Businesses benefit from moves away
A group of 70 Greek firms based around the country improved their level of competitiveness by 12.5 percent in the domestic market, 62.8 percent in the Balkans, 44.9 percent in the European Union, and 42.3 percent in all other markets, after internationalizing their activities, according to a study conducted by the Federation of Industries of Northern Greece (SVVE). The results were presented yesterday by the federation’s chief of research, Christos Georgiou, during a workshop titled «EU Matching in Border Regions.» Georgiou noted that 42.86 percent of the firms included in the study chose to vertically integrate as part of their efforts to expand activity. Of these, 57.14 percent said they chose vertical integration because suppliers and/or distributors were either expensive or unreliable. A 14.29 percent of firms that went the way of vertical integration attributed the decision to production consistency and demand predictability. A total of 43.48 percent of the study’s firms said the lower labor costs abroad prompted them to internationalize activity, and 26.09 percent said they took the initiative in order to capitalize on the comparative advantages offered by cheaper raw materials. Presenting the «EU Matching in Border Regions» program, Vanessa Vlotidou, the head of international ties at the European Business Information Center (EKPE), underlined that EKPE services for 2007 and 2008 included providing local firms with information about European business developments in their respective sectors. Also participating, the general director of the Thessaloniki International Trade Fair, Kyriakos Pozrikidis, presented trade fairs as a tool for development. Pozrikidis described trade fairs in new and emerging markets as a «catalyst for industrial and commercial development,» while adding that they helped to generate direct and indirect employment.
