1. Psarianos Consulting
Albanian Market

2. Focal Areas
I. Market Overview
II. Customers per Sector
A) Public Sector
B) Private Sector
III. Competition
IV. Company’s Development in the Market
A) Targets
B) Market Share and Services Penetration
C) Revenue Provisions and Expectations
Albanian
Market

3. I. Market Overview
Albanian
Market

4. Population: 3,100,000
GDP 2010: 22,9 Billion
75% of Business activity is
concentrated in Tirana
Focal Business Cities:
Tirana , Kruja, Durres, Shkoder
Future Potential Cities:
Fier, Korce, Vlora
Market
Overview

5. Why Albania
 Established trading with the EU - 96.6 % of Albania’s exports are
designated for EU markets and this export partner is an important predictor
for future growth.
 Site availability from production facilities to high quality office space
 Total labor costs are lower than comparable countries
 Adaptable and flexible skilled labor force
 Administrative & business regulations are being simplified
 Investment opportunities through privatization - The main tool used to
realize this, is the law on concessions which has been passed with the
support of the World Bank and is designed to stimulate the development of
key sections of the county’s infrastructure and public services.
Market
Overview

6. With a look on the Market
 A formal market
Within the existing institutional frameworks, as they
underwent restructuring.
 An informal market
With smaller scale activities operating within networks and
processes outside the formal system.
Market
Overview

7. Economy
 Under the IPA, Albania was expected to receive:
€81.2 million during 2009
€93.2 million during 2010
€95.0 million during 2011
€96.9 million during 2012
 Despite the global economic turmoil of 2008, Albania's economic
growth was in line with initial forecasts of 6%
 Inflation remained within the 2-4% target band of the Bank of
Albania.
 Albania was one of only two countries in Europe that recorded
economic growth in Q1 of 2009, growing by 0.4%.
 Albania's business industry has been liberalized.
Market
Overview

8. Market
Overview

9. Economy
• Key Macroeconomic indicators 2010
Real GDP growth rate: 3.6%
GDP per capita (€): 3,133,665
Employment (thousand persons): 972K
Annual Unemployment rate: 12.8 %
Annual inflation rate: 3.5 %
Average monthly gross salary: 270€
Budget deficit (as % of GDP): -7.0 %
Public debt (% of GDP): 59.5 %
External dept (% of GDP): 23.1 %
Current account % GDP (excluding transfers): 15.6 %
Foreign Direct Investment : ~ 700 Bill. €
Market
Overview

10. Corporations
 Lowest Salary: 200 €
 Higher Salary: 650 €
 Employer’s Insurance: Salary’s 15%
 Salaries/Yr : 12
 Corporate Tax: 10%
 SHPK Set up cost ~ 1500 €
 Lowest Share capital – Limited Liability Co. ~ 720 €
Market
Overview

11. Corporations – Tax Analysis
1. Profit Tax Rate - 10%
2. Capital Gains Tax Rate* - 10%
3. Branch Office Tax Rate - 10%
 Withholding Tax**
Dividends 10%
Interest 10%
 Royalties from patents, know-how, etc. -10%
* Capital gains are included in the personal taxable income and taxed at the regular tax rates. No
separate capital gains tax is imposed on companies in Albania.
** These withholding taxes are final withholding taxes
Market
Overview

12. II. Customers
A) Public Sector
B) Private Sector
Albanian
Market

13. Public Sector
Target Industries of Albanian Gov:
 Energy
 Mining and Oil & Gas
 Infrastructure
 Financial Markets
 Albanian American Enterprise Fund
Customers

14. Public Sector
USAID – United States Agency of International
Development
Currently the project is targeting public sector enterprises from four industries:
 Textiles/garments
 Energy
 Recycling
 Information and communications technology
in the following municipalities: Tirana, Kruja, Durres, Elbasan, Fier, Gjirokaster,
Korce, Shkoder and Vlora
Customers

15. Private Sector Target Groups
 Banking
 Constructions
 Postal Service
 Medical Care
 Travel Agency
 Trade
 Oil and Gas
 Mining
 Energy
 Telecommunication & Information Services
 Advertising & Communications Agency
 Education
 Insurance
 Beverage
 Hotel & Restaurant
Customers

16. Private Sector
 Banking
1. Pro Credit Bank S.A.
2. Tirana Bank S.A./Sh.A.
3. International Commercial Bank
4. Intesa Sanpaolo Bank
5. Alpha Bank Sh.A.
6. Banka Kombetare Tregtare
7. Raiffeisen Bank
8. First Investment Bank
9. Societe Generale Group
Customers

17. Private Sector
 Construction & Infrastructure
1. Rofix Albania Sh.p.k
2. TEQJA International
3. Colliers International
4. Vista Group
5. LF Construction
6. Cosedil Spa
Customers

18. Private Sector
 Postal Service - DHL International Albania Ltd.
 Medical Care - Hygeia Hospital Tirana Sh.A
 Travel Agency
1. Austrian Airlines
2. Malev Airlines
Customers

19. Private Sector
 Trade
1. Porsche Albania sh.p.k
2. Tobacco Holding Group
3. Elida Co 94
4. Philip Morris Albania
5. Praktiker Albanian
6. British American Tobacco Albania
7. JTI Albania
Customers

20. Private Sector
 Oil & Gas Industry
1. Global Petroleum Albania
2. VIL OIL sha & ALPET
3. Bankers Petroleum Albania
4. ALBITOIL shpk
5. Stream Oil & Ga
6. Mamidoil Albanian
7. Taci Oil International sh.a
Customers

21. Private Sector
 Mining
1. Eurotech Cement
2. Selenice Bitumi Sh.A
3. JAB Resources shpk
4. Antea Cement Sh.a
5. Albanian Chrome
6. Tirex Resources shpk
7. Fushe-Kruja Cement Factory
8. Colacem Albania Shpk
9. Leader Beton – Heracles Cement, Lafarge Group
10. Titan Cement
11. R A Krom Tirana/ SBM Group Construction and Mining
12. BERALB sh.a - Turkey
Customers

22. Private Sector
 Energy
1. Schneider Electric Sas
2. Amadeus Group
3. Terna Energy
4. CEZ Albania sh.a
5. Statkraft
6. EVN Albania Devoll Hydropower S.A.
7. CNR (Compagnie Nationale du Rhone)
Customers

23. Private Sector
 Telecommunication & Information Services
1. Vodafone Albania Sh.A
2. Primo Communications
3. Albanian Mobile Communications Sh.a
4. Printec Albania Ltd
5. Konsort Albania
6. Teleperformance Albania - CC Albania Shpk
7. Eagle Mobile
8. I-TIRANA
9. Intracom Telecom Albania S.A
10. ALEAT shpk
11. Albacall Sh.a/ Abramo
12. ALBTELECOM
13. NSN
Customers

24. Private Sector
 Advertising & Communications Agency
1. Comport
2. Iceberg Publicity
3. Le Spot Productions
Customers

25. Private Sector
 Education
1. Business Link, British School
2. NY College
3. Krystal University
4. European College
Customers

26. Private Sector
 Insurance
1. SIGAL UNIQA Group AUSTRIA S.A.
2. Interalbanian Insurance Company
3. MAI sh.a Insurance and Reinsurance Brokers
4. SIGMA/Vienna Insurance Group
Customers

27. Private Sector
 Beverage
1. Coca - Cola Bottler Shqiperia
2. Agna Group
3. United Albanian Breweries
 Hotel & Restaurant
1. Sheraton Tirana Hotel
2. Rogner Hotel Europapark
3. Far East Restaurant
Customers

28. III. Competition
Albanian
Market

29. The other side
 Deloitte Albania
 KPMG Albania Sh.p.k
 Ernst & Young
 Gjini Shpk - Subcontractor of Ernst Young
 Business Concern
 VEVE Group – project oriented
Competition

30. IV. Company’s Development in the
Albanian Market
A) Targets
B) Market Share and Services Penetration
C) Revenue Provisions and Expectations
Albanian
Market

31. Targets
“We are in Business because we serve a need.”
Vision: To provide the Albanian Market with the most
Qualitative and Complete Business Financial
Consulting Solutions
Company’s
Dev/nt
in
Albania

32. Targets
Target : Penetrate with Corporate Consulting Services into the
local Private and Public Sector:
 Corporate Strategy
-Feasibility
-Viability
-Economic stability
 Consolidations
 Buy-outs
 Financial Services, Corporate Conversions and Liquidations
Company‘s
Development
in
thMarket
Company’s
Dev/nt
in
Albania

33. Strategy: Market Share and Services Penetration
Internal Audit
Accounting Mgt and Accounting Dep. Supervision
Buy Outs and Corporate Conversions
Strategic Corporate and Commercial Consulting
CRM Consulting
**Consolidations
Company’s
Dev/nt
in
Albania
Main Services Range Penetration
Additional Business Consulting Services aimed to penetrate the Albanian
Market, thus increasing the company’s market share:
•Tax Mgt
•HR Evaluation
•Liquidations **A potential revenue path in Liquidation Services Range, exists in the
Corporate Customer Groups of Greek Law Consulting Companies

34. Revenue Provisions and Expectations for 2011
Service Desc./on Value in Euros (K)
Internal Audit 10
Buy Outs and Corp. Conversions 8
Corporate Strategy 25
CRM 8
HR Evaluation 8
Consolidations 8
Tax Mgt 5
Accounting Mgt and Supervision 8
Liquidations 4
Company’s
Dev/nt
in
Albania
Internal Audit
12%
Buy Outs and Corporate
Conversions
9%
Cosporate Strategy
30%
CRM
9%
HR Evaluation
9%
Consolidations
10%
Tax Mgt
6%
Accounting Mgt
and Supervision
10%
Liquidations
5%
Estimated Consulting Services Penetration to Company’s Revenue

35. Thank you
Company’s
Dev/nt
in
Albania