BR/11/2021

6

REAL ESTATE PRICES HIGH, DEALS POSTPONED AS WORKERS RETURN TO OFFICES

November, 2021 / Volume 25, Issue 10

www.business-review.eu

WILL FUTURE ROMANIAN UNICORNS BE BOOTSTRAPPED OR VC-BACKED?

22

IMAGINING THE MARKETING OF THE FUTURE

29

ESG THINKING BEGINS TO PERMEATE LOCAL STARTUP ECOSYSTEM

34

VODAFONE BRINGS DIGITALIZATION CLOSER TO SMEs

www.business-review.eu Business Review | November 2021

EDITORIAL 3

• Editorial •

REAL ESTATE

Anda Sebesi • Editor-in-Chief •

6 Real estate prices still high, transactions postponed as workers return to offices

COVER STORY

Taking a long-term view

8 Vodafone brings digitalization closer to SMEs

MAIN STORY

E

14 Foreign Investment

ven though Romania was hit hard by covid-19, the local

Summit 2021: The road to a sustainable economy must be paved with capital

economy performed better than its European peers last year and is expected to also outperform them in 2021, with

an estimated growth of around 7 percent. Naturally, foreign direct investment (FDI) levels, which had already been stalling for several years, hit a record low, but as the new normal took over, we saw a steep growth of FDI in the first five months of 2021, of 320 percent.

ENTREPRENEURSHIP

Romania’s present situation is far from ideal: we are simultaneously dealing with the critical issue of high mortality rates due to covid-19, a political crisis, and record-high energy prices. But re-

32 Romanian entrepreneurs

gardless of today’s difficulties, we must still take a long-term view.

seize growth opportunities through BVB’s AeRO market

This is one of the most important conclusions of the 8th edition of

34 ESG thinking begins

Business Review’s Foreign Investors Summit.

One of the key questions is, how do we see ourselves competing

to permeate local startup ecosystem

as a country and what are the key drivers of growth? Should our growth model be primarily based on manufacturing or rather on services? Romania seems to be expanding in both directions, just

CITY

like Poland, which is a positive development.

There are many things that still need to be done in Romania in order to achieve sustainability in all economic sectors, and this translates to a great number of opportunities for investors.

Economic sustainability could also be made possible by the funds available through the Recovery and Resilience Plan. But if we want to succeed, we must take a good look at the challenges and opportunities in front of us today.

36 Discover Romania: Maramures Way

37 Don’t miss: The Modern Idol.

Henry Moore in the Eastern Bloc

38 Cultural Calendar

EDITOR-IN-CHIEF: Anda Sebesi JOURNALISTS: Aurel Constantin, Mihai Cristea, Romanita Oprea, Oana Vasiliu CONTRIBUTORS: Ovidiu Posirca, Sorin Melenciuc, Claudiu Vrinceanu COPY EDITOR: Anca Alexe PHOTO EDITOR: Mihai Constantineanu PHOTOS: Dreamstime ART DIRECTOR: Raluca Dumitru PUBLISHER: Bloc-Notes Media Network ADDRESS: 82-98 Calea Grivitei, 1st floor, Hotspot Workhub, District 1, Bucharest, Romania SALES MANAGERS: Radu Fireteanu, Alexandra Rosca MARKETING & SALES MANAGER: Luiza Luca PRODUCTION: Dan Mitroi DISTRI­­BUTION: Eugen Musat EXECUTIVE DIRECTOR: George Moise GENERAL MANAGER: Catalin Alistari USA MANAGER: Oana Molodoi FOUNDING EDITOR: Bill Avery EMAILS: editorial@business-review.eu, sales@business-review.eu, events@business-review.eu SUBSCRIPTIONS on Manpres Distribution Business Review is a member of Fwei

Publicație auditată pe perioada Apr 2015 - Mar 2016

ISSN NO. 1453-729X

www.business-review.eu Business Review | November 2021

4 NEWS

WHO’S NEWS BR welcomes information for Who’s News.

Submissions may be edited fo­­­r length and clarity.

Get in touch at mihai.cristea@business-review.eu

Holde Agri Invest acquires stake in agritech firm Enten Systems

By Mihai Cristea in these companies within the next five years. Agriculture has evolved extremely rapidly in the last ten years due to the implementation of technology in machinery as well as through the digitalization of certain processes,” said Iulian Circiumaru,

Marius Popescu is the new National Sales Director at Sodexo BRS Romania. He has been with the company since 2000, having started his career at Sodexo Romania in the Customer Relations department, as a specialist, then moved on to the Sales Department to become a senior sales representative, followed

by Area Sales Manager and National Telesales Manager roles.

For the past two years, he has been a Regional Sales Manager for the small and medium business segment.

Chairman of the Board of Directors at Holde Agri Invest.

Enten Systems is a company that provides integrated technologies based on precision agriculture. The company’s solutions and systems are designed to obtain the most

The transaction is part of Holde’s strategy to invest in agritech startups

streamline their investments.

agritech startups. By investing

This is done by installing equip-

nian company that operates

in startups, we can optimise our

ment that constantly monitors

farmland, announced a new

farms’ operational activity by

the microclimate and provides

investment in the agritech

integrating technology as well as

farmers with essential data on

field through the acquisition

have the opportunity to create

the condition of crops and the

of a stake in Enten Systems.

supplementary added value for

potential risks to which they

The value of the transaction

our shareholders. The latter is ac-

are exposed. As a result, farm-

amounts to RON 370,000.

complished through an increase

ers get real-time knowledge

in the valuation and the subse-

about the actions they must

quent monetisation of our stakes

take to obtain healthier crops.

Holde’s strategy to invest in

page 5

production so that farmers can

Holde Agri Invest, a Roma-

“The transaction is part of

Bogdan Putinica is the new General Manager of Microsoft Romania, effective November 1 of this year.

He has an outstanding track record and a 20-year career in technology, having joined the Microsoft Romania team from the position of Senior VP at Swedish group Enea – a global provider of telecommunications and cybersecurity solutions. Bogdan is a graduate of the Bucharest Academy of Economic Studies, with a degree in International Finance and Banking.

accurate data on agricultural

Biofarm opens new production facility after EUR 35 million investment

By Aurel Constantin Biofarm, one of the biggest drug

plant’s, the new Biofarm factory

manufacturers in Romania,

will support the production of a

recently inaugurated a new

complex portfolio of pharmaceu-

production and testing facility in

tical products as well as further

Bucharest, following an invest-

development with innovative

ment of EUR 35 million.

treatments adapted to the mod-

With a usable area of over

ern consumer. The new site will

10,000 sqm and an annual pro-

have four production streams:

duction flow that will be three

coated tablets/tablets/drops, soft

times higher than the existing

capsules, solutions, and syrups.

The new Biofarm factory will support the production of a complex portfolio of pharmaceutical products

www.business-review.eu Business Review | November 2021

NEWS 5

Affidea/Hiperdia opens its first clinic in Cosmopolis

By Aurel Constantin

Gabriel Ivan has been appointed Country General Manager for Romania & Bulgaria by CHEP, following his three years of successful leadership of the local subsidiary. He will coordinate CHEP’s Commercial Operations for Romania and Bulgaria and will also be responsible for leading the P&L process for both entities, which entered the South Eastern region in 2012.

Opus Land Development, the developer of the Cosmopolis residential complex, and Affidea/Hiperdia, one of the most important national networks of medical centres, marked the first real estate-medical partnership in Romania. As a result of this agreement, following investments of over EUR 200,000, the first clinic was inaugurated in the Cosmopolis residential complex under the Affidea brand. The new investment comes in the context in which the north of Bucharest

The new Affidea clinic in Cosmopolis has an area of 140 square meters

and the metropolitan area are “This partnership responds

seeing continuous real estate

Bucharest. The new Affidea clinic

expansion, but as the number

in Cosmopolis has an area of 140

to the growing need for access

of new buildings grows, the

square meters. It is the network’s

to private medical services

area’s population far exceeds

36th centre in Romania and its

in the north of the capital.

the capacity of the private

first clinic in the metropolitan

The best example regards the

sector’s investments in new

area of Bucharest. The invest-

inhabitants of Cosmopolis,

medical clinics and private

ment of more than EUR 200,000

who will have access to both

hospitals. The new clinic in

went into setting up complete

telemedicine and traditional

Cosmopolis will address the

services for family medicine,

medical services,” said Gabriel

more than 12,000 residents of

general medicine, pediatrics, and

Voicu, Executive Vice President

the gated community, but also

gynecology, as well as ultra-

at SVN Romania and project

the other inhabitants of north

sound imaging diagnosis.

manager at Cosmopolis.

Patricia Andrei is the new HR Director of CEC Bank, the largest territorial network in Romania, which includes more than 1,000 units and almost 6,000 employees nationwide. With more than 22 years of experience in HR, Patricia is a graduate of the School of Sociology, Psychology, and Pedagogy of the University of Bucharest, and she also holds a Master’s degree in Consulting from the School of Management of the Bucharest Academy of Economic Studies.

The factory benefits from state-of-the-art equipment and installations and automation software that helps optimise production and logistics flows.

All production lines are audited and certified by the national National Agency for Medicines and Medical Devices according to the Guide to Good Manufacturing Practice (GMP), the quality standard that sets the rules for the manufacturing of medicines at European level. The production lines are also EN ISO 9001 certified.

Sorina Florescu has been appointed as Head of Marketing at CTP Romania, where she will manage and oversee integrated marketing campaigns and initiatives to drive further growth. With a background in journalism and PR, Sorina brings over 13 years of experience in the real estate industry. Prior to joining CTP, she held several marketing roles at CBRE Romania and Colliers International.

www.business-review.eu Business Review | November 2021

6 REAL ESTATE

Real estate prices still high, transactions postponed as workers return to offices The value of transactions on the Romanian real estate market in the first 9 months of 2021 declined by 29 percent compared to the same period of 2020, to EUR 570 million.

Transactions closed in the third quarter reached a total value of EUR 260 million.

The impact of the covid-19 pandemic on the liquidity of the commercial real estate market was more pronounced in 2021 than in 2020. Last year saw a series of largescale transactions for which negotiations began before the pandemic broke out.

Prices have been rising slightly both for logistics area as well as for offices

“

By Aurel Constantin

Although several negotiation pro-

from Atenor by Hungarian Adventum Group.

starting to discourage potential new investors.

cesses are likely to close in the fourth

However, the most representative transaction

There have been no significant transactions

quarter, it is hard to believe that this

on this market segment so far this year, both

on the retail market so far in 2021, but the seg-

year’s transactions will be able to reach the

in terms of the competitive sales process and

ment has largely absorbed the shock caused

nearly EUR 900 million recorded in 2020.

the price, was the sale of the Campus 6.2 and

by the pandemic and the quarantine period of

This situation is largely generated by a lack of

6.3 office buildings in the center-west area of

2020. However, it is starting to provide very

supply – many owners are not interested in

Bucharest, where JLL represented the seller,

interesting opportunities for investors.

selling in the current market conditions,” said

Skanska. The buildings, with a total leasable

Andrei Vacaru, Head of Capital Markets at JLL

area of about 38,000 square meters, were

logistics areas, where prime yields shrunk in

Romania.

Prices have been rising slightly both for

purchased for EUR 97 million by S IMMO. This

the third quarter from 8 percent to 7.75 per-

Bucharest remained the top destination

move marked the reactivation of the Austrian

cent, as well as for offices, where yields have

preferred by investors in the first nine months

company on the Romanian investment trans-

fallen over the same period from 7 percent to

of 2021, with 70 percent of the total traded

action market.

6.9 percent. This trend is generated by the regional evolution and the considerable capital

volume – about EUR 400 million. Just like

available for quality products.

in 2020, office buildings attracted the most

INDUSTRIAL AND LOGISTICS SPACES

investments, with about EUR 350 million or

In second place among investors’ preferences

almost 60 percent of the total value.

were industrial and logistics spaces, which

GOING BACK TO OFFICES

attracted investments of over EUR 170 million

Prices remain high on all real estate markets,

corded in the first three quarters of this year

in the first nine months, or 30 percent of the

and that is one of the reasons why investors

was the sale of the Hermes Business Cam-

total traded volume. Interest in this segment

are keeping away. But as employees are re-

pus office complex in the Dimitrie Pompeiu

is very high right now, but the record level of

turning to offices, employers will have to find

area of the capital city, with a total area of

concentration – with the two largest owners

adequate working spaces for them. A study

about 75,000 sqm, which was purchased

controlling over 50 percent of the market – is

conducted by Cushman & Wakefield Echi-

The largest office space transaction re-

www.business-review.eu Business Review | November May 2016 2021

COVER REALSTORY ESTATE14 7

nox titled “Back to the Office” showed that

of respondents want to work from the office

is in regional cities, confirmed by 82 percent

Romanian employees who have had to work

at least one day per week, while in regional

versus 77 percent respectively.

more from home in the last 18 months due to

cities their share is 87 percent.

the covid-19 pandemic wanted to return to

Over a quarter of survey respondents

Other benefits of working from home are financial savings (53 percent), improved

the office, given that more than half of them

would like to have three days per week at

work-life balance (39 percent), more freedom

associated going back to the office with “a

the office and two at home, while 17 percent

to manage working hours (35 percent) or

return to normality” and were affected by not

would like to only work from the office. Pref-

more time for rest (34 percent).

being able to socialise with their colleagues.

erences for different work models are on one

The report is based on a survey conducted in Bucharest and large regional cities in July among almost 500 employees from more than 10

hand based on the benefits of working from home – the most important being time and money savings – and on the other on the

As for the disadvantages of working from home, the difficulty of separating professional and personal lives is in second place, accounting for 50 percent of responses, while the lack of a proper workspace was indicated

industries, including IT,

disadvantages of leav-

finance, manufacturing,

ing the office space,

the diminished capacity to focus and the

professional or public

with employees

difficulty of managing relationships with

services. The data was

pointing to the lack

clients, partners, and collaborators were each

collected by indepen-

of socialisation

selected by 21 percent of survey participants.

by 32 percent of respondents. Furthermore,

dent research firm

and the difficulty

MKOR Consulting.

of separating work

Globally, in September 2021, about 40 per-

from their personal

cent of employees were working from offices,

According to the

In line with global trends

survey, the first half of

lives.

according to Cushman & Wakefield’s “Return

the year had already marked

83 percent of respon-

to the office” report, which means that Ro-

the return to the office of a large number of employees across Roma-

dents cited the fact that they no longer wasted time in

mania is in line with the global trend. China ranks first, with over 90 percent of employees

nia, with 43 percent of respondents stating

traffic as the main advantage of working from

having returned to office spaces, while office

that they were mainly working from the

home, while 78 percent were dissatisfied

attendance in the other analysed regions var-

office, compared to 36 percent between May

with the lack of socialisation with colleagues

ies between 27 percent and 40 percent.

and December 2020 and 29 percent during

involved in this way of working. Commuting

March-May 2020 (the lockdown period).

time is a problem both for employees living

working from the office in September, with

THE NEED FOR OFFICES

in Bucharest (73 percent were satisfied with

Prague being the region’s top country, with

The need for offices remains high, with only

the fact that they no longer spent time in

approximately 80 percent of employees, fol-

10 percent of surveyed employees saying they

traffic), as well as for those living in the main

lowed by Hamburg (60 percent) and Warsaw

would want to work exclusively from home.

regional cities, where the corresponding

(45 percent). Returning to the office in these

The importance of the office is even more

share is 61 percent. The lack of socialisation

cities is directly linked to the high vaccination

pronounced in Bucharest, where 96 percent

is a more acute problem in Bucharest than it

and low infection rates.

In Europe, 40 percent of employees were

“The opening of schools and kindergartens has allowed more employees to return to the office, especially among those aged over 30 who could not go to the office while their children were taking online classes, because they had no one who could look after them.

Moreover, people younger than 27 preferred going to the office in the absence of a proper workspace at home,” said Madalina Cojocaru, Office Agency Partner at Cushman & Wakefield Echinox.

8 COVER STORY

www.business-review.eu Business Review | November 2021

MIHNEA RADULESCU: WE AIM TO BRING OUR DIGITALIZATION EXPERTISE CLOSER TO SMEs. I BELIEVE IT IS KEY FOR THE FUTURE

www.business-review.eu Business Review | November 2021

COVER STORY 9

Consumer behaviour has changed dramatically as a result of the pandemic. While shopping at the store used to be the norm, today stores are rather empty of customers and sometimes even of products due to the exponential growth of online commerce. This change has forced all companies, and not just those in retail, to find ways to rapidly digitalize in order to boost efficiency and productivity. Vodafone Romania is one of the tech companies providing digital solutions for businesses, having been at the forefront of these changes.

Business Review talked to Mihnea Radulescu, Vodafone Business Unit Director at Vodafone Romania, to find out how the Romanian business environment has fared through these troubled times.

By Aurel Constantin

How has the implementation of digitalization solutions evolved lately?

In the last year and a half, customer demand has been very high on all segments, especially in the digitalization area. There is a great need for solutions that add value to our customers' businesses. And it's not about connectivity, because it's already a layer of great need; obviously, we are very close to customers to ensure all types of connectivity. 15 or 20 years ago, connectivity was perceived as an added level of value in the B2B sector. Today, people are much more mobile, and the internet is a part of mobility. Every step of this evolution has brought significant added value in the productive circuit of business, and the value has become even more apparent during the pandemic.

Communications are increasingly being perceived as a utility, and the quality of the service, how stable it is, and how quickly it resolves issues are of the utmost importance. But beyond that, all digitalization solutions adopted by companies bring a great value for business, regardless of whether we are talking about the survival of a company or the improvement of its productivity.

Everything has to do with digitalization and electronic

www.business-review.eu Business Review | November 2021

10 COVER STORY

devices, all of which rely on connectivity. As we talk to more compa-

and those who are interested can get information directly, without

nies and as the level of education and awareness increases, we see

needing to talk to anyone.

demand for such solutions growing.

We are also focused on the expert advice area, where we have a well-prepared team that’s ready to discuss about anything customers

What are the most sought-after solutions?

may want to know about digital solutions and how they could meet

I would distinguish between small and large companies, as solu-

their needs. Based on their business needs, a consultant can explain

tions are very different for companies of different sizes. In very

to clients what solutions they could adopt and why it would be eco-

large companies, the level of sophistication has increased

nomically feasible to make the investment. The decision

enormously, and they require a very high level of

is up to the customer, but this represents an impor-

customisation. We create integrated, end-to-end

tant part of our relationship with them. This

solutions that incorporate all aspects of the

expert advice is of course provided for free,

business, from payments to signatures. But

and any company in Romania, especially

each client’s specific needs largely depend

SMEs, can understand what digitalization

on the industry in which they operate. For

is with the help of the platform and our

us, our relationship with the client is very

consultants. Vodafone is always making

important; we organise workshops for

efforts to keep all the information up to

various departments within client compa-

date, to help SMEs understand how they

nies in order to be able to create solutions that both satisfy their needs and prioritise them in a way with which everyone agrees.

can benefit most from technology and digital solutions.

For example, a client may have a restaurant, and they may want our help to add delivery

Can these solutions be integrated with thirdparty software?

services, receive online payments, get better internet connectivity or find ways to make their customers have

That is highly dependent on the company’s existing setup. It is very

an even better experience. All this dialogue can be carried out with

rare for a company to build an entire system from scratch. There is

a digital consultant who can talk to the entrepreneur about the solu-

usually a system in place to which new solutions and applications

tions they could adopt, what those solutions would bring in terms of

are added. Sometimes integrating new solutions requires changes to

added value and why it would be economically feasible for them to

those systems, but the added value brought by those integrations is

invest. Obviously, all decisions will be made by the entrepreneur, but

much higher than the size of the investment.

I think it is a very important step for the relationship we have with

When it comes to smaller companies, we are talking about a much higher level of standardisation. Their ability to invest in

customers. Of course, all these services provided through V-Hub platform are free, we do not ask for anything for all this information.

customised solutions is much lower, and their needs can usually be met with standard solutions that can be implemented immediately. The level of digitalization among small companies is unfortunately very low.

Many companies do not have any digital solutions, and innovation in their case does not necessarily refer to solutions, but has to do with communication and with the training we can provide to them. Entrepreneurs must truly understand what digitalization means; they have no use for buzzwords, especially since there is a misconception that digitalization solutions are extremely expensive, which is not the case.

Furthermore, we have added a try & buy option, meaning that

How do you raise awareness about your solutions on the market?

We have chosen to innovate through V-Hub, the platform we use to

you can take a solution and test it for a month to see if it is what you need before you might decide to buy it.

V-Hub is a platform for everyone, we don’t just focus on certain

communicate with entrepreneurs and small and medium companies

sectors, and we launched it based on the fact that the levels of digita-

across the country. Romania is not the only country with a low level

lization and digital education are very low in Romania. ; we also have

of digitalization, but the problem is big here. That's why it was one

third-party solutions integrated into our portfolio, which have been

of the first countries where we brought V-Hub and, since its launch,

thoroughly tested and guaranteed to be secure, and they are readily

we have added new features and content. We have over 60 explana-

available to customers. This ecosystem of solutions can bring great

tory articles on various topics, from security to productivity tools,

value to any company, regardless of its size.

www.business-review.eu Business Review | November 2021

One of our guiding principles is not to sell customers things they

COVER STORY 11 included in our target. According to studies, the level of digitalization

don't need, because that doesn’t help anyone. So, when they buy a

is below 20 percent in Romania, therefore it is clear where we are

solution from us, they can be certain it’s exactly what they need.

starting from. We want to inform and educate as many entrepreneurs and companies as possible, without asking them for anything in

What percentage of those who have visited V-Hub have returned?

First of all, the platform must be made known to the public, which

return. We’ll continue to expand our portfolio of solutions to provide them with everything they need.

Romanian companies have the chance to become competitive

is why it needs a good and accurate communication strategy. Then

on the market. SMEs are the backbone of our economy and it is

there are early adopters, who are willing to test every new solution,

important for us to help them not only survive, but thrive. SMEs

but they are a small minority. And let's not forget that we are talking

have a GDP contribution of over 50 percent and they employ over

about a lot of small businesses, which see an internet subscription as

60 percent of the local workforce. The products we provide to these

being an important acquisition, especially in the period we are going

companies are listed on V-Hub and they are financially accessible

through.

and can be implemented immediately. We also provide them with assistance whenever they need it. In fact, one of the big gaps between the desire to digitalize and the decision to do so is the belief that you have to invest thousands and thousands of euros. This is also the reason why our digital solutions are offered based on a monthly subscription model, which means they are not required to make large upfront investments – and that is one of the biggest competitive advantages Vodafone has on the market.

Thousands of entrepreneurs have come in and found out about

How will 2021 end compared to 2020? How will V-Hub evolve?

the platform, and now we have decided to run an information cam-

From a business point of view, we’ve seen an increase on all seg-

paign about the fact that Vodafone is not just a provider of telecom-

ments.. But the greatest growth we are seeing is in this area of digital

munications services, but a provider of technology as well. Since the

solutions, and I am glad that we have managed to be prepared for

launch of this campaign, visits to the V-Hub platform have increased

this rise in demand. The need is huge and we want to take these solu-

exponentially.

tions to a great number of small and very small companies.

Between large and very small companies are the mid-sized ones,

So, we see an exponential growth for digital solutions and I am

with a few dozen or a few hundred employees, and we have already

glad that we were ready to offer them. And we want to take these

developed a lot of solutions for such clients, in various areas, from

standardized solutions to the level of small companies, where the

energy management to waste management, fleet management, and

need is even greater.

others. We are happy that they are demonstrating such great interest

But everything comes back to education, as it’s our only chance

in digitalization solutions because it proves that our strategy is the

to truly evolve. That is why we’re choosing to innovate in the area of

right one and that customers appreciate it.

information and education, because it would be a shame if we didn’t

But it's a long road we stepped on and I don't expect the return to be immediate. I expect the platform to grow step by step and for the

do it. I am firmly convinced that this is the right thing to do.

We’ll also be bringing new things to V-Hub, we’ll soon add more

SME area of our business to have good results in the coming years, as

features and tools, including providing entrepreneurs with the

I believe it will be key in our future. I am certain that there is a great

chance to evaluate their digitalization level, which will help them

need there and we are ready to meet that need and I have no doubt

understand their current level and what they need to do in the fu-

that there will be a return.

ture. We also want to draw a link to European funds programmes, to help SMEs understand what kinds of funds they could attract and the

What is your target for V-Hub?

associated conditions. This is also highly dependent on the amount

There are about 700,000 companies in Romania, although we do

of help that these companies will receive from the authorities. All in

not known exactly how many of them are active, so let's say it's

all, V-Hub will continue to advance and I hope that it will become a

somewhere between 500,000 and 600,000. All these companies are

go-to platform for education, information, and expert advice.

www.business-review.eu Business Review | November 2021

12 COVER STORY

Digital transformation driving the transition to a sustainable future The covid-19 pandemic has had a transformative impact on companies across the world, having forced many of them to re-evaluate their entire business models. With the help of vaccines, we can hope for a return to a normal life in 2022, but until then, businesses must find a way to at least survive, if not thrive, and the only way to make that happen is to embrace digitalization.

D

By Aurel Constantin

igitalization can

million. “Businesses have

mean a lot of dif-

moved on from simply

ferent things de-

trying to understand IoT

pending on the business.

to harnessing it to achieve

For a small boutique shop,

their business goals. Lead-

it can simply mean getting

ers have realised that ac-

a computer connected

cess to data and automated

with the cash register or

processes provide a path-

adding an internet connec-

way to digitalization. With

tion. For a corporation, it

this shift comes higher

means building an entire

efficiency, flexibility, and

digital ecosystem with

differentiation. But while

multiple integrated soft-

IoT is more trusted and

ware solutions like ERPs

used than ever before, our

and CRMs, as well as smart

research shows that there

buildings and connected

many organisations are yet

offices. At the heart of all

to make the most of it. This

such digital solutions are

may be due to a growing

technologies like the Internet of Things (IoT), Artificial Intelligence,

belief that IoT has to be part of a wider programme of change to be

and Big Data. Of these three, IoT is the most transformative, as it

truly transformational,” said Erik Brenneis, IoT Director at Vodafone

can be seen as a spider web that gathers data for Big Data to store

Business.

and AI to analyse.

The more devices are connected through IoT, the more powerful

POSITIVE RETURN ON INVESTMENT

the Big Data becomes. In its 2020 IoT Spotlight Report, Vodafone

The IoT Spotlight is an independent study conducted by Savanta,

Business talked about “future-ready” businesses, meaning those

which surveyed 1,639 businesses globally. Business leaders were

companies that are well-prepared to embrace whatever lies ahead.

asked about how they were using IoT and how it was helping them

“Future-ready” businesses have a positive approach to change and

be “future-ready.” The report found that IoT was key in improving

are open to new technology. They actively plan for their technologi-

business performance and that it continues to generate real business

cal futures and set detailed strategies. They keep up to date with

value, with 95 percent of respondents seeing a positive return on

emerging trends and, crucially, are able to adapt to new challenges,

investment. The benefits of IoT fall into two main categories: im-

which makes them quicker to market than their competitors. And

proving operational efficiency and creating new connected products

“future-ready” often translates to “IoT-ready,” the report says.

and services.

In 2020, Vodafone Business reached the key milestone of 100 million IoT connections worldwide, and today it has more than 118

The survey was conducted at the height of the pandemic, and 84 percent of IoT adopters felt that IoT was a key factor in maintaining

www.business-review.eu Business Review | November 2021

COVER STORY 13

business continuity throughout the period. While this meant some

the gateway to build large new data sets quickly and to gain vital

projects had to be paused and resources reprioritised, the crisis

insights to help organisations compete effectively in whatever the

prompted 73 percent of IoT users to accelerate the pace of adoption.

new normal looks like. IoT’s role in remote working increased in

About 86 percent of respondents said IoT had changed the way they

importance in this year’s survey. 84 percent of adopters now view

approached analytics and the value of data and 87 percent agreed

the integration of IoT devices and data with remote workers as a

their core business strategy had changed for the better as a result

high priority. With remote working expected to be a key part of the

of adopting IoT. The survey found that 73 percent of adopters were

new normal, adopters are expected to increasingly use IoT to sup-

confident that companies that will have failed to embrace IoT with-

port this change.

in the next five years will have fallen behind, meaning that IoT is expected to create sustainable, long-term competitive advantages.

The adoption of IoT has continued this year too, as companies

IOT FOR A CLIMATE-NEUTRAL EUROPE IoT, AI, Big Data, and other digital solutions are key facilitators of

have found that the technology can generate value and a good

sustainability in a wide range of industries, from smart agriculture

return on investment, with 61 percent saying that these returns are

to smart logistics, smart cities, and smart energy. In addition to ben-

significant.

efits of automation such

Half of respondents

as increased productivity

(50 percent) pointed to

and reduced costs, IoT-

improved employee pro-

based solutions have the

ductivity as a key benefit

advantage of increased ef-

of IoT deployments, while

ficiency, both operational-

42 percent defined asset

ly and in terms of resource

uptime (consistency

use, which translates into

and reliability) as a core

lower energy and fuel

advantage. More than a

consumption, low emis-

third of adopters were

sions, and a reduction of

able to innovate their

pollution and waste. It is

offerings through IoT.

not a surprise that the EU

Some 34 percent saw IoT

has pledged to become

directly generate new

climate-neutral by 2050,

revenue streams, while

as part of the European

34 percent saw existing

Green Deal, and become a

revenue streams increase

global climate leader. The

by an average of 24 percent. Collectively, 82 percent experienced a

Green Deal provides an action plan to boost clean, affordable, and

rise in revenue as well as in market share (81 percent) since adopting

secure energy, cleaner industries and production processes, energy

IoT. Strikingly, IoT had enabled over half (55 percent) of surveyed

efficient buildings, sustainable and smart mobility, sustainable

businesses to decrease their operating costs by an average of 21

agriculture, and biodiversity restoration.

percent. As a result, 39 percent of all adopters said that IoT allowed for greater flexibility when supporting their customers.

“This is shaping the world in which we want to live; a world where we use digital technologies to build a healthier, greener society,” said European Commission President Ursula von der Leyen.

HELP IN PANDEMIC TIMES

Achieving a fair and sustainable transition to a climate-neutral Eu-

The research demonstrates that organisations that have adopted

rope by 2050 will require action and investment in digital solutions

IoT seem to have fared better during the covid-19 pandemic than

across multiple sectors including agriculture, energy, mobility, and

those that have not. During this time, IoT has become vital for busi-

construction. In recognition of this, the EU has pledged to allocate

ness resilience. Not only has it enabled some tasks to be automated

37 percent of its Recovery and Resilience Facility fund to drive

and work to be carried out remotely, but it has also helped priori-

green investments and reforms, while 20 percent has been allocated

tise manual work to cope with reduced labour and protect those

the digital transition.

employees doing vital work. For example, energy providers can

Vodafone has implemented many projects across Europe,

remotely check utility installations from a distance rather than go-

including Romania. Intelligent logistics, measures to reduce fuel

ing into the field themselves.

consumption, smart farming and precision farming, smart city solu-

It’s unsurprising then that 77 percent have reconsidered their

tions to improve the efficiency of energy-intensive services such as

approach to IoT following their experiences this year. In addition,

public transport, road networks, and street lighting – these are just

as businesses enter the new normal, they are recognising that IoT

a few of the projects that have already been implemented by Voda-

provides them with the data they need to understand what the

fone. And it is clear that digital transformation will only accelerate

new normal looks like and to plan and act accordingly. IoT provides

in the coming years.

14 MAIN STORY

www.business-review.eu Business Review | November 2021

Foreign Investment Summit 2021: The road to a sustainable economy must be paved with capital The 8th edition of Business Review’s Foreign Investors Summit brought together representatives of large companies, consultants, legal advisors, and strategic investors on the Romanian market to debate key topics related to foreign investments and discuss the top concerns of people who do business in Romania.

By Aurel Constantin

www.business-review.eu Business Review | November May 2016 2021

T

COVER MAIN STORY 15 14

he pandemic wiped out most of

the high share of IT in our value-adding out-

2020’s global economic growth. And

put, an area where we rank well. Romania’s

even though Romania was also hit

competitive approach has mainly been based

hard by covid-19, the local economy per-

on cheap labour and technology adoption

formed better than its European peers last

supported by foreign direct investments. In

year and is expected to also outperform them

the context of economic convergence and

in 2021, with an estimated growth of around 7

increasing labour costs, these growth drivers

percent. Naturally, foreign direct investment

are slowly being wiped out. Therefore, Ro-

(FDI) levels, which had already been stalling

mania needs to compete more on quality and

for several years, hit a record low, but as the

less on low costs. Raising labour productivity

new normal took over, we saw a steep growth

is crucial, and this requires major improve-

of FDI in the first five months of 2021, of 320

ments in the areas of education and health-

percent.

care. And we also know that more foreign di-

The fiscal and monetary measures

rect investments could be attracted provided

adopted by Romanian authorities to help

that the country’s institutional framework

businesses cope with the effects of the

and infrastructure are improved.

Cristian Secosan, Foreign Investment Council: The unprecedentedly high prices on the energy market are caused by the lack of investment in the sector and the country’s inefficient production capacities. There are also factors that are out of Romania’s control, but there are still plenty of internal issues that we ought to address.

pandemic have certainly helped the recovery, and it seems that the local economy can still

DIGITALIZATION

offer good opportunities for foreign inves-

Addressing the four areas where our country

tors. There are plenty of factors that make

significantly underperforms would most

Romania an attractive destination for FDIs –

likely lead to better technological absorption

consumption is on the rise, real estate yields

and generate further domestic investment

are still good, and the local share trading

and innovation, where we also score very

market is growing. At the same time, we can-

low. According to the European Innovation

not overlook warning signs like the shortage

Index, Romania is the least innovative EU

of qualified workforce, rising energy prices,

country. We are lagging well behind the EU

public debates over suspending fiscal facili-

average in the vast majority of indicators,

ties for key industries or even the everlasting

other than internet access, venture capital,

political crisis.

medium and high tech exports, and sales of

All these things are having an impact on Romania’s competitiveness, one of the most

Ramona Chiriac, European Commission: Romania’s economic growth this year is estimated by the EU at 7.4 percent, outperforming other countries. For the growth to remain sustainable, it is important to ensure that it is supported by investments and reforms made through the Recovery and Resilience Plan.

innovative products.

“Demography is also a huge long-term

important aspects that have to do with the

challenge. According to Eurostat, we might

attraction of foreign investors. In order to

record a 37 percent drop in active population

improve the country’s competitiveness, we

by 2060. We are placed towards the extreme

must take a good look at the challenges and

end of this spectrum,” says Bogdan Ion. Ileana Gutu, EY Romania: Romania has a great capacity to absorb investments, and I would say it's extremely competitive in terms of its overall tax rate, at 20 percent of the total profit, which is far lower than the rates of the other countries in the region.

opportunities in front of us today, as Bogdan Ion, Country Managing Partner at EY Romania & Moldova and COO of EY South-East & Central Europe and Central Asia, noted in his opening statement at FIS 2021.

Romania’s present situation is far from ideal: we are simultaneously dealing with the critical issue of high mortality rates due to covid-19, a political crisis, and record-high energy prices. But regardless of today’s difficulties, we must still take a long-term view.

One of the key questions is, how do we see ourselves competing as a country and what are the key drivers of growth? Should our growth model be primarily based on manufacturing or rather on services?

Romania seems to be expanding in both directions, just like Poland, which is a really positive development. Another good aspect is

Bogdan Ion, EY Romania & Moldova: Romania needs to compete more on quality and less on low costs. Raising labour productivity is also crucial, and this requires major improvements in the areas of education and healthcare.

Cristian Ilie, InvestRomania: We need a proactive approach in promoting Romania as an investment destination and we need to establish what the country needs and what it can offer, and then promote it intensively in order to build a sustainable economy.

www.business-review.eu Business Review | November 2021

16 MAIN STORY

Achieving a higher GDP per capita level

Lara Tassan Zanin, European Investment Bank: Romania must decide what it wants to look like in the future, what it can do to strengthen its economy, what types of investments it wants to attract in order to have a greener and more sustainable economy, and how it should try to obtain those investments.

Antoniu Panat, Vastint: There is a direct link between rent levels and market investment levels. If rents are low, then profit margins are also modest, which leads developers to cancel or postpone investments in new buildings.

as one of the biggest sources of hope. “Roma-

something we want. Romania has a 44

nia’s economic growth this year is estimated

percent gap with the EU in GDP per capita.

by the EU at 7.4 percent, outperforming

“At the end of the day, this translates into sig-

other countries. For the growth to remain

nificant potential for our country, especially

sustainable, it is important to ensure that it is

if we look at the last 10 years, when we have

supported by investments and reforms. The

consistently exceeded the EU’s average GDP

EU has made the necessary steps to disburse

economic growth rate,” said Ileana Gutu, As-

a total amount of EUR 29.2 billion to Romania

sociate Partner for Economics and State Aid

by 2026, of which EUR 3.8 billion will be re-

Services at EY Romania.

leased in the pre-financing stage of the plan,”

What Romania needs is sustainable growth, which may come through European

said Ramona Chiriac.

The plan is built on six pillars, from the

funds, and we also have the capacity to

green transition and digital transformation

absorb private investments, thanks to an ex-

to economic, social, and territorial cohesion,

tremely competitive overall tax rate. “Inves-

health and institutional resilience, and poli-

tors should be aware of the available state aid

cies for the next generation. The Green Deal

schemes and of those that might come next.

can have a huge contribution to reaching the

And we can refer to two such schemes that

set targets of reducing 55 percent of green-

are working very well already: one for major

house gas emissions by 2030 and reaching

investments of over EUR 1,000,000 and

carbon neutrality by 2050. This creates a

another related to job creation, which is ap-

huge need for investment, and 41 percent of

plicable when creating more than 100 jobs. I

the investments laid out in Romania’s plan

think they are very relevant and have already

will be going towards green projects. EUR

been proven to work,” Gutu added.

1.8 billion will go to urban mobility for green transportation, while EUR 855 million will be

THE GREEN DEAL

Patricia Wruuck, European Investment Bank: We can see a difference in development among EU municipalities with large income gaps. This can be seen in housing conditions, but also in healthcare, and it can be addressed through investments.

Recovery and Resilience Plan came up often

based on a decreasing population is not

allocated to renewable energy production.

According to Ramona Chiriac, Head of the

The EU and the European Investment

European Commission Representation in

Bank may provide financial assistance and

Romania, foreign investors are important in

advisory services, but it remains Romania’s

generating robust growth for the Romanian

job to design its own future. “Romania

economy. As this year’s summit was focused

must decide what it wants to look like in

on better understanding where foreign direct

the future, what it can do to strengthen its

investment stands and on addressing inves-

economy, what types of investments it wants

tors’ hopes and concerns, the EU-funded

to attract in order to have a greener and more sustainable economy, and how it should try to obtain those investments,” said Lara Tassin Zanin, the Head of the European Investment Bank.

Romania also has plenty of opportunities related to the available transition and structural funds, and all of these should be used more in order to generate added value in the economy, which means that authorities must have a medium- and long-term vision

Laura Stefan, Mastercard Romania: HoReCa Together is an educational platform that provided all kinds of information, from global education tools to local best practices, and taught entrepreneurs how to digitalize their business and make sure that they can get through this period.

Lucian Enaru, Schneider Electric: Over the past few years, we’ve seen significant investments in hospitals, especially in the private sector, which has been providing high quality services.

Recent investments have addressed critical aspects such as power availability and digital infrastructures.

in place.

Confidence in the economy Poland and Hungary have so far been better than Romania at attracting foreign investments, therefore our country must develop a solid strategy. Various initiatives and projects are being carried out by different institutions, but a common vision is still missing.

“We need a proactive approach in promoting

www.business-review.eu November Business Review | May 2016 2021

COVER MAIN STORY 17 14

Romania as an investment destination and

need to be addressed in a more comprehen-

we need to establish what Romania needs

sive manner. “Digging a bit deeper, we can

and what it can offer, and then promote it

see a difference in development among EU

intensively in order to build a sustainable

municipalities with large income gaps. This

economy,” said Cristian Ilie, General Director

can be seen in housing conditions, but also in

at InvestRomania.

healthcare,” said Patricia Wruuck. After the

Since 2014, the Foreign Investment Coun-

pandemic hit, more local investments went

cil has been releasing reports about inves-

towards digitalization and social infrastruc-

tors’ confidence in the economy. The latest

ture. But municipalities in the lesser devel-

one, from September 2021, showed that

oped regions tended to retain a greater focus

the economy seemed to be performing well

on basic needs, such as urban infrastructure

overall, but there were three areas where

and utilities.

things were not looking so good, Foreign

The European Union’s financial support

Investment Council President Cristian Seco-

helps address issues of access to finance,

san explained. The first was the pandemic

but governmental capacity remains key in

crisis, where the situation remains critical as

making the most of these opportunities.

the measures taken by the authorities came

Authorities must address regulatory barriers

too late. As a result, many companies have

to investment, including those existing at

postponed or cancelled development plans.

the local level, in order to unlock economic

The second was the political crisis, which

transformation opportunities.

seemed to have no end in sight. And the third

Education platform for entrepreneurs

was the energy crisis, as prices have risen to

In the last year and a half, digitaliza-

unprecedented levels. One of the causes of

tion has been visibly speeding up in the

the rising prices is the lack of investment in

real estate sector. Buildings can now be

the sector and the country’s inefficient pro-

controlled by computers and smartphones.

duction capacities. There are also factors that

Energy efficiency and health measures are

are out of Romania’s control, but there are

also more important than ever inside build-

still plenty of internal issues that we ought to

ings, whether we’re talking about offices or

address. Under these circumstances, confi-

residential compounds. “The notion of a safe

dence in the Romanian economy is currently

building acquired a new meaning once the

at low levels.

covid-19 pandemic hit,” said Antoniu Vastint,

Diana Buzoianu, Member of Parliament: A digital nomad is someone who wants to visit new and different places and still be able to work while they do so. We must change our legislation to implement the nomad visa, just as countries like Greece or Estonia have done.

Manuel Fernande Amezaga, Sodexo BRS Romania: Trust, freedom of choice, and compensation are the most important things for the new generation of employees. They want to have flexibility and to be able to balance work with their personal lives.

Employers can see an increase in employee productivity when these criteria are met.

Managing Director at Vastint Romania.

MUNICIPAL INVESTMENTS

Digitalization is on the agenda of every

Investments at the municipal level are just as

company, including that of Mastercard,

important as national ones, as the develop-

which is not just a payment provider, but a

ment the cities can significantly improve

Ana Visian, BestJobs: The young generation is digitally native and whatever they do, they look at it through a screen. Companies need to open up more entry level positions and internships for young people.

citizens’ lives. An EIB report found that local investments have started to pick up the pace since 2017, with northern Europe recording higher levels than the southern parts of the continent. Before the covid crisis, EU municipalities made more investments in digital and social infrastructures and in climate change mitigation. But, as EIB Economist Patricia Wruuck pointed out, municipalities find that important gaps have remained, notably in terms of urban transport and digital infrastructures, as well as in the area of climate change mitigation and adaptation.

One area worth a closer look is the social infrastructure; about a third of municipalities are recording an investment gap in this area. Social housing, healthcare for children and the elderly, and the education system all

Oswald Kolb, Continental Sibiu: Last year, many automotive factories closed, even in Germany and other developed countries. But with the help of state aid programmes, we’ve managed to keep our workforce intact.

Loreda Dragomir, Adecco: Education is the key to the future and the solution for today’s workforce-related problems. There are many private initiatives, vocational programmes, and even coaching programmes for school leaders, all of which can improve the education system.

www.business-review.eu Business Review | November 2021

18 MAIN STORY

global technology company. Digitalization

H.E Mrs. Laurence Auer, French Republic Ambassador: Romania is the best member state in the EU in terms of sustainable economic transformation because it has received the green light for all its mechanisms and policies. Financing is available through the PNRR and EU structural funds.

Healthcare – and hospitals more specifi-

has a major impact on our lives, and that

cally – have naturally also attracted a lot of

is why we need better IT&C education in

interest during the pandemic period. Over

schools. And the economic importance of

the past few years, there have been signifi-

digitalization was confirmed – albeit in an

cant investments in the private healthcare

unfortunate manner – by the pandemic, as

sector, with many hospitals providing high

we experienced an urgent need for a shift be-

quality services.

tween the offline and online modes. With the

One critical aspect for a hospital is its pow-

pandemic having strongly hit the hospitality

er availability, and electrical systems in old

sector, Mastercard has created a programme

hospital buildings are struggling to keep up

to help these businesses, called HoReCa

with demand, which also generates major fire

Together. “It is an educational platform

risks there have been significant investments

that provided all kinds of information, from

in the private healthcare sector, with many

global education tools to local best practices,

hospitals providing high quality services.

and taught entrepreneurs how to digitalize their business and make sure that they can

THE WORKFORCE IS STILL TROUBLED

get through this period,” said Laura Stefan,

When the pandemic hit and the economy vir-

Business Development Director at Master-

tually shut down for several months, many

card Romania.

companies may have struggled to survive and keep their workforce, but they received the support they needed through state aid

Jan Demeyere, Speedwell: We have our own internal procurement team. We take into account the sustainability of every material we use in our developments, and we also try to buy local products and develop projects with local teams.

programmes. Being able to retain employees turned out to be very important, as when pandemic restrictions eased, the difficulties of finding new workers returned – and big investments are not possible without an adequate workforce.

A stable workforce is one of the pillars of

Anna Cohen Hagag Development Europe: Investors, municipalities, and governments should work towards making cities more sustainable. The real estate industry also has a crucial role in providing durable solutions and it should try to integrate as many green elements as possible.

Tivadar Runtag, Chimcomplex: Whenever we talk about investors, they always want a good return at a relatively low risk. You cannot go wrong with sustainability; it might not provide the fastest returns, but it’s definitely the best long-term investment.

a sustainable economy, and sustainability is on everyone’s minds today. For Romania, achieving economic sustainability is made possible by the funds available through the Recovery and Resilience Plan and the other EU structural funds. Sustainability plays a big part in the private sector as well, influencing the way companies choose their suppliers and partners. The guiding principle here is to prioritise local products.

Sustainability can also represent an opportunity for foreign investors, as it promotes a circular economy, which recycles and repurposes materials used in manufacturing processes. But there are many things that still need to be done in order to achieve sustain-

Alex Souras, Alenosor: We should be focusing on building communities, because the carbon footprint of traffic and of the materials used in construction is huge. All stakeholders – local authorities, governments, EU institutions, financial institutions – should work together and learn how to do things properly.

Iulian Sorescu, Noerr: Romania offers some of the best conditions and incentives for investors, thanks to its low taxes and high yields, and projects that foster sustainability and green development will receive significant support through a variety of state aid schemes for many years to come.

ability in all economic sectors, and this translates to a great number of opportunities for investors.

Romania offers some of the best conditions and incentives for investors, thanks to its low taxes and high yields, and projects that foster sustainability and green development will receive significant support through a variety of state aid schemes for many years to come.

www.business-review.eu Business Review | November 2021

ADVERTORIAL 19

Technoelectric - The Best Business Performance In 2021 AbuDhabi Ports, which totals a total area of 100,000 m2 of storage. This project’s system installation included seven ammonia compressors for the KIZAD logistics warehouse.

The automation incorporates many energysaving elements, such as the efficiency of the refrigeration installation, the control of the coolers, and the optimizations obtained from the equipment coordination. One of the main benefits brought to the customer by the mixed inter-departmental team of Technoelectric is translated by the reduced operating costs generated by the integrated energy-saving solutions.

In addition to the projects carried out, the company implemented this year an Employer Branding campaign that concluded the vision over the company’s development chapter. The #PeopleOfTechnoelectric campaign aims to consolidate the company's presence on the Romanian market in a different way than before, to highlight the people who are part of the team.

I am convinced that through all the activities we have been involved in this year, Valter Laurentiu Carp, General Manager of Technoelectric

T

like complex projects or campaigns that show another dimension of the company,

echnoelectric - a company with

low risk. The indicators' comparative evolution

we consolidated our successes and built an

Romanian capital that produces

followed by the top makers places us, in recent

organizational culture in which people can

automation systems in refrigeration

years, above the industry average, which makes

communicate effectively, and find the sup-

installations - is in the 13th place in the Top

us happy and obliges us to maintain the same

port they need to evolve professionally. Only

100 companies in Romania, a ranking based

standard of excellence in the coming years,

together will we grow in the same way in the

on the CANE code, in which it rose one step

says Valter Laurentiu Carp, General Manager

coming years, making Technoelectric a refer-

compared to 2020. Remarkably, Technoelec-

Technoelectric.

ence company in the industry at a national

tric is the only company out of the 13 evalu-

To these performances are added in 2021 the

ated with very low risk on all four indicators:

national and international projects in which

financial, trend, P&L, and benchmark.

Technoelectric was involved. Internationally,

and international level, says Valter Laurentiu Carp, General Manager of Technoelectric.

Technoelectric is a Romanian capital

it is worth mentioning that at the beginning of

company founded in 1994 that produces

benchmarks: turnover, assets, profit, and eq-

the year, the Technoelectric team provided an

electrical panels and integrates systems for

uity, the company obtained a high score. The

automation system for the Omran Jameel brew-

automation in refrigeration installations.

indicators about the company's evolution,

ery in Iraq. Simultaneously, the team together

Since 2010 began the process of interna-

namely the dynamics of turnover, assets,

with Daikin Middle East and Daikin Africa teams

tionalization through complex automation

profit, and equity, have a high score of up to

carried out two large-scale projects in the United

projects implemented in the Middle East

100%, like profitability indicators.

Arab Emirates and Saudi Arabia.

(Lebanon, Qatar, United Arab Emirates, Saudi

Regarding the size of the company

2021 is the year in which the company

Arabia), the former Soviet Union (Russia,

mark score of 1.5, higher than 72.43% of

acheived another major success namely the

Belarus, Ukraine), and Western European

the companies in the industry, which is the

largest refrigeration project to date in terms of

countries (Italy, France, The Netherlands,

equivalent of a risk class A, meaning a very

the size of the refrigeration plant - 17 MW - for

and the United Kingdom).

Our company obtained a P&L A FT Bench-

www.business-review.eu Business Review | November 2021

20 SUSTAINABILITY

Sustainability as a guiding principle For Chimcomplex CEO Tivadar Runtag, sustainable development is a mission, not a source of income. However, he tells Business Review that he is aware that it must also be economically attractive. His company’s goal around sustainability is to be recognised for innovative solutions, processes, applications, and for a focus on environmental protection.

By Anda Sebesi simply means col-

make decisions about strategic investments,

lecting products

the availability of special “sustainability” aid,

at the end of their

loans can push them towards choosing eco-

lifecycles and using

logical solutions. For me personally, sustain-

them as feedstock in

able development is a mission, not a source of

a new process. With

income – but I am well aware that it must also

this, we can reduce

be economically attractive.

the demand for limited raw materials and utilities, and

What does Chimcomplex intend to do in order to access such funds?

at the same time we

Chimcomplex is in a unique position to build

How can the chemical industry apply the concept of sustainability and what are its implications?

reduce the amount of polluting waste. The

its Green Strategy. Financially strong, with a

circular economy is no longer science fiction.

long tradition in chemistry (the foundation

There are many new technologies and devel-

of chem-cycling), and an enthusiastic team.

It is clear today that activities that harm the

opments, several of which have already been

We have drawn up a very exciting scheme of

environment cannot be successful in the long

applied, either in test mode or at full scale.

“renewable energy + recycled raw materials

run. The common practice is to interpret sus-

But such technologies are not cheap. They

+ zero pollution technology = green prod-

tainability in its narrow ecological sense, but

must be applied along the entire value-chain

ucts.” At this moment, we are working on the

for us in the chemical industry it means much

and are mostly beyond the capabilities of any

technical and economic details, which will be

more than that. Yes, we have to increase en-

single company. Therefore, sustainability

presented as part of our strategy to relevant

ergy efficiency, reduce the use of fossil fuels,

goals set by politicians must be coupled with

stakeholders in Romania and the EU. Most of

and minimise waste. But additionally, as

commitments by governments to allocate

these developments are eligible for central

President of the Romanian Chemical Produc-

investment funds.

funding, as they will result in increased energy efficiency and hydrogen production

ers’ and Distributors’ Association (APDCR), I can tell you that the chemical industry is the

capacity, investments in a photovoltaic park,

collected waste can be “broken down” into

We know that waste collection, as a part of the circular economy, requires large investments. What can you tell us about the role central funds play in this process?

molecules and re-built into new materials.

Waste is at the end of a linear economy – and

What is the company’s sustainability strategy?

So, for us, the concept of sustainability is an

in the middle of a circular one. Selective

Our aim is to be recognised for innovative

ecological commitment, a business impera-

waste collection is a decision that requires

solutions, processes, and applications and

tive, and an exciting challenge.

not just money, but also good will and proper

for our focus on environmental protection, as

planning. Cleaning up our surroundings costs

well to be a safe working place and a learning

In what ways is sustainability an opportunity for the circular economy?

a lot more than keeping it clean to begin

organisation. Investing in green technolo-

with. Central funds have an important role in

gies can help safeguard existing assets and

The European Green Deal is based on three

stimulating the circular economy. Dedicated

the business value of our main products. For

key commitments: climate neutrality, zero

funds raise the attention of governments,

us sustainability is not an option, but our

pollution, and the circular economy, which

companies, and entrepreneurs. When they

decided way to act.

only industry that can be an integral part of the circle. Through chemical recycling, the

and chem-cycling of PET waste.

www.business-review.eu Business Review | November 2021

ADVERTORIAL 21

You already know why more active means healthier?

Discover four extra reasons!

World Health Organization also states that exercise is extremely important in the fight against COVID-19. Moreover, during this period, the WHO doubled the daily period of recommended moderate exercise each week, from 150 minutes to 300 minutes! Put your health where it belongs, on your daily list of priorities. When you realize the amazing changes that exercise brings to your life, it will be the time when you make the best decision for health, immunity, and longevity: transforming movement into a lifestyle.

Medical studies show that regular swimming reduces stress, anxiety and depression and improves sleep quality. Along with muscle relaxation comes mental relaxation.

M

ost people could name some or all of the benefits of being

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that physical fitness is to our body what

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weaker, lung tissue loses elasticity and the air

fine tuning is to an engine. It enables us to

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perform up to our potential. Fitness is actu-

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www.business-review.eu Business Review | November 2021

22 UNICORNS

Will future Romanian unicorns be bootstrapped or VC-backed?

Startup founders have become more ambitious lately, many of them creating regional or global businesses from the start instead of strictly targeting local markets.

Repeat founders have also become more prevalent, but what is the best way to grow?

Should you seek an investor or go with bootstrapping, which means completely self-funding your development?

By Claudiu Vrinceanu local funds are also increasingly building global connections and experience in foreign expansion very quickly.

The region has created tremendous success stories, especially in enterprise software, With the increasing presence of international funds, internationalisation is easier than ever before

O

thanks to some of the best tech developers in the world. However, many of these successes have been bootstrapped for a long time, and

ne of the most exciting phenomena

mark transaction for the region. As a result,

the region still lacks an intense VC scene,

is the fact that a third (31 percent)

we’re also seeing CEE getting more attention

especially at later stages, beyond series A.

of Central and Eastern European

from western investors.

(CEE) unicorns were bootstrapped, compared

“Unlike in the 1990s and 2000s, founders

Estonia, Romania, and Poland have created the most startup value since 2000, though

to just 7 percent across the rest of Europe,

now think internationally from day one. The

UiPath predominantly drives Romania’s

according to a Dealroom study. This confirms

biggest challenge for startups in the region

ecosystem. Scaling is accelerating in CEE: in

that available capital has been scarce and that

has been growing internationally. There have

the last ten years, startups have taken almost

the region has solid entrepreneurial funda-

been several reasons for that, but recently

a third of the time to hit unicorn status com-

mentals, creating sustainable and scalable

there has been marked improvement in these

pared to the first generation. Romania’s list

businesses.

areas,” says Maciej Cwikiewicz, the CEO of

includes UiPath, eMag, FintechOS, Bitde-

PFR Ventures.

fender, TypingDNA, DCS+, and Elefant.

Titled “Coming of age: Central and Eastern European startups,” the report by Google

Access to money has been a hurdle in the

The quoted report shows another record-

and Dealroom looks back at the expansion of

past, with a funding gap that was particularly

breaking year for the region. Companies

startups in the region over the last 11 years.

noticeable at later stages. Still, there has also

founded in CEE now have a combined

During this time, the CEE region has seen

been a lack of skills and capabilities which

enterprise value of over EUR 186 billion (up

the value of firms soar from around EUR 10

are necessary to grow.

19x since 2010), VC investment soared to

billion in 2010 to EUR 186 billion this year.

This is changing. With the increasing pres-

EUR 4 billion in the first nine months of 2021,

According to the study, this year’s IPO of

ence of international funds, which provide

projected EUR 5.4 billion by the end of the

Romania-founded UiPath on the NYSE, at a

capital, know-how, and network, interna-

year, and the number of CEE-born unicorns

valuation of over USD 30 billion, was a land-

tionalisation is easier than ever before. But

has reached 34.

www.business-review.eu Business Review | November 2021

ADVERTORIAL 23

Canadian-born Topolinskis make The Family Difference in sustainable and responsible business real estate business in Romania.”

Michael IV is the project manager of InteRo’s premium development NorthLight Residence in North-East Bucharest. Spanning 13,000 sqm, it provides the 110 apartments with an exceptional view of the lake, 4,000-sqm of green spaces, playgrounds, and a 320-sqm pool.

His brother Tyler manages InteRo’s most recent project – New Confort City, a residential complex in Popesti Leordeni with 280 apartments.

“We took over an unfinished project that was causing discomfort to the neighborhood, resumed construction works and committed an important budget for landscaping and design so as to create a unique, much-needed green area for the community.

This has given us great satisfaction since we L to R: Tyler, Michael, Ashton and Michael IV

M

enthusiasm to current and future residents,”

ichael Topolinski made his

the world who seek premium opportunities in

first Real Estate investment

dynamic markets.

in Romania in 2006. What was

feel that we bring unprecedented value and

“Having global investors on board for our

Tyler says.

With the operational side running at fast speed in an increasingly competitive

initially just business eventually became

Romanian projects was a first,” Michael added.

market, Ashton’s job in aligning communica-

the milestone for a new life for himself, his

“But huge interest from investors in North

tion and marketing to the business strategy

children - 29-year-old Michael IV, Ashton (25)

America, Asia, and nearby countries clearly

is essential.

and Tyler (27), and his mother Edith (79), the

validated the country’s long term potential. 2021

latest from the family to move to Romania.

has been extremely busy and we are looking at

rooted into our core family values – indepen-

an even more exciting 2022.”

dence, unity, uncompromising commitment

“I’ve been truly fascinated by Romania

“Our approach to business is deeply

since my early days,” says Michael Topo-

Having assets of over EUR 120 million and

linski, “and I managed to instill this same

debt of only EUR 7 million, InteRo Group is posi-

that create wellness communities. This is

feeling to my children who joined me after

tioned for long term low-risk growth.

The Family Difference, the core unit behind

gaining business experience in Toronto. For

For the Topolinski children, there has hardly

to upmost standards, design and innovation

a solid and responsible business structure.”

more than a decade, we have been an active

been a dull moment since coming to Romania.

developer and investor in local real estate,

While enrolling in an intensive program to learn

forges a character better than challenging

witnessing its step-by-step transformation

the language and integrate the community, they

oneself and having a greater purpose; hence

and contributing to the steady upgrading of

are also entrusted with major projects, as each

civic responsibility is a constant in their

quality standards and market expectations.”

of them plays a key role in the management

lives. In the past year, they have donated

team.

NGOs a total of 2,245,500 medical masks and

15 years later, the family business InteRo Property Development – manages

“Being part of an investors’ family comes

The Topolinskis believe that nothing

310,000 RON. Ashton volunteered for United

a solid and diversified portfolio in Bucha-

with great effort and responsibility,” says

Way’s Reading Club dedicated to children

rest and the surrounding areas and is now

Michael Topolinski IV. “We dream big and work

in educational centers. The family supports

looking to expand to Brasov. Moreover, the

hard for every breakthrough. Our goals are

the Kola Kariola Association and dog shelter,

company has launched an investment arm

focused on impact and legacy, with an aim to

having funded most of the cost for a new

addressing potential partners from all over

become the most accomplished private family

sterilization center.

www.business-review.eu Business Review | November 2021

24 M&A

New M&A trend: transactions between Romanian entrepreneurs In addition to takeovers by private equity funds and founders exiting to make way for international strategic investors, a new positive trend is emerging on the mergers and acquisitions (M&A) market: transactions between Romanian entrepreneurs. It is a sign of maturity of the local business environment.

By Claudiu Vrinceanu

O

ne recent example was the move made by the Scandia Food group, led by entrepreneurs Gaspar and

Crestin, which took over sausage producer Agra’s from Alba County from founders Dan Sarmasan and Ligia Sanda Stincel. The transaction had a value of over 10 million euros.

Present circumstances are favourable for M&A and investments. The total value of

Present circumstances are favourable for M&A and investments

transactions concluded in Romania in the first nine months of 2021 reached USD 3.8 billion, increasing by 58 percent compared to

Autodesk, ongoing contracts with clients, rel-

the same period of last year. Of the 105 deals,

evant certifications, including the Autodesk

number of takeovers and investments in the

just six transactions accounted for two thirds

Gold Partner status, as well as all the know-

medical services industry. For example, the

of the total value, according to EY Romania

how. Graphein will pay the RON 2.2 million

Dent Estet group, which is part of MedLife,

data on the mergers and acquisitions market.

to Dendrio in cash in four instalments until

took over 60 percent of the shares of the

Elsewhere, the Agroland store network,

Other similar transactions include a

September 2023. The resulting capital will

Somestet clinic in Cluj-Napoca. The clinic

owned by entrepreneur Horia Cardos from Ti-

be reinvested to develop Dendrio’s strategic

was founded in 2001 by doctors Smaranda

misoara, took over the the Avicola Mihailesti

business lines – cloud and security – as well

Buduru and Rares Buduru.

platform, a producer of consumer eggs and

as to potentially fuel future M&A transactions

day-old chicks, which includes six farms lo-

in these areas.

cated on a 30-hectare area in Giurgiu County.

The trend is also visible in the IT sector.

“The main objective of our expansion through mergers and acquisitions is to be-

Based on these moves, we can conclude that 2021 looks promising in terms of M&A activity, given the interest in the local business environment.

Dendrio Solutions, part of the Romanian

come an integrator of services and products

IT group Bittnet Systems, sold its Autodesk

that will facilitate the digitalization of the

dence, despite the fact that the covid-19 pan-

division to local topography engineering

Romanian construction sector. Next, we aim

demic has had an extraordinary impact on

company Graphein for RON 2.2 million.

to acquire Proptech companies that can bring

people and businesses. The influx of liquidity

The agreement provides for the transfer

innovation in the way people rent, buy, sell

from markets and the pressure on capital

to Graphein of all operations related to the

or manage a property,” said Graphein CEO

allocation strategies are factors that favour a

relationship with American technology seller

and co-founder Eugen Ursu.

dynamic trading situation.

M&A markets have been ruled by confi-

www.business-review.eu Business Review | November 2021

26 TECHNOLOGY

NFT marketing booming worldwide What do Elon Musk, Kings of Leon, Lil Baby, Aphex Twin, MF Doom, Gucci, Delia or Stefan Popa Popa’s have in common? When art and digital meet technology and blockchain we get NFTs (non-fungible tokens), the latest buzz in the artistic world. Most NFTs are part of the Ethereum blockchain. Any piece of digital content can be minted into an NFT, from songs, photographs, and works of digital art to tweets, memes, published articles, and podcasts.

By Romanita Oprea and Victor Fota. The works were auctioned on the withfoundation and OpenSea platforms and could be bought with the Ethereum cryptocurrency. The two collaborative projects were 360° immersive scenes, mulled fully in VR over 10 sessions each, then postprocessed and animated by Mihai Cojocaru from One Night Gallery.

In June, WWF’s innovation division WWF Panda Labs and Carbonbase launched a pilot project that combined digital art and blockchain technology in order to provide direct financing to nature preservation projects in Romania. The NFTs can be bought on the Project Ark platform. The first piece in the collection was created by Topher Sipes and Allauras and titled “Woolly Ridges.” It uses topological data from the Carpathians in order to 3D sculpt the bust of a wisent. The embedded satellite images have the role of highlighting the relationship between wildlife, ecosystems, and geography. The NFT is available for 68 buyers, exactly the number of the free wisents in Magura Zimbrilor.

But the most anticipated were the limited edition “NFT eggs” which are available in four options: bronze, silver, gold, and platinum. Half of the sales went to projects by WWF Panda Labs Romania, and the rest went

W

to the artists and Carbonbase. As the funds are spent, NFT users will receive reports Interest in NFTs, or nonfungible tokens,

about the land conservation project’s evolu-

they create a file that lives on

surged this year, reaching USD 2.5 billion in

tion and results. What’s more, in the case of

the blockchain, which means it

sales by July 2021, compared to “just” USD

the digital eggs, once the goal is reached, the

13.7 million in the first half of 2020.

egg hatches and makes chicken, so that the

hen someone “mints” an NFT,

cannot be copy and pasted, edited, deleted

person who bought it may receive another

or otherwise manipulated. Each NFT can be bought and sold, just like physical assets,

MEANWHILE, IN ROMANIA

surprise NFT, through Chainlink. The pilot

but the blockchain allows for the ownership

In March, the first new media art gallery in

project aims to be a first step towards forming

and validity of each asset to be tracked. It has

Romania, One Night Gallery, launched its

a direct connection between preservation

also led to an additional source of income for

first unique works of art on blockchain, cre-

teams in the field and financers and artists

many creators.

ated in virtual reality by artists Raluca Bararu

worldwide, through different digital and

www.business-review.eu Business Review | November May 2016 2021

COVER TECHNOLOGY STORY 27 14

play elements. In the meantime, the goal is

gates the artworks’ materiality and digitali-

brought many pleasant surprises and a lot of

to create dynamic NFTs whose value will

zation. “This will age really well!” set out to

satisfaction.

grow or drop depending on the success of the

explore the different performative becomings

preservation project.

of materials and embodied practices by mir-

BEST FEATURES

roring them in the digital ecosystem, where

What are the main characteristics of NTFs?

Carbonbase want to set higher sustainability

their ethereal bodies remain fixed while they

According to Raluca Turcanasu, they work

standards throughout the entire digital art

go through other sorts of convergences. This

as double-edged swords, in the sense that

market that uses the blockchain system. All

dualist approach between an ever-degrad-

certain features may be advantageous for a

the NFTs in the project are released through

ing materiality and an immutable digital

certain group, but not so much for another.

the Polygon network, a Proof-of-Stake-type

counterpart was examined through physi-

She would say they are quite democratic,

blockchain which is able to eliminate 99.8

cal works in the exhibition space and NFT

as anyone could virtually jump on the NFT

Furthermore, WWF Panda Labs and

works. The latter

wagon, but looking at it more closely, one

were both offered as

understands that this “anyone” in fact

giveaways on-site

translates to “anyone within our expanded

(limited pieces) and

bubble:” people who own smartphones,

made available for

people who are digitally savvy enough to

purchase (through

install a crypto wallet and mint or buy NFTs,

various e-wallet

and people with enough disposable income

solutions).

to afford investing.

Leilei Gallery’s

“I think their main quality is the fact that

mission is to support

they offer novel financial possibilities for

young contemporary

young artists, who can thus elude the art col-

artists during the

lectors & institutional buyers format and still

pandemic period,

earn from their work. Their non-fungibility,

which has obviously

namely the fact that they cannot be split into

impacted the art

smaller units, translates into only one owner

market significantly

per artwork, which I reckon is also a positive

and has severely

aspect, avoiding potential complications.

limited artists’ abil-

Their most important advantage is probably

ity to make a living

the fact that they help monetise digital assets

through their work.

that have an inherent high social value (in

“We looked at the

the digital realm) but could not have been as-

NFT framework as

signed a financial value prior to the develop-

a positive, alterna-

ment of NFTs. I am of course talking about

tive way for artists

famous memes, such as Bad Luck Brian or

percent of the carbon dioxide emissions as-

to boost their incomes. So, the “This aged

Nyan cat, which have been traded at ridicu-

sociated with NFTs.

really well!” exhibition worked as a starter,

lous amounts,” Leilei Gallery’s communicator

a booster if you like, for artists to look into

remarked.

In July, A10 by Artmark hosted the first auction to include digital art created by

this trend and learn how they can use it for

Romanian contemporary artists in the NFT

their benefit, in an ethical manner. Moreover,

the gallery with the same name, said that tra-

format, also accepting cryptocurrency pay-

it served as a flagship project targeting the

ditionally, ownership of an artwork has been

ments. The moment marked a historic first,

general public, sparking local conversations

linked to its medium. You own the painting,

and not just for Romania, as A10 by Artmark

around NFTs and the associated opportuni-

you own the artwork. In digital art, it is hard

became the first Eastern European Auction

ties (such as collecting these virtual assets

to overcome the need to physically “own” the

House to include a section dedicated to NFT

to potentially sell them in the future) and

piece. “NFTs are a big step forward in solving

digital art. The auction also presented the

threats (their ecological footprint),” said

this problem, as it unequivocally decouples

first NFT-based church art works, created by

Raluca Turcanasu, communicator & member

ownership from medium, and I hope this will

painter Daniel Codrescu, the National Cathe-

of the curatorial team.

pave the way to an exciting new wave of digi-

dral’s iconographer.

For her part, Ioana Marsic, the execu-

In her turn, Anca Poterasu, the owner of

tal artists. I also believe that the smart con-

tive director of Leilei Gallery, noted that it

tract feature of NFTs is especially advanta-

exhibition in July and August, split into 4

wasn’t an easy project to work on and it did

geous for artists who can receive a traceable

chapters where time, as a force that enhances

feel quite intimidating in the beginning. But,

share of every transaction carried out with

and weakens, is the arch concept that interro-

even though it was difficult at the outset, it

their work, so there are many aspects feeding

Leilei Gallery presented a multi-layered

www.business-review.eu Business Review | November 2021

28 TECHNOLOGY

back into the practice of a global, decentral-

various degrees of individual freedom, which

ised art market,” she stated.

is already conditioned by a mediatic society

overlap,” said Anca Poterasu.

“We see an exquisite value in the time

that facilitates the dissolution of the self

capsule moments the artist captured through

came close to being taken over by dotcom

and authenticity. The NFT collection was

his fine art. The NFT validates the unique-

neoliberalism, and just as social media

launched on Blockchain.art (BCA).

ness of the moment. We feel privileged to

In Poterasu’s opinion, just as the internet

underwent its Social Dilemma, the crypto-

Designed by art world profession-

work with Popa’s and digitalize his most

related danger for art is being limited to

als for art world professionals, BCA is a

valuable collections, starting with Leaders Of

recirculating influencer brands, to the mere

database+marketplace for digital art forms

The World – a collection of 100 world lead-

regurgitation of name value-spreading,

that applies a dedicated blockchain infra-

ers the artist has met in different historical

while making art is forgotten. Outlining an

structure to the art market. “Occupy the

circumstances, whom he painted in his

aesthetic depends on how artists respond to

blockchain” featured a special live sound

unique style, and to whom he eventually offered their own portraits back as gifts. We are helping others NFTise their products or services as well. It's the natural evolution of this sector, going along with the trend. If you are thinking two or three steps ahead, there is always an indefinite time that you need to wait for things to develop and deploy. For example, we had been waiting for the NFT hype and mainstream adoption since 2017-2018,” said Lucian Stefan Rosu, the representative of Ptarth Timisoara.

The PTARTH Network focuses on digitalization and blockchain transformation. Its goals are to offer quality and expertise as B2B services to other companies or startups that are looking to integrate blockchain technology into their operations or services.

Between October 15th and November 10th they hosted an exhibition of the “Leaders of the world seen by POPA’S” collection at the Banat National Museum in Timisoara. The project aims to be a time capsule that marks historic moments, as well as to create a direct connection between the world leaders and

relaunching a Tactical Media manifest, occu-

performance by dyslex, invited through the

the art collectors who buy the NFTs. Through

pying the medium with their own messages.

AFCN project eART35.

PTARTH, Stefan Popa POPA’S also created

And who is more suited for the blockchain

“It was an amazing opportunity to work

a 3D gallery of the world’s biggest visual art

occupy movement than street-artists, who

with the best Romanian street-artists in

event – the 2021 International Salon of Press

are themselves shaped by the guerrilla-fight

dialogue with kinema ikon – the internation-

Cartoons and Satirical Visual Arts.

against the normalisation the public space? It

ally-acclaimed experimental multimedia

is within this context that Anca Poterasu Gal-

group. Their work speaks volumes on the

brand and product, encourage interaction,

lery launched a unique NFT collection gath-

rapid changes and the need to have a more

and even increase your conversion rate and

ering the most important Romanian graffiti

decentralised view on the art system. I am

profit. Think of it this way: anyone can have

artists and muralists: ACVM/Tudor Chiliman,

hopeful that we’ll see fewer boundaries and

a copy of a painting, but only one person

Ada Musat, Aeul, Alex Baciu, ATOMA, ERPS,

a welcome destabilisation of the status-quo,

can have the original. For the first time in

HOMEBOY LDJ, Irlo, Kero Zen, Lucian Sandu

and I am happy to be part of the change.

the history of the internet (the last 30 years),

Milea, Obie Platon, Ortaku, Pisica Patrata,

Digital art is a radical form of democracy,

“NFTs can help you raise interest in your

any artist, brand, company or individual can

as it knows no borders or class hierarchies.

upload any pack of data on the internet and

The NFT is based on an amazing technology,

make sure it’s validated as being their own,

infuse NFT platforms with a critical discourse

but it’s only the tip of the iceberg when it

and that it cannot be edited nor deleted. It's

regarding various technological, political

comes to digitalization. End-consumers are

a ‘notary’ digital contract whose unique ID

or biological control strategies. To this end,

now ready to own digital properties in virtual

is written into the blockchain,” added Lucian

they were debating how technology impacts

worlds, leading the real and the ineffable to

Stefan Rosu.

Pandele, robert OBERT, SeReBe. The purpose of the collection was to

www.business-review.eu Business Review | November 2021

COVER MARKETING STORY 29 14

Imagining the marketing of the future Diversity. Autheticity. Simplicity. Environmentally-friendly. Those are not just empty words, but key points on every marketing specialist’s agenda, in 2021 and beyond.

Consumers can no longer be fooled by simple statements, and statistics are proving this: for example, 63 percent of Americans believe that brands that issue a statement in support of racial equity need to follow up with concrete action.

By Romanita Oprea creative markets in Eastern Europe. And this phenomenon is still on the rise as we see more companies starting to drop convenient and comfortable communication to switch to a bolder type of marketing.

Gabriel Eremia, marketing & product management director at Arctic, says that the last two years have brought many changes to the industry and have had a major impact on digital marketing. Consumer behaviour has changed significantly, and brands and companies are doing extensive research to better understand how this period has changed customers and the industry in general. “Marketers are using and will continue to use these insights to tailor their strategies and messages.

Brands have turned to digital channels even more and have invested significant budgets in various platforms, in e-commerce, chatbots, Roxana Dinescu, Betano

A

Raluca Mihaila, Utopic Brain

applications, AI, VR. I believe that brands that use emerging technologies will become leaders in their industries,” Eremia argued.

He has seen a shift in focus towards social

ccording to Mathew Sweezey, partner

last two years on the Romanian marketing

at Salesforce Futures LAB, in 2020,

scene? According to Roxana Dinescu, market-

responsibility, ethics, and ecology, and many

the Salesforce State of Marketing

ing manager - brand and communication at

companies and brands are making major

report found marketers’ number one focus

Betano, marketing is turning into a mirror

efforts to refine their business practices and

last year was innovation. All brands had to

of what is happening in society, and thus it

content strategies to meet their commitments

pivot as a result of covid-19 forcing a transfor-

changes along with the society and its needs.

to sustainability. “We will increasingly see a

mation timeline that many had not planned

“Just like food turned into fast food, like

sort of anti-consumerism approach, espe-

on executing so soon. Brands were forced

fashion started to set trends in fast fashion,

cially during the holidays. This period has

to accelerate adoption of many elements of

for some time now we’ve been seeing fast

also had a major effect on mobile devices. It

marketing transformation, and that is a trend

marketing that is reacting, responding, and

has accelerated changes in user behaviour,

that will certainly continue in the years to

constantly adapting to the customer’s needs.

including increased video streaming and

come. “Many brands have had to embrace

Romanian marketing is very much con-

mobile shopping. In this context, many strat-

agile methods replacing long build cycles with

nected not only to the trends of the local

egies have been rewritten with a much better

a test and learn approach. This move is a core

market, but also to global trends,” Roxana

omnichannel approach,” Eremia added.

tenet of marketing transformation as agile

Dinescu said.

provides brands with a method of creating

The Betano representative is very proud

AI IS THE GAME CHANGER

that many Romanian marketing projects

“Seeing marketing change in real time based

have won or been nominated for prestigious

on behaviour is closer than we might think,

RECENT CHANGES

International Marketing Awards, which has

mainly due to the rising technology stars of

What have been the biggest changes of the

positioned our country as one of the most

this decade, namely machine learning and

better results faster,” Sweezey noted.

www.business-review.eu Business Review | November 2021

30 MARKETING

artificial intelligence,” said the Betano rep-

the future of marketing, data-wise, will be

forced to pay to not see commercials is an

resentative, pointing to one of the most im-

an intersection between the main principles

example of an unethical model of marketing,”

portant trends – AI. As chatbots are becoming

of the cool “disciplines” marketers often use

Mihaila conclued.

a customer service standard, in many cases

today: behavioural economics (because we

replacing live agents altogether, as machine

need to understand consumer triggers in

are living in an age in which consumers are

learning algorithms are growing increasingly

behaviour and how the mind and emotions

more careful regarding their acquisitions,

complex and emulating human beings with

work; it’s an absolute necessity for a marketer

and they value ethical and purpose-driven

almost spooky accuracy, we may find that the

to have knowledge of psychology and address

brands that take sustainable actions. In fact,

future we used to think about is already here.

market needs through those lenses), agile

sustainability is becoming the new digital,

Marketing is becoming more conversational

methodology (adaptation is very important,

as the pandemic has also brought the heavy

and personalised, with chatbots enabling

just like the scrum pillars are very important:

environmental and social issues we are facing

business owners to take advantage of this

have a clear focus on where’re you’re headed

to our attention.

with your brand, commitment

From a consciousness point of view, we

“When it comes to sustainability, our

towards you goals and team,

mission – for all three brands in our portfo-

courage to take bold decisions

lio – is to educate consumers to act, as each

and understand your relevance,

of us has the power to be part of the change.

respect for clients, diversity,

We support our consumers throughout this

solutions, and openness to learn,

journey, right from the beginning – through

grow, and adapt), design think-

our eco-friendly products for a healthy

ing (empathy in prototyping

planet (to name a few: washing machines and

gives makes the human-centred

washer-dryers with EcoTub made of recycled

approach a top priority), lean Six

materials, BioCycle Refrigerators whose

Sigma (improve results through

durable components are made from eggshell

cost optimisation), and foresight

waste and bioplastics or dishwashers with

(use the present to explain the

AutoDosing systems that dispense just the

past and see into the future).

right amount of detergent, avoiding waste)

“The salt and pepper of this pragmatic mix comes from the growing mindset of a CEO

and through our actions and initiatives,” the Arctic representative explained.

Still, according to Eremia, the next shift

who’s willing to contribute and

will be to the widespread adoption of artifi-

trend without additional strain on manpower

add genuine value to their customers’ lives.

cial intelligence, both at home and at work,

and resources.

Turnover and an obsessive need for growth

not to mention in services. In a not-so-distant

is not enough to build a sustainable brand,”

future, homes will operate in smart ways

Mihaila added.

that minimise energy consumption. Voice

And AI doesn’t stop there, of course.

Google is already running AI-powered ads to optimise campaigns by identifying the

In addition, Mihaila noted that in terms

search and voice marketing are on the rise

best-performing ad designs and copy and au-

of value-added communication, the human-

too, and the marketing world is looking into

tomatically adjusting based on user engage-

centric approach is better than product-ori-

these powerful tools that create a personal

ment.

ented sales campaigns. She believes that we

connection between brands and prospective

need leaders to make bold decisions and that

customers.

“I am happy to say that we have already

“The marketing of the future will also

started building a path towards this future

products should be promoted for how they

at Kaizen Gaming, where the company has

benefit our lives and not through perhaps

have to deal with the fact that consumer

already developed an Artificial Intelligence

convincing, but contentless campaigns. For

purchasing decisions are becoming more

Detection System for Responsible Gaming

instance, IKEA’s gesture to refund the govern-

and more complex and harder to pinpoint.

which is able to more quickly and accurately

ment with all the subsidies it received to sup-

As more accurate metrics will continue to

identify possible patterns of members who

port employment costs during the pandemic

emerge, customisation gains ground as well.

may be at risk, then allow its training RG

was a unique and unexpected gesture that

Integration is key in this context, and so is

agents to support them in the best possible

impressed their loyal customers and certainly

the holistic approach. Inside our marketing

way. This innovation was awarded at the EGR

attracted new ones.

department, we are working in squads – this

Marketing & Innovation Awards in 2020 and

“In terms of sustainability, ethical market-

means that each project has a core team from

I am sure that this is only the beginning,”

ing, transparency, responsibility, communi-

all areas of marketing, collaborating and find-

Dinescu added.

cating value instead of scarcity (FOMO-driven

ing synergies, bringing their core expertise

advertising) will be more in focus. What

to the table to generate the best results every

consumers are experiencing today by being

time,” Gabriel Eremia said.

According to Raluca Mihaila, Markendipity Architect & Managing Owner at Utopic Brain,

www.business-review.eu Business Review | November 2021

32 INTERVIEW

Romanian entrepreneurs seize growth opportunities through BVB’s AeRO market AeRO, the small-cap growth market of the Bucharest Stock Exchange (BVB), attracted 17 new companies this year, with more entrepreneurs and investors looking to tap the platform. BR sat down with BVB CEO Adrian Tanase to learn more about AeRO and understand how businesses can use it as a launchpad for listing on the main market.

By Ovidiu Posirca In 2021 alone, 19 new companies have listed their shares, two of them on the main market, with EUR 60 million each, and 17 on our small-cap growth market, AeRO, with an average ticket size of roughly EUR 2 million.

In addition, so far we’ve had 25 bond issuances on the stock exchange as well as nine government bonds, worth almost EUR 1.4 billion. This year’s evolution has once again proven the potential of our market in terms of attracting new companies, from different business sectors, as well as new retail investors.

How has the BVB’s AeRO platform performed during the pandemic economy and what are your plans for this market going forward?

The BVB has been providing financing opportunities for startups and SMEs since 2010, through the Alternative Trading System (ATS). In 2019, the ATS became a Multilateral Trading System (MTS), based on the European Union’s MiFID requirements. This way, the BVB contributes to the development of the business environment and provides financing for companies' projects, including startups and SMEs, to support their growth. At the same time, the MTS brings in new opportunities for investors.

Since the beginning of this year, the AeRO market has recorded more than 265,000

How are entrepreneurs, especially startup founders, perceiving the local capital market in terms of business opportunities?

development of their companies, offering op-

trades, an almost threefold increase over the

portunities which may be otherwise inacces-

previous year. The total value of trades on the

sible. There are also complementary results

AeRO market is close to RON 1 billion, which

In the last couple of years, we’ve seen a

that the local capital market has brought to

means an increase of 182 percent compared

change in entrepreneurs’ perception of the

entrepreneurs, including increased visibility

to 2020. The average daily trading value has

Bucharest Stock Exchange (BVB), as more

and a new approach to business, based on

reached RON 4.6 million. The AeRO mar-

and more of them are starting to view the

increased transparency and enhanced com-

ket has a capitalisation of RON 15.7 billion,

stock market as a source of financing for the

munication.

the largest figure since the launch of this

www.business-review.eu Business Review | November May 2016 2021

COVER INTERVIEW STORY 33 14

market in February 2015. Since 2019, 21 new

reports. As for quantitative criteria, to list on

deposits exceeded RON 420 billion (EUR 85

companies went public on the AeRO market,

the AeRO market, a company must meet an

billion), a 14 percent year-on-year rise, one of

with a total market capitalisation of RON

anticipated market capitalisation of at least

the highest of the last decade.

1.74 billion. All these numbers demonstrate

EUR 250,000 and list at least 10 percent of

both individual investors’ growing interest

its shares (10 percent free-float) or have 30

have impacted the participation of local

in this market as well as the fact that it is an

shareholders.

investors in the stock market, rough numbers

excellent opportunity for Romanian entrepreneurs.

In terms of how these additional savings

show an increase of almost a third in the number of retail investors since the start of

currently available on the MTS for entre-

What kind of feedback have you received from companies listed on the AeRO market? Are any of them planning to go public on the main BVB exchange?

preneurs and investors. Through this new

We already have an example of such a move:

perspective, we will be better positioned

Bittnet, which was the first IT company to

in the region, Romania included, but there is

to support Romanian companies on their

list on the AeRO market, made this step in

significant room for improvement. We cur-

path to development through capital market

2020. Bittnet is a model to follow for many

rently have a large number of local projects,

mechanisms.

companies in Romania, it is a story of accel-

as we believe there is significant growth

erated growth on the stock market, a compa-

potential in Romania. Successfully finalis-

the first index for this market. 16 out of 20

ny that accessed all the development support

ing this project and developing the futures

companies that are currently part of this new

mechanisms offered by the stock market.

market for securities and energy as well as

The AeRO Growth Market will evolve to encompass all the financial instruments

We also recently launched BET AeRO,

index are companies that have gone

the pandemic. In June 2021, data pointed to a total of 70,000 individual investors with stock exchange accounts.

Foreign investors are certainly very active

setting up clearing mechanisms

We are talking about capital

public over the last few years.

for the spot market are top

increases by capi-

priorities for us, and

talising

achieving these ob-

What are the main operational and cost factors entrepreneurs should take into account when looking to list their company on AeRO?

jectives would add a very important missing link to the Romanian capital market.

We have also started to

First of all, they

introduce ESG

should fully under-

standards on the

stand what listing a

Romanian capital mar-

profits

company means and decide

ket and we’re seeing grow-

and cash contri-

whether they really want to

ing interest from companies to

butions from shareholders,

take this route. They need to understand that the capital market provides access

bond issues, stock option programmes for

implement these standards, as this topic is

to various financing mechanisms depending

team members, securing financing for the

gaining prominence in investment decisions

on their needs and their company’s stage of

acquisition of other companies, and the list

for both local and international investors.

development.

goes on. Recently, two additional AeRO-list-

Another very important issue we’ve ad-

ed companies – Life is Hard and Holde Agri

dressed is developing a broader analysis of

tion of a simpler, faster, and more efficient

Invest – have announced their intention to

local companies and we’ve managed to offer

listing procedure on BVB’s Multilateral

progress from the AeRO market to the main

investors a free tool in this regard through

Trading System, which includes the AeRO

market.

the BVB Research Hub, where analysts from

We recently announced the implementa-

both Romanian and international brokers are

market, starting with 2022. The new procedure is intended to further facilitate access to funding for entrepreneurial companies through capital market mechanisms.

What’s missing from the domestic capital market right now?

I would like to phrase that as what can

publishing reports on companies that have not been previously covered.

We believe that if we manage to success-

be improved on the capital market. Indeed,

fully implement our projects and deliver on

are more accessible than those on the Regu-

we would like to have more retail investors,

our promises, and if Romanian companies

lated Market. For example, companies on the

and the growth trend has already begun. The

keep delivering strong results, local and

AeRO market are subject to reporting annual

increase in savings during the pandemic was

foreign investors will take notice and their

and half-yearly results, while Regulated Mar-

a global trend, and it was visible in Romania

interest will grow even further in the coming

ket companies must also submit quarterly

too. At the end of 2020, non-government

years.

Listing requirements on the AeRO market

www.business-review.eu Business Review | November 2021

34 ENTREPRENEURSHIP

ESG thinking begins to permeate local startup ecosystem Environmental, social, and governance (ESG) factors are starting to become a crucial part of sustainable investing and the European Union has been providing companies with a related regulatory framework. The concept will apply to all companies located or doing business in the EU, and new startups could emerge as the competition for the highest ESG scores intensifies.

By Ovidiu Posirca provides scores from 0 to 100, according to CB Insights.

SUSTAINABLE TRANSITION ACCELERATED

BY THE PANDEMIC Ionut Tata, the CEO of Iceberg Plus, a startup consultancy, suggests that startups innovating by embedding green technologies or components into their core offer of products and services will likely find new investors, partners, client bases, and opportunities under this new framework.

“Discussions about the widespread legal and financial repercussions, newly imposed standards, as well as sourcing funds and cost-effective ways to implement required changes are at the forefront of how entrepreneurs and funds relate to environmental and social responsibility standards,” Tata tells BR. “Additional resources may need be redirected to meeting the new requirements, some KPIs may have to be reconsidered or postponed until new provisions are set in place, while pricing and cashflows may suffer alteraMonitoring ESG performance should come easily and naturally for startups

I

tions. Entrepreneurs and investors in sectors such as energy, transportation or agriculture should be the wariest of these changes,” he adds.

n terms of environmental matters, a

Regulation (SFDR) became mandatory for as-

company can be assessed on its energy

set managers, venture capital funds, private

use and the way it handles waste and

banks, and other financial market players,

comes on the backdrop of the health crisis,

limits pollution. For the social component,

wrote Isabelle de Cremoux, CEO and manag-

which has highlighted many social and

what matters is the way in which a company

ing partner at VC firm Seventure Partners, in

health inequalities. The VC industry, which

engages with customers, employees, and

an article for sifted.eu.

backs startups, can play a part in tackling

other members of the community. On gover-

In short, ESG encourages companies of all

The focus on the sustainable transition

some of these challenges under the ESG framework.

nance, factors such as company leadership,

sizes to incorporate sustainability into their

internal auditing, and shareholders’ rights

operations. There are a number of different

are key.

scoring mechanisms currently being used on

point out that VCs have the chance to help

the market. For instance, MSCI ranks firms

companies integrate ESG factors during their

on a scale of CCC to AAA, while Refinitiv

formative years, embedding ESG perfor-

Last spring, ESG disclosure obligations under the EU Sustainable Finance Disclosure

Representatives of professional firm PwC

www.business-review.eu Business Review | November May 2016 2021

ENTREPRENEURSHIP COVER STORY 14 35

mance into the culture of the company as well as its operating principles as the business scales.

Sustainability is gaining prominence in the purchasing decisions of younger generations. Companies’ efforts to become carbon neutral are also getting scrutinised.

Matei Dumitrescu, senior partner at startup investment fund Roca X, says that having specific EU regulation might set the bar for everyone in matters of standards.

This could harness the creation of a new breed of startups.

“Startups require a different approach than a conventional company, so rather than adopting new policies, startups need to integrate them into their core from the very beginning. A startup will need enough room for maneuver in its early days, so an ESG framework will need to take this into account and not restrict or discourage any actions,” Dumitrescu tells BR. He adds that monitoring ESG performance should come easily and naturally, alongside all other normal reporting that goes on

to ESG could be beneficial for early-stage

port services for the implementation of the

between VCs and companies. In practice,

startups that seek financing or for older

legislation. The CEO of Iceberg Plus says

without clear guidelines, such reporting can

entrepreneurial firms planning to go public.

this will include companies gathering data

become a burden for most, discouraging

For instance, VCs invested some USD 60 bil-

and doing environmental, social, and risk

lion in climate tech

them from pursuing improvements

between

in this area.

2013

analysis, firms offering green transactions and statement services, companies ensuring green, high performance supply

SIGNIFICANT GROWTH IN CLIMATE TECH FUNDING

chains or suppliers of ESG monitoring and

Roca X has seen two

evaluation services, all

main approaches from

of which will find new

investors following

markets and client pools.

“The challenge here,

the sustainability trend.

in my opinion, is being

There is a focus on startups and

that solve environmental

2019, of which

challenges, as well as one on in-

USD 7 billion in Europe,

vesting in businesses with social returns

able to detach from trying to superficially adapt current workflows, expectations, and concepts to the

according to a report by PwC. During this

new regulations. I think the process requires

period, the compounded annual growth

a fundamental restructuring of business

agement companies have had an easier time

rate (CAGR) in the total capital deployed in

processes and that, in all likelihood, it will

integrating new ESG policies into investment

climate tech stood at 84 percent.

deliver a stronger blow to rigid and robust

such as education or healthcare.

“While classic funds and other asset man-

decisions in listed companies, the process for

There are 43 climate tech unicorn startups

organisations that are unwilling to imple-

VCs has been much more difficult. Appar-

with valuations topping USD 1 billion, of

ment such radical changes. One relevant

ently, although many VCs are claiming that

which 30 are in the mobility and transport

comparison here is with the initial COVID-19

their policies are in line with ESG principles,

sectors.

lockdown, where, across sectors, companies’

in reality very few manage to monitor ESG performance,” Dumitrescu explains.

Nonetheless, a well-articulated approach

In the short term, the industry that will

capacity to embrace radical changes was the

be built around ESG policies will foster the

main predictor of their potential to either

development of companies that offer sup-

thrive or fail,” Tata concludes.

www.business-review.eu Business Review | November 2021

36 TOURISM

Discover Romania: Maramures Way A local NGO from the Maramures region has created an alternative map to help tourists discover the wonders of northern Romania. BR talked to Matei Tiboc, president of the Origini Maramures Association and initiator of the Maramures Way project.

By Oana Vasiliu will not encounter people

legends, creativity in handicrafts, simplicity

dressed in folk costumes

in country life, joy in music, and more.

Photos courtesy of Maramures Way

in Baia Mare, for example, but that they will be able to

What is Maramures Way and how did you come up with the idea?

find great craft coffee there.

Do you see this project as complementary to other existing activities in the region?

The project aims to increase

This project also includes some well-known,

the amount of time people

short-distance mountain trails, and it also

spend in Maramures, by

aims to gather multiple tourist services in the

offering a diverse choice of

region: not only natural and cultural attrac-

activities and improving the

tions, but also craftspeople, experiences (like

quality of tourist services.

on Airbnb), accommodation, and restaurants.

There are many other such routes in the

ties. It can be seen as the backbone of the

Can you present some of the experiences included in this programme?

Maramures region as well as a chance to make

We want to show

history. The route is designed to be completed

people that there

on foot or on a bike, and on it tourists will find

is a Maramures for

extraordinary landscapes, ancestral traditions

everyone, especially

and customs, adventures, relaxation, and all

for those who like

kinds of tourist attractions and beautiful peo-

taking walking trips

ple. But most of all, they will find themselves.

and have a desire to

On this fairy tale road, travellers will discover

dedicate more time to the area. We also target

world: Camino in Spain, Lycian Way in Tur-

stories, legends, characters, and places that

those who are passionate about traditions

key, Juliana Trail in Slovenia, Via Francigena

can enrich and heal the mind and the soul.

and folklore, nature lovers, creative people

in Italy, and many more. In Romania, the

We were inspired by Via Transilvanica and

or those who just want to take a break from

first route of this type was Via Transilvanica,

other similar routes from all over the world,

everything.

which took shape 2018, while Maramures Way

Maramures Way is a 700 km tourist circuit route that connects and develops communi-

such as El Camino de Santiago in Spain, but

Maramures Way offers all kinds of experi-

we adapted it to our region, which is unique

ences, from learning about a local family’s

in many ways.

household chores to pottery, horseback riding or even experiences that give you an adrena-

Why the need for such an initiative in one of the most well-advertised regions of Romania?

line boost, such as tandem paragliding.

It is a project that was born out of passion for

What types of travellers are you looking to engage?

one of the most special places on earth, Mara-

Maramures Way has something to offer to all

mures. We want to offer tourists more ac-

kinds of people, with all kinds of motivations.

curate information in order to create realistic

Tradition is, indeed, at the centre of life, but

expectations. They must be aware that they

there is also spirituality, nature, history and

followed in 2019.

www.business-review.eu Business Review | November 2021

ARTS 37

Don’t miss: The Modern Idol.

Henry Moore in the Eastern Bloc Until 6 February 2022, the Romanian National Museum of Art (MNAR) and the Institute of the Present are hosting the exhibition titled The Modern Idol. Henry Moore in the Eastern Bloc, which presents a contextualisation of the Henry Moore tour of 1966-67, when the famous artist travelled to Bucharest, Bratislava, Prague, and Budapest.

By Oana Vasiliu unofficial channels. “The discussions surrounding the exhibition did nonetheless offer evidence that the local artistic and cultural life was stimulated by Moore’s presence, in some cases shaping individual artistic careers or reinforcing ideas and tendencies already present within the cultural landscape of these Photos courtesy of MNAR

countries in the 1960s. Accordingly, Moore’s exhibitions constituted a shared tool for both British and local authorities in their own cultural diplomacy,” organisers add.

Henry Moore’s touring exhibition represents an exceptional moment in the post-war Explore the art of Henry Moore

U

history of art in the Eastern Bloc. Revisiting such an event from a transnational point

ntil 6 February 2022, the Romanian

authorities in Romania, Czechoslovakia, and

of view can significantly contribute to the

National Museum of Art (MNAR)

Hungary, the exhibition featured works—

understanding of the intricacies of 1960s

and the Institute of the Present are

sculptures and drawings—spanning over five

cultural politics. At the time, MNAR bought

decades, from 1924 until 1964.

a sculpture by Henry Moore, which is still in

hosting the exhibition titled The Modern Idol. Henry Moore in the Eastern Bloc, which

The current research explores the stories

the museum’s collection.

presents a contextualisation of the Henry

of these shows in Bucharest, Bratislava,

Moore tour of 1966-67, when the famous art-

Prague, and Budapest, investigating their

lyst of the British sculptural renaissance that

ist travelled to Bucharest, Bratislava, Prague,

role in taming the political tensions and the

followed his rise to fame in his own lifetime.

and Budapest.

conflicting ideologies after 1960. “The exhibi-

Henry Moore is considered to be the cata-

In 1977, he founded the Henry Moore

“The Modern Idol. Henry Moore in the

tions were the result of a cultural exchange

Foundation, which still deals with the heri-

Eastern Bloc” is a collective research project

programme with the Eastern Bloc managed

tage. In August 1986, Henry Moore died in

initiated by art historians Alina Serban

by the British Council: in exchange for hosting

Perry Green at a moment seen as the pinnacle

(Bucharest), Daniel Véri (Budapest) and Lujza

Moore’s show, these countries had the chance

of his career. A few years before his death,

Kotočová (Prague) and it contains a series of

to organise similar events in the UK. The

he had become the best-selling living artist

interviews with witnesses of the exhibition in

timeline presented in the current exhibition

in auctions. Sales records were broken in

Romania, the Czech Republic, and Hungary:

explores such bilateral connections between

2012 when the 1951 piece “Reclining Figure:

art historians Ioana Vlasiu, Krisztina Passuth,

the UK and the three socialist countries.

Festival” sold for USD 19.1 million. He is the

Márta Kovalovszky, and Péter Kovács; paint-

Furthermore, it highlights events related to

second most expensive British artist, after

ers Constantin Flondor and László Gyémánt;

Moore that took place in the Eastern Bloc

Francis Bacon.

sculptors Grigorie Minea, Peter Jacobi, and

(Poland, Bulgaria) and Yugoslavia,” the organ-

György Jovánovics; and intermediate artist

isers note.

At the time of his death, Moore had created just over 1,000 sculptures, over 700

The reception of Moore’s work was differ-

graphics, and almost 5,500 drawings, leaving

historians Márta Kovalovszky & Péter Kovács.

ent in each of these countries due to the spe-

an incredible wealth of material to be remem-

At the time believed to be the artist’s largest

cific artistic and political conditions and the

bered. To a certain extent, Moore secured his

international retrospective, organised by the

varying degree of awareness towards Moore’s

own legacy with great acts of generosity, par-

British Council in collaboration with local

oeuvre, acquired earlier through official or

ticularly through gifts to public collections.

Adéla Matasová.Krisztina Passuth, and art

www.business-review.eu Business Review | November 2021

38 CITY

Cultural calendar Norma November 14, Bucharest National Opera

By Oana Vasiliu

The 31st edition of the National

Starring Laszlo Matray, Ilinca

Theatre Festival is going to take

Harnut, Zsolt Bogdan, Ada Cond-

place online, due to pandemic-

eescu, Cuzin Toma, Manuela

related restrictions. Critics Oana

Harabor.

Cristea Grigorescu, Cristina Rusiecki, and Claudiu Groza, this edition’s curators and artistic directors, announced the list of performances at FNT 2021.

This year’s concept is “Cre-

Under the theme Dreamtigers,

ation. Recreation. Re-creation”

the event pays homage to Argen-

and it also subsumes FNT sec-

tine writer Jose Luis Borges and

From several points of view,

tions, which have 38 selected

also marks 100 years since the

“Norma” represents the typical

shows nationwide. Performative

birth of Astor Piazzolla with a

situation of the romantic opera

installations, visual installations,

programme of works by the com-

in its southern lyrical essence.

foreign productions, and related

poser. In Bucharest, the festival

Intensely melodic, with a pri-

events will all be part of the

is taking place at the Romanian

mordiality of vocality, “Norma”

festival.

Athenaeum, Sala Radio, the Auditorium Hall of the National Mu-

has anthological pages (among them especially Casta Diva) that fully justify the aura of legend

Obie Platon - CNNCT/ DSCNNCT (Connect/ Disconnect) Until November 28, Kulterra Gallery

UrbanEye Film Festival November 10-14, online

seum of Art (MNAR), Bragadiru Palace, Club Expirat, Guesthouse Club, and Fratelli Studios.

that surrounds it and Wagner's enthusiastic judgment: “I admire

The Obie Platon - CNNCTD-

Norma's melodic inspiration,

Night Patrol Film Premiere From November 19

united with a deep realism of the

SCNNCT exhibition, presented

by Kulterra, includes a new

most intimate passions; a great

series of artworks that are no

score that addresses the heart, a

longer just about the present, but

creation of genius.” The audi-

also aimed towards the future,

ence will have the opportunity

towards the painstaking effort

to listen to the internationally

of untimely updating an entire

renowned soprano Elena Mosuc

society that is not yet ready for

in the title role, in a production

it. It’s more than obvious that

directed by Alice Barb.

National Theatre Festival November 6-14, online

evolution – as change – waits for For this edition of the festival,

no one to get ready. The series

UrbanEye 2021 brings films about

of images some sort of algorithm

seemingly utopian communities

will convince you to behold

that hide less pleasant secrets,

describes a phase of an ongo-

about exemplary revitalisations

Directed by Iosif Demian, “Night

ing process. It is the moment to

of declining areas, about the fight

Patrol” tells the story of sev-

decide what stays and what is

for truth and saving the past,

eral actors who find themselves

left in the past in terms of values,

about silent conflicts, but also

locked out of their dressing

structures, dogmas, ideologies,

about architects who marked the

rooms. They are forced to leave

and whatever else is necessary to

history of urban aesthetics.

the theatre wearing their stage

define the new era we are about

costumes. Without IDs, money,

to enter. Both at a rational and

car keys or mobile phones, their

an emotional level, this process

identities are fading. One by one,

of transformation pervades

across a dark and hostile city,

everything – from individual to

they start their journey home.

society.

SONORO Festival Until November 14, Bucharest, Brasov, Sibiu, Cluj-Napoca