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Also, have in mind that French players are not used to renegotiating an agreement
once it has been signed, whereas Israeli companies are willing to try.
We have seen several Israeli high-tech companies trying to close a deal by offering
their French distributor a low pricing, and then trying to renegotiate such pricing
after the agreement was signed. This contributes to break the French partner’s
trust. We have also seen an Israeli company wants to gain a large French client
by approving almost all of its technical requirements, while the Israeli company
is not able to meet them. Be sure that the French company will not be willing to
renegotiate your agreement afterwards and that it will force you to honor your
contractual obligations.
Business Opportunities
One key trend is the search by large French CAP companies and SMEs for Israeli
disruptive technologies which will help them either to bring something new to their
clients, to reach new markets, optimize efficiency and reduce costs. A growing
and diverse number of French companies (from retail, food, transportation, bank,
insurance and energy), comes to Israel to seek such disruptive technologies. We
also see a growing number of business angels looking for investments in such
technologies.
Another business opportunity for Israeli companies is to set up a company in France
in order to deal with French speaking countries of Africa.We notably represent Israeli
companies in the IT and infrastructure fields which successfully took that step.
Gateway to European markets
Francecanserveas agateway toEuropeanmarkets for an Israeli company,particularly
in sectors where France primarily exports, such as transport equipment, mechanical
equipment, electric/electronic/IT equipment, chemical products/perfumes and
cosmetics, food and wine. For example, we have represented a significant Israeli
cosmetic company on the acquisition of a well-known French company, which
helped them to penetrate other markets.
Increased R&D collaboration
In terms of cooperation between Israel and France, the France-Israel Industrial R&D
Cooperation Framework (FIRAD) promotes R&D collaboration between French
and Israeli companies interested in jointly developing and commercializing new,
innovative products, applications or services.
In addition, French Tech Israel has been recently launched by the French government.
It is the second hub of the French Tech in the world, after New York. French Tech
Israel is notably aimed to contribute to the French Tech’s attractiveness to Israeli
entrepreneurs.
According to public records, there are 80 Israeli companies operating in France,
employing more than 4,500 people.