Poland: a promising market

Although the Polish capital is not yet sufficiently powerful, Polish companies are showing remarkable energy in their export activities, especially in services to France where the demand for subcontracting is still growing. However, vigilance is necessary in the labour market with regard to social legislation and compulsory declaration formalities. In cases of secondment, the « principle of the host country » applies. Although France is amongst the biggest investors in Poland, mainly thanks to the big industrial groups (telecommunications, finance, and the food industry etc.), French SMEs are still not a significant presence in Poland. Overtaken by German and Italian companies, they have not managed to stimulate trade to an extent where they are able to take advantage of the opportunities that have opened up to them.

Starting a business in Poland
The following advice is applicable to any business project abroad.

1) Firstly, acquiring some basic knowledge of the country and its people - its history, culture and regions - is indispensable for anticipating cultural differences and fostering mutual understanding. It must be remembered that 50 years of Communism have left traces that 2 years’ membership of the EU have not yet had time to erase.

2) A preliminary trip designed to meet business contacts carefully selected in advance can prove very useful. In this respect, the Polish CCI has a great deal of experience. Warsaw is enjoying a real property boom, but other regions should not be neglected. These are developing at a great rate, particularly in sectors such as the timber industry, automobile and aeronautics subcontracting, R&D in the information technology sector, call-centres and back-office services in areas with a large workforce. Some of these regions are developing rapidly thanks to the free zones that for the next few years are offering tax advantages to investors.

3) Poland has made a considerable effort over the last 15 years to bring its legislation into line with Community law and certain Polish measures are even more restrictive. However, appearances can be deceptive and lead to disastrous results, especially in accounting and tax matters. Since laws are not exactly the same in all European countries, entrepreneurs should not hesitate to take the advice of experienced locals.

4) A solid business-plan should be drawn up so as to choose an optimal investment : commercial cooperation, subcontracting, partnership or « green field » project. A different approach and level of commitment in terms of time and funding is required in each case.

5) Before planning increased integration or over-rapid development, entrepreneurs should learn to work with the Poles and gain their confidence. Indeed, time is often a determining factor and does not mean quite the same thing to the Poles as to us. Moreover, one should not neglect the solid experience the Poles have acquired in markets such as Russia, Ukraine and other neighbouring countries; experience that could prove very useful for entry into these markets in the long-term.