Caucasus Business Week #284

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Air Malta will launch operation in Georgia’s air market on July 4th

Number of Employees shrinks, but Unemployment Rate narrows

Lufthansa plans 14% Growth in the Georgian Market

Market Demand makes Natural Resources Profitable

May 27, 2019 - www.cbw.ge

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Lufthansa adds Two Flights from Munich to Tbilisi

Container Shipments from China to Europe increased by 50%

Deputy Minister of Economy and Sustainable Development, Nikoloz Alavidze held a meeting with the Deutsche Lufthansa Vice President of Sales, Stefan Kreuzpaintner.

Cooperation in the field of transit and transportation between Georgia and China was discussed at the meeting at the Ministry of Economy and Sustainable Development.

Minister of Economy appoints Zaza Dvalishvili as ESCO Director General Minister of Economy Natgia Turnava has appointed Zaza Dvalishvili as an acting director general of ESCO (Electricity Market Operator).

One more Low-cost Air Company will perform Flights from Kutaisi International Airport The Air Company, which will operate in Kutaisi International Airport, is called Skyup Airlines. Direct, regular flights will be performed to Kutaisi, Odesa, and Kharkiv twice a week.

The flights will start on June 4th.

Minister of Foreign Affairs of the People’s Republic of China has met Georgian Counterpart, Davit Zalkaliani GNERC introduces Changes to Water Consumption Tax Bill for Guesthouses Georgian National Energy and Water Supply Regulatory Commission (GNERC) plans to introduce a new system of calculating water consumption tax for guesthouses, the commission chairperson Irina Milorava noted.

Minister of Foreign Affairs of Georgia, Davit Zalkaliani hosted Wang Yi, who performed his first official meeting in Georgia. The sides discussed issues on the agenda of bilateral cooperation issues and in particular – Trade-Economic Partnership.

Violinist David Garrett will hold Concert in Tbilisi

Natia Turnava and Elizabeth Rood discussed Georgia-USA Economic Relations Minister of Economy and Sustainable Development, Natia Turnava and the USA Charge d’Affairs in Georgia, Elizabeth Rood held a working meeting on the issues of economic relations between the United States and Georgia.

Minister of Finance: GEL Rate falls to 2.80 Point, but there is no Inflation Pressure GEL exchange rate deprecation is driven by external factors, Minister of Finance Ivane Machavariani told reporters.

David Garrett, famous violinist will hold a concert in Georgia. The concert is organized by the Chamber of Culture of Georgia.

Changes in JSC Liberty Bank's Supervisory Board Chief Executive Officer of Liberty Bank, Giorgi Kalandarishvili has made transfer to the bank's Supervisory Board. For now he will be replaced by Levan Lekishvili.

The Editorial Board Follows Press Freedom Principles Publisher: LLC Caucasian Business Week - CBW Director: Levan Beglarishvili WWW.CBW.GE Address: Aleksidze Street 1 Sales: Mob: +995 591 01 39 36 Email: caucasianbusiness@gmail.com Editor: Nutsa Galumashvili. Mobile phone: 595 380382 Copy Editor: Ellie Rambo Reporters: Nina Gomarteli; Mariam Kopaliani; Merab Janiashvili, Economic columnist: Andria Gvidiani; Technical Assistant: Giorgi Kheladze;

Giorgi Chogovadze: "We have conducted Negotiations with Air Malta since 2015" Air Malta will launch operation in Georgia’s air market on July 4th.

Regular flights from Tbilisi to Malta will be performed Thursdays by an Airbus A 320 airplane.

The information was unveiled at a conference that was held at the Holiday Inn. Giorgi Chogovadze, director of the LLC Georgian Airports Association, Maia Kvrivishvili, head of LEPL National Tourism Administration and TAV Georgia general manager Mete Erqalm, took part in the news conference.

The Georgian Airports Association welcomes

the new airline to Georgian market, Giorgi Chogovadze noted.

“The Georgian Airports Association welcomes the new airline to the Georgian market. We have been conducting negotiations with Air Malta since 2015. The new airline will grow passenger turnover between the EU and Georgia. Attracting new airlines to Georgia is one of our priorities”, Giorgi Chogovadze said.

According to information provided by the Georgian Airports Association, cooperation between the public and private sectors in the field of aviation

is of crucial importance for developing tourism and the valuable position of Georgia in targeted tourism markets, including in the EU. Viktor Mipsud, commercial manager of Air Malta and Zurab Sharashenidze, Vice Chairperson of Interco Travel Group, a Commercial Representative of Air Malta in Georgia, also addressed the audience at the event.

Thanks to diligent work, Georgia has attracted new airline to the aviation market, participants at the news conference noted.

Direct flights from

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Malta will boost the development of the tourism potential of Georgia, Georgian Airports Association representatives noted.

Air Malta launched operation in April 1974.

Its head office is located at Malta International Airport. The airline performs direct flights to 39 destinations in Europe and North Africa.

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Number of Employees shrinks, but Unemployment Rate narrows Unemployment Declines by 1.2% in 2018

According to the final report by Geostat, the national statistics service of Georgia, the unemployment rate in 2019 shrank by 1.2%, to 12.7%.

The unemployment rate has been declining over the past 9 years, and the lowest indicator over the 15 years was recorded in 2018.

According to Geostat, unemployment rate is much lower in villages, compared to urban areas. Namely, in 2018, as compared to 2017, the unemployment rate in urban areas declined by 3.5%, while the rate increased by 0.7% in villages.

As for indicators from the regions, in 2018, as compared to 2017, the unemployment rate declined in Tbilisi, Adjara, Imereti and Guria.

“In Tbilisi, which has the highest unemployment rate, this indicator shrank by 5.9%. As for the Adjara and Imereti regions, the figure decreased by 1.8% and 1.6%. Unemployment rate rose in Samegrelo-Zemo Svaneti

and Mtskheta-Mtianeti regions by 3.3% and 1.9%, respectively”, the Geostat statement reads.

In 2018, the ratio of those hired in the total number of employees made up 50.8%, up 2.5% year on year. It is worth noting that, over the past 5 years, the number of self-employed is declining and , for the first time, the number of those employed exceeded the number of the self-employed.

Traditionally, the unemployment rate is higher among men, as compared to women. Namely, in 2018 the unemployment rate among men exceeded the indicator of women by 2.7%. At the same time, the rate declined by 1.5% among women, and by 1.1% among men in 2018, compared to 2017.

Over the past few years, the unemployment rate has declined every year, however, frequently, the contraction is the result of the decreasing size of the economically active population, because the number of job-seekers decreases and

consequently, the unemployment level also climbs down. In 2018, the ratio of the economically active population in the total number of able-bodied citizens (15 years old and over) constituted 63.9%. As compared to 2017, the citizens’ activity level has comparatively decreased.

In urban settlements, the employment rate rose by 1.2% year on year, but in villages the figure declined by 3.4%. The activity rate in urban areas decreased by 1% and in villages by 3.1%.

The Geostat director explains that, according to the last reports, the employment rate’s contraction was related to growing number in the economically inactive population, after a certain part of the population lost hopes for finding jobs.

“The unemployment rate has decreased, after a certain part of the unemployed was hired. This tendency shows that a considerable number of people have moved to the category of economically inactive citizens. Previously, the figure was around 1 million citizens, but today the figure has risen to 1.1 million citizens. A certain category has lost hopes for finding a job, therefore, our methodology enlists them in the category of economically inactive citizens”, Gogita Todradze noted.

When compared to Georgia, lower employment rates are recorded in Spain, Greece, Armenia and other countries, but such countries as the Czech Republic, Germany, USA, Netherlands, Norway, Great Britain, Romania and Poland record full employment, i.e. the unemployment rate is below 5%.

Lufthansa plans 14% Growth in the Georgian Market Lufthansa Group’s Ongoing and Expansionary plans on the Georgian Market Stefan Kreuzpaintner, Sales Vice President of the Lufthansa Group in Europe, Near East and Africa, has recently paid a working visit to Georgia. In his interview for AviaNews, he talked about the airline’s plans and, in general, the ongoing and future projects of Lufthansa in Georgia.

First of all, what was the objective of your visit to Georgia, and what meetings have you held?

I am visiting Georgia for the first time. Before my arrival, I talked about Georgia with various individuals, and everybody showed positive attitudes towards your country. This factor proves that Georgia has a good position and huge potential.

The key objective of my visit was to expand the workload of the Munich-Tbilisi-Munich flight by 14%.

We have been operating in Georgia for 14 years, and we have chosen this symbolic number. We will have 14% more seats as a result of our 14-year operation in Georgia.

Another objective was to explore the region’s internal sales – 60 people are coming from various countries to Tbilisi, as well as from the head office in Austria, Frankfurt, Zurich and they will receive due information about our sales in Tbilisi, and the whole region.

The third reason was to hold meetings with decisionmaking bodies in Georgia, to explore the current dynamics, which turned out positive. I have learned a lot about Georgia, about its openness, and its future plans.

After the 14-year operation in Georgia, how content is your company with the Georgian market, especially, over the past years, when the tourist inflow has been growing?

We are very content with the Georgian market, and we plan to increase the number of seats. We can also say that Georgia has withstood difficult times, and Lufthansa was represented in Georgia in that period, too. The tourist inflow has grown over the past period, in both directions. Moreover, Georgia has visa-free regime with EU countries, and the business dynamics grows. As a result, we plan to expand options for our clients, and we will add two new flights a week.

I believe this is an additional step towards irreversible and sustainable growth in Georgia.

In the interim period, will the Lufthansa Group expand operations on the Georgian market, through adding new directions or involving other companies in the group on the Georgian market?

No, at this stage we have no other plans. I believe the company should implement its plans step by step. Otherwise, we will not be able to ensure sustainable and successful operation. Therefore, I believe that 14% growth is sufficient for 2019. And based on the results, we will talk about additional steps. Thus, at this stage we have no other specific plans.

But there were times when Eurowings could enter Georgia.

Our society is interested in low-cost flights, and Wizz Air’s indicators and its passenger turnover also prove this.

Eurowings is our Point to Point platform, and its key objective is to

ensure competitive prices in the segment of low-cost airlines. Over the past 4 years, the airline demonstrates impressive growth, especially in 2018.

Along with additional growth, we should also talk about stability, and this is our key objective for 2019: to follow a reliable schedule. Therefore, we have no plans for expansion of Eurowings on the global market. I believe our homework in Georgia, for the current year, is sufficient, and we will focus on making additional flights profitable, and then we will see what happens.

We always analyze markets and markets dynamics, and only after this will we take decisions regarding any growth and expansion. Naturally, we always have longterm perspectives regarding the Georgian market, like other markets too.

How has the visa liberalization process influenced your flights – what statistics do you have? Are there any problems in terms of border-crossing restrictions and deportations?

After visa liberalization, over the past 2 years, visits from Georgia to western countries have been growing, including for educational purposes. At the same time, it is interesting that visa liberalization has also increased arrivals from Western Europe to Georgia. Therefore, I believe visa liberalization has brought a lot of positive results – tourist traffic has increased in Georgia, and this signifies additional development. Georgians leave for Munich or from Munich for other countries – mainly for France, Spain and the USA. As for visitors from Georgia seeking asylum in Europe, we have no similar cases. Since we are a commercial airline, naturally, we are interested in the maximum liberal visa regime. We check documents on the border, but migration is a political issue, and we cannot make comments on this issue.

Therefore, we ask the relevant countries to check due documents on the border, because if certain documents are required, the airline is responsible to pay the costs of the return ticket. Naturally, this is the case that we want to avoid.

Since your company has huge experience in aviation, what would you share with us from your experience, and what

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recommendations would you give to the Georgian airline Georgian Airways, for example, in order to become more successful?

I can talk about the model of the Lufthansa Group. Our strategy places focus on premium segment, on the one hand, through our premium brands – Austrian Airlines, Lufthansa and SWISS. Over the past few years, we have made huge investments and we will maintain this policy to strengthen in this direction, including by the introduction of premium products. Moreover, one of the most remarkable facts is that Lufthansa is the only western European airline that has obtained 5 stars in the Skytrax World Airline Awards. Our strategy is also to maintain competitive prices in the budget segment, after we started developing Eurowings, our second platform and brand, which is the third biggest Point-to-Point airline, and which permanently grows.

Therefore, to stay successful, our business model covers both premium segments and the most important budget segment.

Several weeks ago, we declared that we plan to buy 40 airplanes to replace the existing fleet, and add new ones.

We plan to buy 20 Boeing 787-9 and 20 Airbus A350-900 airplanes. In this respect, I would like to also mention the company’s corporate and social responsibility aspects, because the new airlines will, essentially, cut CO2 emissions and noise.

Which destinations are the most loaded on the global market?

London is one of the busiest flights in Europe, while Paris and Barcelona are one of the most popular destinations. As for international flights, New York, San Francisco are popular, as well as Shanghai in Asia.

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Market Demand makes

Natural Resources Profitable

Natural resources shape one of the key reserves of our country and these resources are to boost economic growth in Georgia, Minister of Economy Natia Turnava noted.

Several weeks ago, she told the Forbes Week: “According to our appraisals, natural resources existing on 10% of our territory, the so-called extractable industrial minerals, are interesting resources for various investors Today we have employed 3.8% of these resources. Do we have reserves to double this figure? – Sure, we do and we can. This signifies we have resources that we should employ to boost economic growth. To this end we need a very adapted structure, proper people on their places, personal responsibility for each task.

This is our role. We should adjust this system to new tasks very soon”.

The Caucasus Business Week (CBW) has inquired what potential Georgia has in terms of minerals extraction, what we employ now and whether minerals efficient employment can boost economic growth.

‘Georgia should shape favorable investment climate for mining business development, including the country should improve the legislation and carry out other

reforms to get essential benefits from mineral extraction”, Ilia University Professor geologist Archil Maghalashvili noted.

Mineral resources were explored about 40 years ago and since then no additional works were fulfilled.

Natural resources recorded on the state balance represent huge national wealth, Maghalashvili noted. „For many years improper methodology was employed for exploration of natural resources.

Science and technologies have made huge progress and new exploration works may multiply our resources.

There are serious chances in this respect”, Maghalashvili said.

In response to the question which minerals exist in the country and how competitive they are on international markets, Maghalashvili explains that the country is rich of natural resources, including gold and manganese. And the country is capable for multiplying these resources. We have got ores of various nonferrous and rare metals with perspectives for growing the current reserves. “We have perspective for natural gas extraction, but it is a little difficult business to discover similar deposits in our conditions.

The country has got rich water resources, including underground spring and mineral waters. We also possess very interesting resources of coating materials”, Maghalashvili noted. What measures should be taken to activate extraction works in the country? Several conditions should be satisfied, including the legislation should be improved in compliance with modern requirements, Maghalashvili pointed out.

Minerals extraction works comprise a lot of problematic environmental aspects. Therefore, these issues should be analyzed and specified and reconnaissance works should be also promoted, Maghalashvili said.

“Improved legislation will draw investments into the exploration works. The country should also ensure efficient and safe exploitation of minerals”, Maghalashvili added.

Nino Chkhobadze, head of Greens of Georgia – Friends of the World organization, says: “Today the country has issued about 4000 mineral extraction licenses. It is important that all these components be revised anew.

Today mainly gold and manganese are extracted in the country and the remaining part of the ores are unimportant. It is of crucial importance to carry out minerals inventory and prepare properly and well-developed investment packages, she said.

‘Today the government carries out inventory of resources, but the data should be updated. Mining industry is a progressive direction and the same data cannot be used for many years. Huge financial resources are required for efficient employment of our resources”, Chkhobadze said.

Georgia also mines coal, but its quality cannot satisfy competitive requirements on international market and bring corresponding profits.

The same could be said regarding inert materials, which is extracted in compliance with the market demand volumes, she added.

“This is a construction material.

There are various types of stones and due concepts should be prepared.

There is the sand of Gajeti with good quality and its extraction is carried out. This is a good raw material for high-quality glass. We can organize a new enterprise in this respect. The one thing is when we have due resources and another thing is whether we have due processing enterprises.

Complex approaches are required.

Only market demand makes minerals profitable. Without market demand minerals extraction is useless”, Chkhobadze said.

Moreover, oil and gas are also natural resources and they are regulated by other legislation. Very reasonable approaches are required regarding minerals extraction.

All processing enterprises should be more profitable. Minerals extraction cannot be carried out chaotically and strict control should be set on it, Chkhobadze added.

“Natural resources represent sensitive issue, because the ecosystem may be damaged in the extraction process without restoration perspectives.

Minerals extractions should be carried out based on sustainable development principles. Uncontrolled extraction is inadmissible. At the same time, the country should revise its concept on extraction of inert materials.

Namely, these materials should be used from not new deposits, but from basins of old hydro power plants. The Authorities should carry out protectionist policy and start extraction of inert materials. This process should be carried out not spontaneously, but reasonably and consecutively”, Nino Chkhobadze pointed out.

Tourism Industry – Georgia among the Top 10 Cheap Destinations The tourism sector of the global GDP makes up 10.4%. In terms of growth, the tourism industry has double the growth of the information technologies sector.

According to an annual report by the WTTC, in 2018 the total volume of the tourism market exceeded 8.8 trillion USD. In 2018, the tourism sector’s growth exceeded the rate of global economic growth (3.2%) by 0.7% and totaled 3.9%.

In terms of rate of growth, the tourism sector exceeded such important fields as healthcare ( +3>1%), information technologies (+ 1.7%) and the financial sector (+1.8%). In 2018, only the industrial sector (+4%) has increased faster than the tourism sector.

The tourism business employs an impressive number of people.

According to the 2018 report, every tenth employee, that is 319 million persons, are employed in the tourism sector.

According to the WTTC forecasts, this year the tourism sector will create more than 100 million jobs, and the number of employees in this field will exceed 421 million.

According to the UNWTO indicators, the USA ranks first in terms of revenues from the tourism sector. This country raised 211 billion USD from 75.9 million tourists in 2017. Spain ranks second with 68 billion USD in income from 81.8 million tourists, and France ranks third with 60.7 billion USD incomes from 86 million tourists.

According to International Investment experts, holidaymaking expenses rose by 17% in 2018. According to UNWTO forecasts, tourist flows in 2018-2023 will rise by 4%, and revenues from the field will increase by 5%.

As for Georgia, according to Geostat, the national statistics service of Georgia, in 1Q19 foreign visitors spent 1.2 billion GEL in Georgia, down 15.2% compared to the same period in 2018. The average expenditure on one visit also declined, and the figure decreased by 16% year on year. One visitor spends 889.7 GEL on one visit.

Galt&Taggart specialists explains

that the inflow of Turkish and Iranian visitors has shrunk. In particular, the inflow of Iranian visitors has almost halved year on year. According to Geostat indicators, tourists spend money mainly on food and beverages.

Namely, according to the 1Q19 indicators,the average expenses on beverages and food made up 232.59 GEL. Accommodation ranks second with 228.9 GEL and entertainment is third with 165.7 GEL. It is interesting that in 1Q19 the plurality of tourists came from Russia – 222.7 thousand visitors.

According to the specialists at Skyscanner, the expenses that a two-member group makes for a two-week holidaymaking in Georgia, including air ticket prices, is at 1562 USD (512 USD air tickets + other expenses).

Georgia ranks fifth in the Skyscanner rating for top 10 cheap destinations. Belarus ranks first with 1376 USD. Armenia is among top five countries, with 1512 USD and Moldova with 1438 USD. Azerbaijan comes in at the last with 1718 USD. It is interesting that Russian citizens spend 1594 USD on two-week tours to India, 1709 USD to Hungary, 1712 USD to Turkey and 1716 USD to Slovakia.

Despite the fact that Georgia’s revenues from the tourism sector are not high, its ratio to GDP exceeds 15%. According to the UNWTO indicators, in 2017 Georgia ranked 69th among 141 countries in terms of revenues from the tourism sector.

By Zurab Khachapuridze

7 May 27, 2019 #284

Georgia’s Transit Problems Confusing News from the Transit Frontline

a case, when the common sens reigns, instead of dark imperial instincts.

The superficial peace turned out illusive there, where everything seemed to be in order. Georgia’s new state function for becoming a bridge between Europe and Asia is facing obstacles in the fields that were considered the most reliable directions.

The first challenge – Anaklia seaport.

Pessimism is a bad friend in our age and half-full glass is always better that half-empty one, but the reality shows that the Anaklia seaport construction perspectives are questionable.

In this situation there is serious temptation to shift all the responsibility onto the Authorities, even more so, this situation has coincided in time with unclear special operation against the TBC Bank founders. This would be very simple and comfortable – the Authorities have deliberately thwarted the strategic project implementation on behalf of Russian Federation.

However, for good or for ill, this turned out only coincidence and there are other reasons behind the current problems.

International banks that are to finance the project request the impossible and no Authorities will accept similar requests. They demand that no civilized country will ever discuss – insurance of commercial risks.

To say simply, they request that the Georgian Authorities cover the 400 million USD credit if the seaport fails to work valuably and to attract due volume of cargoes.

Anaklia project is a very sophisticated and risky project. One thing is to expand the existing seaport and invest in its modernization, because there are less risks. And another thing is to build a new giant seaport on an empty place.

Any business that starts from zero is very risky, even more so such a huge project without guaranteed clients, which will have to fight for its niche on high-competitive market.

Investors’ fears have some grounds – we talk about 400 million USD. However, no Government and no country, even more so a poor one, will ever insure this 400 million USD investment.

Negotiations are continued, but in reality, the seaport construction perspectives remain unclear.

Meanwhile, unexpectedly, problems arose there, where nobody expected – the Baku-Tbilisi-Kari railroad.

At a glance, a very positive fact has taken place – Russia has expressed intention to join the railroad route, while this country objects to any transport project in South Caucasus as a competitor direction to the AsiaEurope corridor.

Suddenly Russia changed the position and decided to join the project. This is a positive tendency in terms of financial benefits and, as a rare exception this is

However, it turned out the imperial approaches have never disappeared.

We can only suppose what has happed.

The most realistic scenario is that Russia has promised other actors of the project to join the route if the logistics center for changing the railway platforms will be in Turkey, not in Georgia.

In terms of practical aspects, it does not matter for Moscow where it will change the railroad platform, in Georgia or in Turkey, but the possibility that Georgia may act as an equal partner somewhere is absolutely unacceptable for Russians.

Someone may consider this consideration as an unimportant factor, but not Russia, that is poisoned with imperial disguise towards neighbors.

Seemingly, Baku and Istanbul have accepted the Russian offer and they did not invite Georgia to the memorandum signing ceremony.

There is nothing surprising. We can only try to guess what offer Russia has made to Azerbaijan and Turkey – Russia’s engagement in the project with huge financial benefits for all parties.

Russia – as permanent, major and stable client of Baku-Kars project – could be any other better proposal for Turkey and Azerbaijan?

And there is a weak country on the other side that is unable to protect its interest in this deal.

There is a simple option – accepting Russia as a partner and ignoring Georgia’s interests or respecting Tbilisi and losing Russia. What do you think – which option is more acceptable for Baku and Istanbul? The answer is clear.

The weak always loses – this is the law of nature.

However, as noted above, half-full glass is better than half-empty one.

And Baku-Karsi project will work – with or without logistics center. It is of vital importance for Georgia that this project work and bring benefits.

By Tengiz Ablotia

8 May 27, 2019 #284

Nino Motskobili: "The Marketer’s Approach to Project Planning has been Drastically changed" Interview with the Sales and Marketing Director at ‘Georgian Palace and Spa Kobuleti’’, Nino Motskobili.

Tell us about how you got into the field of marketing, and what factors played an important role in choosing this profession?

It wasn’t my dream to get into marketing initially, I didn’t even know much about it. First, I in the field of hospitality, when I first started to work as an administrator at a hotel, back in 2007. During a 24-hour shift, I always had enough time to learn more about the news in the service sector.

I wanted to do everything, an idealistic and correct. My intense passion for self-development and periodical promotions was a big responsibility, as well as a source of energy and motivation to learn even more. I was interested in the experience of foreign, developed countries in this field. Nowadays, it’s very easy to get the desired information through the internet, and it only takes a wish. I don’t think I’m a marketing specialist yet, there is still more to learn, and I’m constantly working on self-development.

In regards to technological changes, what challenges do you face as the head of a marketing service?

Even though marketing practice is popular throughout the world, it’s not always understood correctly in Georgia. People often confuse sales, PR and marketing. In terms of technology, we really are facing big challenges, as there are no relevant marketing platforms that can satisfy company’s needs. Therefore, sometimes we have to prolong the terms of our activity plan. Processing information takes most of the time, so the analysis is delayed, in order to set goals accordingly. We fill the gap using foreign online technologies, although not all of them are available in Georgia.

What has changed in the field in the last 5 years, and what changes are expected?

First of all, digital marketing is at a very high-level. Unfortunately, not every company takes that fact into consideration, and they use old approaches. The user’s attitude has changed, too, in terms of purchasing. The number of touch points has changed too, social marketing has benefited, too, so that we are ready for changes.

Along with the improved lifestyle, customers increased the demand for simplicity, and most importantly, remote purchases. People have begun to live in the virtual world, in the background of technological development. It took over every field, and customers got used to simplified processes. Everything has to be convenient in the service sector.

The marketing approach has radically changed regarding the planning of the project, the need to consider return on investment (ROI), and the possibility of developing formulas increased.

Another important novelty is marketing technologies, and the necessity of processing the database, which requires the appropriate competencies.

Gradually, it becomes more and more important to gather information together, the company's alleged work regarding different services and integration is one of the starting points. The future of hotel marketing is the merger of PR, sales, marketing and the revenue management service, as they are overly influenced by each-other’s results. Foreign experts have already come to the conclusion that the common goal is a priority, the specific discussion of the data of the particular

department is secondary. If I follow this dictum, it will probably take us far, so I will stop here.

What important features should a marketing manager focus on, and what are their roles in an organization?

As you know, marketing itself is on a path of development, and in my opinion, an innovative vision is crucial. A Marketing Manager should be in search of news constantly, and one has to have good taste, know how to use technological tools. Of course, it is important to create a team spirit and leadership skills, which in turn creates a guarantee for the development of people employed in the team. Our employees are our future.

our main focus is a healthy lifestyle, and healthy food provided by iyr expert Italian chef, who has a Ayurvedic center, unique in Georgia and treats such diseases as psoriasis and other skin problems, regulates nervous problems, is unique to improve weight, to regulate hair loss problems, as well as treat bone problems.

Most of our customers are Georgians, followed by guests from post-Soviet countries and Europe. Our guests are sophisticated, middle-aged people; the couples on their honeymoon, families who are able to relax, quietly, while children enjoy entertainment on the hotel's grounds, and the team tries to amuse people of all ages.

The most useful advice you’ve ever received in life?

Our organization follows innovations and new trends. I'm really lucky in this regard, because I work together with an extraordinary team. I feel great trust from our leadership , which in turn increases the sense of responsibility. We discuss any novelties together, therefore they are necessity.

In general, I attach great importance to the advice of the elderly; regardless of what they have achieved in life, everybody has something valuable to say. The unsuccessful will give you advice about their mistakes, while successful gives you a formula for success. Sadly, people perceive their mistakes too late. So I always try to find my future self, and review it. It’s hard to name only one, but this is one that affected me: Look for a happy life, not a success, because being successful doesn’t mean you’re happy, being happy is already a success.

What’s your organisation’s business model, in terms of marketing?

Think of a person who inspires you professionally.

The hotel Georgian Palace and Spa in Kobuleti is located on part of the Black Sea Coast, where people from Post-Soviet countries visited for treatment. We certainly use this uniqueness and

My inspiration is every happy, successful person, who is happy with their life.

How do you help organization’s catch up with new trends and innovations in the field of marketing?

9 May 27, 2019 #284

Business News

The Innovations and Technologies Agency launches a Grant Program

Business Model Generation – Revolutionary Book by Alex Osterwalder translated into Georgian

Prime Minister of Georgia Mamuka Bakhtadze announced a new large-scale grant program, thats the Innovations and Technologies Agency starts, - said Avtandil Kasradze, chairman of the innovations and technologies agency.

Business Model Generation, the work by Alex Osterwalder, has been published in Georgian language by the initiative of GEPRA consulting company and in collaboration with Palitra L publishing house.

Tourist Inflow to ski Resorts grew by 578% for 7 Years

present the idea of 3D Qvevri in Greece, between 7-11 september.

Inflow of visitors to Georgian ski resorts rose by 578%, Maia Omiadze, head of the PR Service of Ski Resorts Development Company told the Business Partner TV program.

Female Georgian Winemakers are participating in Women in Wine Expo

B COM - New Space for Business Community TBC Business creates a new space for business community. B COM is a business communication platform that offers a variety of benefits to its affiliated businesses. B COM will contribute to business clients in business creation and development.

The first international exhibition of female winemakers "Women in Wine Expo 2019" held on May 23-24 in the Netherlands and Belgium. The following 8 winemakers were participating in the exhibition: "Keti Wine", "Baia's Wine", "Marani Sachino", "Madamwine", "Demi’s Winery", "Nino Mori’s Cellar", "Miranda Chkhetiani" and "Tamar Wines".

Samtskhe-Javakheti protected Areas to expand The Government of Georgia is expanding the protected areas in Samtskhe-Javakheti. This issue was confirmed during Government meeting.

Beka Adamashvili won European Literary Prize The creative director of the Agency Leavingstone and writer Beka Adamashvili became the owner of the European Literary Prize in 2019. He is the first Georgian author to win this award.

Students from Akhaltsikhe to represent Georgia in World Technological Contest School students from Akhaltsikhe have won the project – Technology Georgia. Five girls from public school N1 won the first place in Georgia – Tako Tateshvili, Nino Zhuzhunadze, Mariam Apriamashvili, Salome Gvirjisvhili and Niako Kahckachishvili will compete with teams from various countries.

The Project QvevriXYZ is the Winner of Future Agro Challenge The project QvevriXYZ is the winner of Future Agro Challenge. Team of Davit Mizandari will

Georgian Digital Platform WeHost adds Experience Service The Georgian digital platform WeHost, together with Lemondo, created additional service for tourists and hosts, called WeHostXP.

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Illustrated Stories of living in Georgia as an Expat ‘’I have recently moved to Tbilisi and started my new life here. I won’t speak about my origins or details from the past. Because this story is about me becoming a Georgian!’’-that’s how the series of comics by Batoni Ucxoeli begins.

The author decided not to disclose his name and country of origin, so he presents himself as ‘’Batoni Ucxoeli’’ that translates into Mr. Foreigner. Yet, his subscribers on Instagram are trying to unveil his identity.

The comics portray different daily situations in the life of an expat living in Georgia, that are filled with a sense of humor. CBW asked the author to tell more about his experience: I’ve heard ‘’Becoming Georgian’’ is not your primary job. How did you get into writing comics, is it your first series?

Unfortunately, “becoming Georgian” does not allow me to pay bills and rent an apartment. Otherwise, I would completely devote myself to this career.

So I also have to work on my main job, which is not related to comics. This format - a three-image comics strip - seemed to me the most suitable for telling people my stories. I wanted to visualize my experience of living in Georgia, to share my impressions and associations. I do something like this for the first time, so my followers may have noticed that the blog style is not yet fully defined, and sometimes I experiment.

What brought you to Georgia, what was the very first impression, or socalled cultural shock?

For the first time, I ended up in Georgia as an ordinary tourist. But it immediately became clear to me that this is serious and for a long time. The first most important impression was the romantic relationship that I had here. And although this did not end with anything good, it allowed me to dive deeper into the Georgian environment. I would not say that something really shocked me, I do not resist anything Georgian, but I try to absorb it. After all, I don't plan to teach Georgians how to behave or promote behavioral patterns adopted in my homeland. Not at all. On the contrary.

If at first, I could name more specific reasons for my stay in Georgia - first love, then career, now it’s about conceptual addiction.

Are there any settings, where you get most of the

inspiration?

I guess I can not single out

one thing. I am inspired here by people, nature, the environment of Georgia in general. Every single day some small stories happen to me and I greatly appreciate them. Whether it is the neighbor's jeans that fell down on my balcony, or a grumpy taxi driver or my incredible Georgian friends - I appreciate every little moment and keep it in my heart. The ideal setting for me is an evening in a good company with wine and non-stop fun. It may sound sentimental, but I, in fact, am quite a sentimental guy.

Your understanding of topics like celebrities, holidays and some daily situations is so impressive, that some of your subscribers even suspect you are Georgian.

Do you have any insider, who gives you further explanations to all these?

I have many friends in Georgia and I am naturally very curious, so it’s easy for me to create stories, they literally find me. All the stories in comics are made up solely by me 'cause this is my personal blog, not a commercial project or something like that. Recently, some posts have been translated into Georgian language and my best friend helps me with it.

Actually, it will be more accurate to say that he does all the translations work, since I can use only nouns in Georgian (guys, what do you do with verbs!). I am

eternally grateful to my bro Batoni Qartveli and if my gratitude could be expressed in Khinkali (and he is a big fan of Khinkali believe it or not) - then I would treat him with Khinkali bigger than The Biltmore Hotel itself.

However, in fact, none of my Georgian friends can help me in creating stories - here I have to rely solely on my experience as an Ucxoeli in Georgia. Because what is a routine for them, for me could be a brand new world.

I, as a Georgian, sometimes find it hard to follow regional jokes and even dialect. Do you consider challenge yourself to get some experience there too and add up to your series?

I believe that Georgians are people with an amazing sense of humor. And this is a very attractive trait. Perhaps this helped them to preserve their identity and survive throughout their difficult history.

Well... maybe not only that. I am not an anthropologist, but just a tall foreign guy.

To be honest, I love challenges. For example, once they told me: "Batono, be careful with the Svans, they are straightforward people and are hardly cheerful". I immediately

became intrigued by this idea: "Well, where are the Svans here? I urgently need a couple of them". And I found a really funny Svan. Of course, it would be

stupid from my side to

say that I understand all the details of Georgian society, I still have to learn a lot, as I’m at the very beginning of my path of becoming Georgian. And I am grateful to everyone who helps me to learn more.

Many followers share some useful knowledge, I communicate with everyone and answer all messages because my blog was designed for this communication.

Your subscribers are curious about your origins and further details. What makes you feel like staying incognito?

Keeping incognito status is important for me for several reasons. First, I want to distance myself from my character.

Although he is my alter ego, he also has his own personality. Also, in my biography, there are facts that I am not ready to share with the public. Each of us has our secrets and demons, and I'd prefer my demons remained locked up. However, actually, several people managed to remove the mask off Batoni Ucxoeli. I can’t say exactly how they did it, while some others quite persistently demand to disclose my personal info, these guys managed to find a way to my true self. I think sooner or later I will reveal my real identity. At the same time, I leave some tips for the conspiracy lovers and the seekers for hidden meaning, so some smarts ones already could have a clue.

What excites you most right now, what’s next?

I have a million ideas, but the opportunities for their implementation are limited for me now. I would like to break the fourth wall and communicate more closely with my followers, slightly change the format of the blog. This will still happen though, but for now, give Batoni Ucxoeli a little more time to turn into a real Georgian guy.

By Ninna Gomarteli

11 May 27, 2019 #284

The New Statement in Mobile Videography What is Dual-View Video Recording?

How do I switch the video recording tool on?

The answer: It is a new way of recording video, via a split screen, allowing for two different images in one video. Find out more below!

Prior to switching the dual-view video recording tool on, go to Camera, tap on More, tap on DualView Video mode and point the phone in the direction of the view you want to record. On the updated display you will see the two sides of the image, full and zoomed. It is that easy to observe events from different perspectives!

What does ‘dual-view video’ mean?

Dual-view video recording is an innovative method for smartphone users allowing for simultaneous working of the two main cameras, allowing us to capture two different images of a view in one video.

After the dual-view video recording you get two images on the smartphone display: one a full image, the second, you can zoom into any specific details of the event, all while recording.

#BorjomiSupporterOfNature Plants 2500 Caucasian Pine Saplings on Borjomi Plateau The forest restoration process continues in Borjomi with the planting of 2500 saplings on the Borjomi Plateau within the initiative of company IDS Borjomi, Georgia. The action was implemented as part of the Borjomi Forest Restoration Project, which aims to restore and renew the forest cover on the Borjomi Plateau, which was damaged in fires. The company has already been involved in the project for eight years and has already planted 11,200 saplings on three hectares of land. IDS Borjomi Georgia aims to restore the forest cover in Borjomi and

Who can access the innovative video recording tool?

Starting today, the dual-view video recording function is accessible for all those who own HUAWEI P30 series smartphones: the HUAWEI P30 and/or HUAWEI P30 Pro.

actively involve local community members in the forest recovery process.

"Restoring forest cover and preservation are duties that each of us must take on,” said IDS Borjomi, Georgian Public Relations Department Manager, Nitsa Cholokashvili. “Our project, which has been in existence for many years already, serves this purpose: to grow saplings and to care for them for the first five years after planting. It is important to talk about this topic more so as to involve more people in these activities and turn people into nature fans. This year, we thanked and awarded the Borjomi hero 2019 status to honor those who understand the importance of nature.” The award ceremony of Heroes of Borjomi 2019 was held after the planting, seeing special prizes awarded to

The HUAWEI Company introduced the brand new P30 series smartphones to clientele at an event held on March 26 in Paris. The totally renewed, powerful and ultra-sensitive camera system of the HUAWEI P30 and HUAWEI P30 Pro radically changes the rules of photography. The HUAWEI P30 series is equipped with a camera system launched as a result of the company’s ongoing collaboration with Leica, which, along with modern sensors and technology, enables automatic processing of an image and offers professional shooting capabilities.

people of various professions in environmental issues, namely: Koba Silagadze, a main forester of the Samtskhe-Javakheti Forestry Service, Giorgi Aladashvili, a viticulturalist working in biodynamics; founder of EcoMedia, Shorena Tskhovrebashvili; teacher Marine Peradze; director of the New Technology Center, Zaal Kheladze; Tamaruna Grdzelidze, graphic designer of EcoVision; one of the first journalists in environmental issues, Barbare Benashvili; and Kukuri Saralidze, an honored defender of nature. "Getting the title of Hero of Borjomi is a great honor for me,” said Koba Silagadze.

“I think every person should take care of the environment and all the people who plant at least one tree are heroes." "According to the National Forestry Agency, 80% of damaged forest cover has already been restored, with the company Borjomi a major contributor,” noted Barbara Benashvili. “There is huge public involvement, which is truly gladdening to see.

Our media’s duty is to raise awareness about the current situation and to encourage the public to get involved.” Representatives of the Ministry of Environment Protection and Agriculture, National Forestry Agency and Protected Areas Service Departments, as well as public figures, media and IDS Borjomi employees, participated in the event.

IDS Borjomi Georgia has been implementing the Borjomi Forest Restoration Project since 2011, and the joint project with the Ministry of Environment Protection and agriculture counts three years. During this time, three hectares of forest were restored and 11,200 saplings were planted. The project also implies a five-year plan for the maintenance of the saplings. The purpose of the campaign is to restore the Borjomi forest and to actively engage the community in the process.

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