Present Day Great efforts have been made to make it easier to establish a Western business in the East. However, some problems still exist. The greatest obstacle for software companies is software piracy. The majority of the computer-using population in the East thinks that it shouldn't be necessary to pay for software. This opinion, coupled with economic conditions, has allowed software piracy to flourish.
Companies also encounter difficulty doing business in a region of political upheaval.
Some problems come from the suppliers themselves and the difficulty of doing business with another culture. Sales in the Eastern-bloc started off rather small but are increasing rapidly. Compaq reports 54 percent increased sales in Hungary and also expected a minimum 40 percent growth rate for the first half of 1996. Conclusion Despite software piracy, poor economic conditions, and political instability, Eastern Europe and the former Soviet Union remain an exciting market with great potential for large profits. While the U.S. industry is dominated by a handful of large companies, Eastern Europe represents an opportunity for small companies to flourish.