From Curiosity to Commitment: Why a German Tech Company Chose Latvia for Its Next Expansion

A single employee's initiative and just a few days spent in Riga were enough to reshape the international expansion strategy of German technology company IN3 Group. Although Latvia was not initially under consideration, the company ultimately decided to establish its next international operation here, citing the country's dynamic business environment, collaborative mindset and innovation-driven ecosystem.

Headquartered in Germany's Baden-Württemberg region, IN3 Group is a growing Trusted Advisory company with operations already established in Poland and Italy, while additional entities are currently being launched in the United States and the Czech Republic. Like many German technology companies, the management team initially expected their next expansion to take place in Poland. However, a series of meetings with Latvian institutions and innovation stakeholders changed that perspective.

The company's interest in Latvia began after participating in the German-Baltic Digital Summit in Dortmund, where its leadership gained a deeper understanding of Latvia's technology sector and established initial contacts with representatives from the public sector. Encouraged by these discussions, the company organized an exploratory visit to Riga.

"Our visit to Latvia was once again both intensive and highly productive. It reinforced our impression that Latvia occupies a unique position with its innovative solutions across various sectors, offering excellent opportunities for long-term collaboration. What stood out most was the open-minded, modern and solution-oriented mindset of the people we met. This environment creates the ideal foundation for meaningful exchange and the development of new, innovative business ideas," says Joachim Lumpe, Co-owner and Managing Director of IN3 Group.

The visit itself was largely coordinated by executive assistant Karina Ziegler, whose knowledge of both Latvia and Germany helped connect the company with key stakeholders across government, academia and industry.

During their stay, the delegation met representatives from the Ministry of Economics, the Investment and Development Agency of Latvia, the Ministry of Foreign Affairs, Riga Technical University, the University of Latvia and several private-sector organizations. They also attended technology-focused events, including an international conference on quantum information processing.

Rather than individual meetings alone, it was the overall business culture that left the strongest impression. Company representatives highlighted the speed of communication, openness to cooperation and willingness to explore practical solutions instead of focusing on administrative barriers.

This approach contrasted with experiences the company had previously encountered elsewhere. One research initiative, for example, had remained stalled in Germany after lengthy approval procedures, changing political priorities and institutional complexities. In Latvia, similar innovation concepts immediately generated discussions about implementation, existing research capabilities and potential collaboration.

One meeting at Riga Technical University proved particularly decisive. After presenting several research and innovation concepts, the company received positive feedback on each proposal, together with concrete suggestions on how cooperation could begin. The only significant prerequisite identified was establishing a legal presence in Latvia.

That clarity and readiness to move forward became the turning point. By the end of the third day of their visit, the management team had decided that Latvia would become the location of the company's next international branch.

"After our second visit, it became clear to me that Latvia was the right place to establish our new company. In this remarkable country, which shares a close historical connection with my homeland, we immediately felt welcomed and at home. What impressed us most were the short decision-making paths, the openness of the people and the speed with which discussions are turned into concrete action. You experience this first-hand in Riga. As you move from one meeting to the next, it is not unusual to encounter senior government officials on the street. To me, this reflects the close interaction between government, business, academia and innovation. We want to contribute our core business, our international networks across industry and enterprises, and our innovative capabilities, while at the same time creating innovation directly in Latvia. We were equally impressed by the close cooperation among the Baltic states. The guidance and connections provided by local institutions and partners, including the Investment and Development Agency of Latvia and the Riga Tourism and Information Agency, helped us navigate the process and move forward with confidence. The real work begins now, but Latvia and the Baltic region provide a strong foundation for the journey ahead," says Andreas Holtschulte, Co-owner and Managing Director of IN3 Group.

Beyond individual projects, the company viewed Latvia as a place where its own corporate culture would naturally fit. IN3 Group values flexibility, rapid decision-making and continuous experimentation, qualities its leadership also recognized in Latvia's innovation ecosystem.

Geopolitical considerations were part of the evaluation process but did not become a determining factor. Instead, the company saw Latvia's strategic position as one of the reasons why the country has invested heavily in digital resilience, cybersecurity and technological capability. In the view of the company's leadership, these factors have contributed to a forward-looking mindset across both the public and private sectors.

The delegation also observed that Latvia embraces technological progress not only within industry but across public administration, universities and society more broadly. This openness to innovation, combined with a highly educated workforce and efficient cooperation between institutions, reinforced confidence in the country's long-term potential.

The company's leadership also noted that the professional support and coordinated cooperation between Latvian institutions throughout the exploratory and establishment process helped the company assess opportunities, establish relevant connections and move towards its investment decision efficiently.

Looking ahead, IN3 Group sees Latvia not only as a new location for its international operations but also as a long-term innovation partner. The company plans to contribute its international industry network, advisory expertise and innovation capabilities while developing new solutions together with Latvian partners. It also views the close cooperation between the Baltic states as an additional advantage for future growth across the region.

The visit also offered an opportunity to experience Riga beyond the business agenda. The city's international atmosphere, diverse culinary scene and welcoming community reflected a modern European capital that combines global outlook with local identity.

What began as an exploratory visit ultimately became a strategic investment decision. For IN3 Group, Latvia demonstrated not only strong technological capabilities but also something less tangible, yet equally important: an environment where ideas are welcomed, collaboration happens naturally, and decisions can quickly turn into action.

Source: latviesi.com