It is not easy to penetrate a very discerning and astute Korean market. Korean consumer standards are quite high in all aspects especially for agriculture products.

This was the first challenge faced by Australia's mushroom producer Sylvan Australia Pty Ltd as they try to venture out to an international market.

As a subsidiary of Sylvan Inc. an American company and global leader in fungal technology, the Australian subsidiary was able to make a significant contribution to the company's steady earnings in the past years because of their distinct success in engaging the Korean market.

Local consumers in Korea are willing to pay a premium so long as products are well-manufactured and are in excellent shape. It was for this reason that Sylvan Australia Pty Ltd carefully studied this particular market and made sure their capabilities match their needs.

Sylvan Australia's Products: The company produces spawn the equivalent of mushroom seed. In Australia, mushroom growers sew the spawn into wheat straw-based nutrient rich substrate. In Korea and other Asian countries it's sewn into a substrate that utilises local material such as rice straw. Sylvan Australia compliments its spawn offering with a range of related products and services designed to meet the needs of the mushroom grower.

In a case study presented by Austrade.com, Sylvan Australia's former manager Marion Lawson shares that it was a challenge for the company to engage and find the right partners in Korea. Due to their perseverance and hard work, Sylvan Australia was the first foreign company to be granted a permit to import mushroom seed under Korean Seed Law.

Ms Lawson, who has now started her own business venture Viteyia Pty Limited, has this advice for companies who want to venture into exports.

Advice for exporters

Study the market - work from the market back. Make sure you have a good product/ market fit. Ensure that your distributors understand your product and can provide technical support for your product. This is especially important in the agriculture sector. Understand the supply chain in the countries you're exporting to. Especially important is an understanding of the cultural differences whether it is business culture or social culture. Be patient. Use Austrade's services. In our case their support has been invaluable; the Seoul office was instrumental in securing business in Korea. It has been a good partnership, and continues to be so.

Advice on starting up a new company

Make sure you have a product and not just a great idea, understand your customers' needs and provide a product that fits those needs. Be flexible and open-minded, but be focussed on the goal. Be prepared to rethink your strategy, most times getting from A to B is not a straight line, it can be very circuitous and its amazing what you pick up and learn along the way. Watch the cash flow and don't start undercapitalised.

What to be careful of when exporting

Communicate clearly terms of trade. Ensure that all agreements and understandings are well documented. Bring yourself up to speed on tax and legal implications relating to trade between your home country and the country your exporting to. Make sure you comply with all regulatory rules and laws in the export country - they may not be obvious at first.