Wrongjoe,
Good to see you here. You're right in that the key is getting the U.S. plant built, as that lowers their costs dramatically as compared with bottling the product in Norway. The excerpt I've posted below from the company's website addresses the issue you've raised of competition with the big boys far better than I could, so here goes:
An important advantage to Isbre is its ability to price its product well below the market. This will result in attaining consumer acceptance and market share quickly delivering economics of scale with commensurate increases in margins and earnings.
The key to Isbre's cost advantage is the location of the Isbre Spring on the west coast of Norway. Isbre is able to efficiently ship its water in bulk tanker ships worldwide at significant savings vs. all other bottled water producers who must ship over land in small units.
This ability to ship in bulk (5,000,000 to 10,000,000 gallons by ocean going tanker ship) directly from its spring to its bottlers can reduce its transportation cost to $0.04* per gallon vs. the industry average of $0.64 per gallon based upon shipping in 40 feet container(s) a 16 to 1 price advantage.
As a result of Isbre's bulk transoceanic transportation strategy (there are very few locations in the entire world where this bulk ship loading and shipping can take place), the Company can land and off-load its product to bulk storage facilities (the storage of bottled water is expensive: $260,000 per month to store 10,000,000 gallons of bottled water vs. $25,000 per month to store the same amount of water in bulk) and bottling plants at or near its main markets anywhere in the world.
Isbre's margins benefit because of reduced storage and shipping costs.
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