportunities for international companies

Government Contracts
After eight months of negotiation in the US Congress, finally the House of Representatives approved late on Friday the 5th the “Infrastructure Investment and Jobs Act”. With 228 votes in favor and 206 against, the decision had the support of most members of the Democratic Party (all its representatives except 6 voted in favor) and the rejection of the majority of the Republican Party, although 13 of its representatives also gave their approval. Given that the law had already been approved by the Upper House or Senate in August by a wide majority (69-30), it only awaits the presidential signature to become effective. This is a cornerstone of Biden's legislative agenda. It is an essential element of the “Build Back Better” plan, one of the pillars of his electoral program.…
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How to win contracts from the world’s largest client: the US Government

How to win contracts from the world’s largest client: the US Government

Government Contracts
Introduction The federal government of the United States is the largest customer in the world. According to USA Spending, the budget for fiscal year 2021, out of a total of 8.5 trillion dollars, includes 832 billion for services and supplies, as well as 165 billion for asset purchases. On the other hand, states and local governments (counties and cities) manage budgets totaling more than 4 trillion dollars. International companies often ignore or avoid the US government market because they incorrectly understand that it is closed to them or is very difficult to access. If they do, they may miss out on great opportunities. Of the top 100 companies that win contracts with the US government, about 35 are headquartered in other countries. As an example, BAE Systems, a British aerospace…
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Important agreement between the US and several European countries to eliminate certain tariffs linked to the “Google tax”

Important agreement between the US and several European countries to eliminate certain tariffs linked to the “Google tax”

International Trade
On October 21, the United States signed an important agreement with Spain, Austria, France, Italy and the United Kingdom to eliminate certain taxes and tariffs, according to statement from the US Trade Representative.  The agreement comes after these countries agreed to join the global pact promoted by the Organization for Economic Cooperation and Development (OECD) to set a minimum global tax of 15% on the profits of companies with annual revenues of more than 750 million euros. Thanks to this agreement, the United States will not impose the tariffs on products from those countries that had been applied in retaliation for taxes applied in those countries on certain digital services, which some media have called the "Google tax". The US had announced at the beginning of June the imposition of an…
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Biotech: The American El Dorado

Biotech: The American El Dorado

Business
By Juan Rivera-Mata, Ph. D. Markentry USA Partner. Pfizer in the first 6 months of 2021 obtained US $1,330 million in profits (+62% compared to the first half of 2020). This was mainly due to the sale of more than 1 billion COVID-19 vaccines. But the discovery of the vaccine came from BioNTech, a German company of 2 Turkish researchers. In the same period, BioNtech got 2,800 million euros in profit, while in the first 6 months of 2020 it had losses of 141.7 million euros; it was the first time they have had a profit. With the current contracts and the expected recommendation of a third booster dose, BioNtech will probably end 2021 as one of the world's leading pharmaceutical companies, similar to Biogen, Teva or Novo-Nordisk, a company…
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Keys for the Commercialization of Medical Devices in the US

Keys for the Commercialization of Medical Devices in the US

Laws and regulations
By Maria Jose Lopez Barragan, Ph.D. Markentry USA Partner and Juan Rivera-Mata, Ph. D. Markentry USA Partner Many companies plan their entry into the American market without a good understanding of the legal requirements that govern their products in the US. The FDA (Food and Drug Administration) regulates the consumption not only of drugs and food, but also of veterinary products, cosmetics, tobacco, and so-called “medical devices”.About one-fifth of what American consumers spend is, in one way or another, regulated by the FDA Under the category of medical devices there is a wide variety of products that ranges from complex devices that assist robotic surgery or even artificial organs, to objects that accompany our daily lives and whose perception can be very different from what anyone would consider a medical…
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How to Ensure your International Company Website is Effective in the US

How to Ensure your International Company Website is Effective in the US

Business Development
Introduction At this point, it should be unnecessary to explain why taking care of the online presence of a business is essential if you want to succeed in any market in the world, with very few exceptions. However, it is surprising the high number of errors that can be identified when reviewing the web pages of international companies that are devoting large amounts of resources to entering the US market. In this article we will identify the most frequent problems and propose some ways to solve them.Think Globally, Act LocallyIn a global or international strategy, it is essential to know the details that must be adapted for important markets. The United States is a country with special characteristics that may lead to the need for not obvious modifications in the message…
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Suspension of the tariffs between the US and the EU derived from disputes over public aid to Boeing and Airbus

Suspension of the tariffs between the US and the EU derived from disputes over public aid to Boeing and Airbus

Business
In a joint statement on March 5th, the US and the European Union have agreed to an immediate suspension of the tariffs that had arisen as a result of disputes associated with public aid to Boeing and Airbus. A similar agreement between the US and the UK was announced the prior day.These conflicts, managed within the framework of the World Trade Organization (WTO), had led to the authorization by WTO of tariffs on a wide range of products from both sides. This confirms the expectations we had explained in our recent article The Biden Era is Coming: Impact on Companies International and in which we said "It is to be hoped that the new administration will resume international collaboration within the framework of the World Trade Organization and seek ways to end…
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Seven deadly sins in US market entry

Seven deadly sins in US market entry

Business
By Gonzalo Garcia, Founder and CEO of Markentry USA CONTENTS Introduction  1. Not adapting the 4 Ps of the ‘marketing mix’ to the target market 2. Ignoring regional differences or acting in the wrong state 3. Landing without the local support of experts in the target market 4. Acting without a subsidiary or choosing an inappropriate structure for it 5. Designing a complex and rigid business plan 6. Underestimating costs and deadlines 7. Underestimating the impact the US can have on the business Conclusion Conclusion Introduction The challenge faced by international companies and foreign entrepreneurs when trying to enter the US market is as great as the payoff obtained from succeeding. We are talking about a market of 330 million people with a per capita income of $65,000, which being…
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The Biden Era Begins: Impact on International Companies

The Biden Era Begins: Impact on International Companies

Business
By Gonzalo Garcia, Founder and CEO of Markentry USA CONTENTS 1. Introduction  2. Biden's real ability to drive meaningful change 3. Biden's priorities 4. People appointed to key positions 5. International trade 6. Immigration and travel bans 7. Opportunities for international companies 8. Conclusions 5. Conclusions 1. Introduction The inauguration of Joe Biden as President of the United States on January 20 represents a radical change of course with respect to what has been the period led by Donald Trump. Without a doubt, it is going to have a significant impact on international companies that compete or want to compete in the US market, which we will analyze in detail in this article.We will study the depth of the expected changes, taking into account the nuances of the US political…
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Biopharma perspectives 2021-24 with Trump or Biden

Biopharma perspectives 2021-24 with Trump or Biden

Business Development
By Juan Rivera-Mata, Markentry USA Partner The US elections may entail different scenarios for the biopharmaceutical industry. During his term, Trump has tried to eliminate “Obamacare” (a law that, among other things, makes it mandatory for companies to provide health insurance to their employees), and Biden has used that possibility as a main element of his campaign. But, at the same time as the President, local and state officials are also elected, and the House of Representatives and 1/3 of the Senate are renewed. It appears that Democrats will remain a majority in the House, but the Senate, now Republican, may go "blue." Trump has appointed 3 members of the Supreme Court - for life -, making it (6/3) conservative. The obligation to have health insurance (and any subsequent reform) will…
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