"Ukrainians Can Build Strong International Companies": Rostyslav Vovk Speaks at the Forbes Entrepreneurs Forum

For any business, growth is rarely linear. Sometimes, a company reaches what feels like a ceiling—whether in terms of scale, market reach, or its operational model. However, this is exactly when the opportunity arises to rethink approaches and break through existing limitations. Surmounting these boundaries unlocks a new stage of corporate development, offering more room for growth and even more ambitious challenges.

In 2024, Kormotech reached a pivotal milestone. Having achieved its 2023 strategic goals, the company solidified its position as the undisputed market leader in Ukraine. Yet, focusing primarily on a single geography posed risks.

"We realized that if we wanted to be a global company with sustainable growth in an international environment, the old model no longer worked. We had outgrown our status as a local manufacturer with local ambitions, and we decided to build a systemic global presence," shared Rostyslav.

The company pivoted its strategy, starting with the European market. "Exporting is merely selling your product somewhere outside your home country. International business is when you build a brand, distribution networks, a local team, and a long-term presence in a specific market. That is why we are deliberately moving away from the 'a little bit everywhere' approach to concentrate our resources where we can build a large-scale business," emphasized the Kormotech CEO.

Transitioning into a global company required enhanced management capabilities, which led to a significant restructuring of the executive team.

"We weren't just changing people; we were changing the company's managerial capacity. We needed professionals who could navigate complex structures, make independent decisions, take ownership, and manage uncertainty," Rostyslav Vovk explained.

Overcoming limitations often means abandoning a strategy of spreading resources too thin. Kormotech's experience in the US market served as a powerful lesson in the importance of focus. Initially aiming for broad coverage, the company faced the challenge of low brand awareness. However, promptly recognizing the need for a pivot allowed them to reboot their model.

"The main takeaway is that sometimes you shouldn't defend your own hypothesis just because it's familiar; you must honestly admit when a chosen model isn't working," noted the CEO.

Kormotech narrowed its focus to e-commerce within a specific niche: wet cat food and canned diets. Concentrating resources yielded rapid results—revenue is currently surging, and the target for 2026 is already set at $10 million. According to Rostyslav, focus will always deliver better outcomes than scattered efforts.