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Dental Tribune Asia Pacific Edition No. 10, 2015

Dental TribuneAsia Pacific Edition | 10/2015 BUSINESS 09 In the presence of 100 guests and partners from South East Asia, den- tal manufacturer Ivoclar Vivadent recently opened a new marketing office in Indonesia. Located in the western province of Banten, the of- fice is intended to provide market- ing support on both clinical and technical products to business part- ners in the region. The former gen- eral manager of Ivoclar Vivadent China,Jörg Brenn,will head the new operations. At the recently held FDIAnnualWorldDentalCongressin Bangkok inThailand,DentalTribune had the opportunity to speak with Brenn and Global Region Head Asia/Pacific Christian Brutzer about the new venture and how it will influence their company’s position and business strategies in the Asia Pacific region. Dental Tribune: With the new office in Indonesia, your company has recently extended its marketing network to South East Asia. What was the incentive behind setting up a regional hub there? JörgBrenn:Besideshavingalarge number of dentists and dental lab- oratories,Indonesiaremainsoneof the fastest growing markets in the entireAsiaPacificregion.However, this was only one of the reasons for setting up an office there. We also decided to go to Indonesia because of the unique economic circum- stances. Most of our competitors are still operating from Thailand or Singapore, so we decided to do something completely different. The new office is based in the suburb of Tangerang (not in down- town Jakarta), which is very close to the airport. This means we can offer excellent connections for visitors from South East Asia who want to participate in our training programmes, for example. Christian Brutzer: Some years ago, Jakarta and Indonesia as a whole were certainly a secondary choice in terms of accessibility and logistics. Now, however, one can reach all important hubs in the region and beyond from there. The country also boasts a domes- tic market potential that is far higher compared with countries like Singapore. You mentioned that you will be of- fering educational programmes in Indonesia.How and in what courses will dentists be able to participate? Brutzer: Ivoclar Vivadent is a sys- tem provider. This includes educa- tion,whichwearenowabletooffer through the new International Centre for Dental Education (ICDE) in Indonesia. It is on the same level as our ICDEs in Shanghai and Osaka, for example. According to our knowledge, it is also the first training centre that a foreign man- ufacturer has set up in the country. Since we have highly trained per- sonalon-site,wewillbeabletooffer support to our clients and part- ners—something unprecedented in Indonesia. Our staff will be reg- ularly trained at our head office and have full access to the Ivoclar Vivadent information network. How does the new operation in In- donesiafitintoyouroverallbusiness strategy for the Asia Pacific region? Brutzer: When we developed our road map for Asia, we decided to implement it in small, well- thought-out steps. This strategy helped us to get through the fi- nancialcrisisin2008/2009largely unharmed.AsthemarketsinJapan, Korea, China and India have be- come established, we are now able to enter the second phase of ex- pansion and to venture into new territories. China, particularly, has developed to such an extent that it is now self-sustaining and can be entirely managed by local talent. This allows us to use valuable re- sources in other markets. We are extremely lucky to have someone like Jörg Brenn, who has 25 years of work experience in the region. What challenges does the market in IndonesiaposecomparedwithChina? Brenn: Indonesia is at the point of development where China was 15 years ago. There is a similar op- timistic spirit, even though it is on another level and has different characteristics.Onecanreallyfeela great deal of energy in the country, which may be fuelled by the new president, whose ideas have pro- vided inspiration for many. While there remains much to be done, one can clearly see the economy moving forward. For example, many Indonesians went to Singa- pore for dental treatment in the past, but now the country has so many excellent clinics and dental practices that there is no longer any need for patients to go abroad. This has given the dental business in Indonesia greater strength and higher autonomy. What are the prospects for Ivoclar Vivadent’s business in the region? Brutzer: The market in Asia is still growing more dynamically thananyothermarketintheworld, even more than Latin America. In some countries, like China, we are currently experiencing deflation owing to previous efforts by the government there to slow down growth.Naturally,thishadaneffect on dental services and the demand for materials and systems. How- ever, we envision the private sector constantly expanding and this de- velopment will give us completely differentopportunitiesintheyears to come. We are seeing similar de- velopments currently in India. As usual, we have adopted a middle- and long-term strategy in South East Asia. This means that we did not enter the market ex- pecting to know everything in just afewmonths.Itwilltakesometime to understand the environment. Fortunately, we are able to address a market like Indonesia with enough resources to accelerate thatprocess.Ourapproachisbased on sustainability. Brenn: After a year of prepara- tion and observing the market, we are already seeing a positive de- velopment in Indonesia. We now know more than ever what huge opportunities this market offers for our business. Thankyouverymuchfortheinterview. “We are now able to enter the second phase of expansion” An interview with Jörg Brenn and Christian Brutzer, representatives of Ivoclar Vivadent in Asia Christian Brutzer and Jörg Brenn celebrating the opening of Ivoclar's new SEA office with local staff members. “Asia is still growing more dynamically than any other market in the world...” Jörg Brenn (left) and Christian Brutzer (centre) in talks with DTI Group Editor Daniel Zimmermann. DTAP1015_09_Interview 14.10.15 09:10 Seite 1 DTAP1015_09_Interview 14.10.1509:10 Seite 1

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