Croatia's paradoxical society strikes again as a job posting for a doctor on the island of Hvar from a while ago goes unanswered by anyone from Croatia.
Croatia demographic crisis has left and continues to leave its very real and deeply concerning mark on the domestic labour force. Medics are among those heading off abroad in their droves in search of better wages, more job security, and a less politicised society in which to practice their chosen professions. While at the same time, some of the healthcare offered here in Croatia is among the best, with some of the best professionals on standby to do an excellent job.
The old saying about just not being able to get the staff even stretches to the most academic of positions, it seems.
One job posting from the island of Hvar in particular, in search of a doctor, should have turned the heads of many. The offer showed that the position comes with handsome pay, excellent bonuses and an apartment all thrown in, and on the stunning island of Hvar, of all places. It could be a lot worse, right? It appears that not even this much bait is enough to catch most fish, at least not fish from Croatia.
As Poslovni Dnevnik writes on the 20th of January, 2019, the advertisement for a doctor in Sućuraj on Hvar has been live for around half a year, in which in addition to good wages and a free apartment, a huge bonus of 50,000 kuna per year is offered, as HRT reports.
As yet, not one person from the Republic of Croatia has applied for the position, and the only interested person is a doctor from Macedonia.
The policlinic in Sućuraj on the island of Hvar currently lies empty. There are no patients because there are no doctors, just one nurse. Sadly, this isn't her first time having to work without a doctor in her 37 years of service.
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As Lucija Spiljak/Poslovni Dnevnik writes on the 14th of January, 2019, despite the continuing problems on Croatia's labour market and the mass exodus of the country's talented youth, Croatian students and student associations have some truly valuable projects which showcase real effort, work, and common proactivity with the hope for prosperity, survival and finding employment. Among them is eSTUDENT, the most active Croatian student association founded back in 2004 under the initiative of proactive students and assistants, with the wish that the association and its members become initiators of change, gain practical experience and develop a network of knowledge.
Students lead the association, its projects and its various initiatives, and their goal is, among other things, to provide additional education to other students with a variety of grants, projects, and study quality enhancement. Today, the association is made up of students from the University of Zagreb and other institutions of higher education, with more than 300 members, and each year the association organises more than twenty projects involving thousands of students from across the Republic of Croatia and the wider region. They also launched the Starter project with which, unlike classical student services, work finds the students.
"This involves state-of-the-art technology and programming solutions which have enabled us to send a job offer directly to via email to every student looking for an internship or for employment. Starter's application is free, fast and simple, it provides direct access to excellent jobs, practices and scholarships,'' explained Julija Puškar, the coordinator of Starter at eSTUDENT. They began with the Starter project to link proactive Croatian students to employment programs for the best companies operating across the Republic of Croatia.
"The Starter system is a platform which delivers ads to students, depending on their personal preferences, more specifically to a specific target group of students, many companies send their ads to our system, and members of eSTUDENT who are actively working on the system will forward ads to a particular student group on a daily basis. You just choose the type of ad you want to receive - practice, internship, part time jobs, full time jobs, and the so on.
So, Starter helps students out and makes it easier for them to look for internships or jobs, while allowing companies to search for the best candidates for certain jobs,'' explains Puškar. The first step sees the company send an advertisement to Starter, this ad is then passed on to students with specific interests, and then applications go directly to the employer.
Active members of the Starter team then review the application for the particular ad before submitting the application. There is also the possibility to receive advice on how to improve an application before submitting it to a business or company. In the academic year 2017/2018, the Starter system received more than 350,000 emails and has more than 3,500 active members. The eSTUDENT Student Association is also conducting several projects including Moot Court Croatia, App Start Contest, Case Study Competition, Elektroboj, Mozgalo, Smartup, and Vizionar.
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Click here for the original article by Lucija Spiljak for Poslovni Dnevnik
Christmas might be behind us for another year (well, almost another year), but the heartfelt news of Croatian companies in all fields and sectors having paid out huge bonuses to their employees up and down the country is enough to bring the generous spirit of the season right back again.
As Poslovni Dnevnik writes on the 12th of January, 2019, while they couldn't pay themselves a tax free cash sum, Croatian companies and employers made sure to reward their loyal employees a total of 2.4 billion kuna in Christmas bonuses and similar rewards last month, and a further one billion kuna was paid out for their good work performance results, according to the findings of the Croatian tax administration.
When summed up as a whole, the amount of bonuses and other similar cash sums paid out to hard-working employees by Croatian companies reaches a massive figure of 3.4 billion kuna, as has been reported by Večernji list.
The results show that on average, each employee received about 2,500 kuna in untaxed benefits, but as is usually the case with any other average, this does not show the real state of affairs. The tax administration points out that back in December 2018, bonuses amounting to a massive one billion kuna were paid out by as many as 37 thousand Croatian companies for 422 thousand employees scattered across the country.
Work performance bonuses were paid only by the private sector and not by the public sector. Finance Minister Zdravko Marić freed up the payment of tax on the payment of bonuses of up to 5,000 kuna per employee, a measure which was readily taken advantage of by every fourth active private Croatian company.
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Investments in Croatia are growing in spite of the difficult investment climate which typically sends most would-be investors running for the hills, or just across the border to more investor-friendly climes. Ivanec, a town in continental Croatia, is due to see a rather large business investment which ties in with massive technological advancements - robotics.
As Poslovni Dnevnik/Lucija Spiljak writes on the 7th of January, 2019, this is a 1.5 million euro investment, through which BGW obtained ownrship of 10,000 square feet of land on which the construction of an industrial hall and its accompanying area is set to begin this spring. The company BGW can currently be found in a hired space in a hall in Ivanec, and the company's office space located in Varaždin has become, as company director Kristijan Danjko openly says, too small.
"The fleet that we own, as well as all of the construction equipment, is too big for the current premises we have and which we've got on lease. We selected the city of Ivanec primarily because of the benefits it provides, land prices there, documentation support, and their very approach to us as investors,'' he explained.
At the Ivanec industrial zone, the plan is to build business premises of approximately 600 square metres, and 1,000 square metres of production halls. In the second phase of this investment, as was announced Danjko, on the very same plot they plan to build yet another business facility. "A meeting with the investment and competitiveness agency was held back in October 2018, where we were introduced to the possibilities of using the state incentives we're now planning to use.
As previously mentioned, the planned investment is worth just over 1.5 million euro, and Ivanec, their location of choice, is also set to benefit from the move, as was explained by BGW. Two other companies - BGW Electronics and BGW Montaža, will also be located on the new premises. BGW Montaža was initially formed in 2013 and is involved in the installation of robots, transport belts, and more, while BGW Electronics was founded in February 2018 and deals with electrical engineering in Croatia and abroad.
At present, both companies employ about a hundred employees, and their plans are to continue on expanding. This planned investment in Ivanec, much like all other similar investments in Croatia, is likely to bring not only economic development and work positions, but a concrete demographic measure to help keep Croatia's youth within the country's borders.
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Click here for the original article by Lucija Spiljak for Poslovni Dnevnik
The demographic has had numerous repercussions on Croatian society as a whole, and a lack of adequate or qualified labour force for Croatian employers is perhaps the most hard hit sector of them all. But just how is the tourism sector doing?
The paradoxical society which somehow manages to exist despite all and any circumstance in Croatia is that there is no work for a lot of people, while on the other hand there is a lot of work on offer but nobody to actually do it.
As Poslovni Dnevnik writes on the 5th of January, 2019, from November 2018 to February 2019, HZZ is conducting a survey among Croatia's unemployed population on their intentions and their readiness to work along the coast in various tourist destinations.
Croatian employers, more specifically hoteliers from numerous tourist resorts up and down the Croatian coast are searching out potential seasonal staff from continental Croatia earlier and earlier with each passing year, with their sights set on the overlooked eastern Croatia in particular. Thus, HZZ's Vinkovci-based regional office has already organised as many as eight employer visits for the purpose of seeking seasonal workers for 2019's upcoming tourist season this summer.
In order to better respond to the demands of Croatian employers and to better coordinate the job supply with the demand, HZZ's aforementioned survey focused primarily on how Croatia's unemployed population feel about working on the coast should the opportunity be offered to them.
The day of jobs in tourism for the Slavonian counties is set to be held on January the 18th in Osijek, and HZZ's Vinkovci branch office is organising transport on the day for all those interested, Glas Slavonije writes.
As of now, it is unofficially known that Croatian employers are willing to offer higher salaries, raising them by 10 to 20 percent for chefs, waiters and confectioners, with almost all potential job offers including not only free accommodation, but free food for the duration of the work too.
In the past year, from January to September, the most sought after were employees chefs, assistant chefs, waiters, cleaners, receptionists, people to work in shops, and other occupations in the area of accommodation and food preparation and service, as well as the wholesale and retail trade.
In that period, there was a pressing need for 23,652 seasonal workers in Croatia, and a little less, 22,144, were actually employed during that time, which indicates that Croatia's lack of seasonal workers is not significant or particularly worrying, yet.
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The desire of many Croatian companies, institutions and state bodies is to create a digital Croatia, in which the country's draconian and almost masochistic love of paperwork and stamps are banished to the past and recalled only as a bad memory. Despite the wishes of many, it seems that the dream of a digital Croatia will take a while to become a reality.
As Bernard Ivezic/Poslovni Dnevnik writes on the 25th of December, 2018, the increase in the number of employees of various digital professionals in Croatian companies, and the retention of qualified digital professionals in Croatia, are two key goals for the establishment of the national coalition for digital skills and jobs.
A new body, coordinated by the Croatian Employers' Association (HUP), has kicked off with its work in Croatia. Representatives of HUP-ICT Association, the Croatian Government, the Ministry of Science and Education and the Ministry of Labour signed a memorandum on the establishment of the national coalition for digital skills and jobs.
Davor Majetić, CEO of HUP, says that digitalisation is now absolutely imperative for all companies which want to be competitive on today's market, and this is felt by the significant change that we have experienced in Croatia since 1997 in terms of jobs and employment.
"We lack digital skills and ICT professionals in all industries, and we're continuing to persuade people that the issue of digital skills is a matter of 21st century literacy, a standard without which our children will not be ready for the labour market," stated Majetić, adding that in solving this very issue lies an opportunity for the national coalition for digital skills and jobs.
Boris Drilo, President of HUP ICT Association and member of the Croatian Telecommunications Board, said that their ultimate desire is to move the current ICT sector's positive momentum over into other sectors of the economy and transform the Croatian economy into a digital economy.
He says that in Croatia's neighbouring countries, as well as in the rest of the European Union, the ratio is in favor of having a digital economy, as opposed to the traditional 3:1 contribution to the overall GDP of the country. He claims that the situation in Croatia is currently the other way around, adding that Croatia currently has about 50,000 ICT experts, and that the country needs 200,000 citizens with advanced digital skills for further market competition at an international level.
Bernard Gršić, State Secretary of the Central State Office for Digital Society Development, stressed that the work of this body is supported by the Croatian Government.
"This coalition should address the challenges of multi-level digital skills, and the work of the coalition is being supported by the Government of the Republic of Croatia and by Prime Minister Andrej Plenković," Gršić said.
Hrvoje Balen, Vice President of the HUP-ICT Association, who is also a member of Algebra board, says that the Republic of Croatia is experiencing a significant increase in the emigration of younger and highly educated individuals, he therefore highlighted the two main goals set by the coalition: an overall increase in the number of digital professionals, and their retention here in Croatia.
This Croatian coalition will likely become a leading power in the creation of a digital Croatia and is part of the grand coalition for digital jobs initiative, which was initially launched three years ago by the European Commission with the aim of linking the economy, educational institutions, and the state together to work on the general development of digital competencies.
Is digital Croatia on a concrete path to reality? Only time will tell.
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Click here for the original article by Bernard Ivezic for Poslovni Dnevnik
As Poslovni Dnevnik writes on the 20th of December, 2018, as a group, Orion achieves revenue of about 6 million euro and is constantly investing in security, consumer education, and further innovation. Owing to the constant investment and care of their business, Koprivnica is set to get a huge cash injection, and new work positions are set to be opened.
Poslovni Dnevnik talked with Damir Šimunic, the founder and owner of Koprivnica's Orion, about the situation and the development of the market for pyrotechnics in Croatia and the wider region, the business plans of the company, and the latest investment in Podravina.
In which countries is Orion the market leader?
As a company, we've existed for more than twenty years and the word ''leader'' carries with it a huge responsibility. If you think about where the Orion Group does business under that [title], most of it is done in neighbouring countries, Slovenia, Bosnia and Herzegovina and Serbia. In Croatia, we've established a serious business system based on the professionalism and an innovative approach with pyrotechnics, which today, primarily, is mainly in the entertainment world. Over the years, we've become the leading specialised company for producing and distributing entertainment pyrotechnics, fireworks, and stage effects. As a company, we're oriented towards the development of new products in order to meet the needs of a more demanding market.
How did you manage to break even on Western markets such as Austria or Belgium?
In Croatia, there is a fairly regulated market for pyrotechnics, because we're part of the European Community, but on the western markets the laws are very rigorous and without the required quality [standard] you can't be competitive. Foreign distributors have recognised our product quality as well as our distribution service, so we started working with Austria and Belgium over time. All our pyrotechnics have CE certificates, which is the European standard today, and a prerequisite for sales on the EU market.
Why did you decide to go into the world of pyrotechnics?
Like all kids, I liked pyrotechnics during my childhood and over time, that game turned into work. In those years, especially during the 1990s, the pyrotechnic market was not regulated and as a company we were actively involved in drafting regulations and then developing the market in accordance with those regulations. After that, from a small family business, I managed to create a serious company that employs over 120 people during the sales season and is developing new products that are successfully marketed every year.
When and how did you become the market leader in Croatia?
We started with the sale of pyrotechnics back in 1993, first as a distributor for foreign brands and then as independent importers from China. Of course, there was no serious and well-organised sales system before, because not even the legal regulations were defined, but today, our company has the most selling points in Croatia. According to the number of sales outlets, ie chains we supply, and according to the number of our seasonal sales outlets, popularly known as pyroshops, we've been a distributor since 2009 in Croatia. We've been seriously present in the region since 2006, and in 2012 we took the lead. In Croatia, we supply a total of over 4,000 sales outlets.
If you do, how do you influence the development of the local community?
Like every responsible company, we work very closely with our local community. We're sponsors and donors for many activities and events and we're involved in a large number of humanitarian, cultural, sport and social events both in Croatia and in the region. So, within our capabilities, we help local communities realise their projects.
Is the law on sales in Croatia too high? And what is it like in the rest of the EU?
The law has set rules which apply to everyone. The provisions of the law primarily protect consumers and users. In that, there will always be those who are satisfied and those who are less satisfied with the prescribed rules, but we didn't invent the rules. A major problem is in controlling and enforcing the law due to a short sale period. We have always supported the more transparent [way of doing] business, and as such, a clearer and more concrete law, because only a market of that kind can function properly.
How many sales outlets (pyroshops) do you have in Croatia and beyond?
In Croatia, we have 260 of our own pyroshops and about 100 distributors. In other countries in the region, we have several of our own pyroshops and we serve over 350 sales outlets. But as time passes and given the fact that we're introducing some modern forms of marketing into our system, the story is expanding rapidly and in three years we expect to expand on the regional market.
What are your specialty stores and your distributors' stores?
Specialised pyrotechnic shops must obtain approval from the Ministry of Interior to conduct retail sales of pyrotechnic items. The conditions for such an approval include staff training, fire prevention, security protocols, anti-burglary protection and a variety of other conditions that ensure safe storage and the safe sale of entertainment pyrotechnics. Pyrotechnics is fun, but to be able to sell them, we as distributors have to meet a number of legal and safety rules.
How much is your annual income?
Orion as a group earns about 6 million euro in revenue depending on the season and on the market conditions. Of course, as a company, it's in our interest to grow, and every year we're investing additional resources into security, the education of our consumers, as well as the innovations that are indispensable if we want to keep up with modern world trends.
How do your sales go outside of the main season?
Out of the main sales season, that is, from January to November, a smaller part of the range is sold. Mostly specialised [items] for purposes such as naval pyrotechnics and rescue pyrotechnics. There are, of course, party pyrotechnics (confetti, cake fountains, sprays etc.), professional pyrotechnics and special effects that are always sought throughout the year, especially for some festivals, concerts and the like. We also produce a great number of fireworks and stage effects during the tourist season, and there are more and more wedding pyrotechnics which are always attractive.
What innovations in pyrotechnics are you introducing?
We're constantly working on the development and improvement of the safety-technical properties of pyrotechnics so that we can make our customers as safe as possible. We have two recognised patents. A more secure rocket system, a worldwide-recognised patent, followed by a patented security system for firecrackers and innovation called PyroBlock. Pyroblock is the latest technology for box fireworks that we have launched on the market. Now our fireworks are even better and even safer, so that users can enjoy their luxurious effects and our spectacular fireworks.
What are the trends in sales that today's customers look for the most?
As information and education grows alongside the fans of entertainment pyrotechnics, consumer trends and tastes are changing. Once upon a time, firecrackers made up 80 percent of sales, while today they account for less than 40 percent, and consumers are increasingly using our fireworks, rockets, fountains and Roman candles. Naturally, firecrackers will always be popular, but the trends are changing, and interesting new items are always expected from us as the market leaders.
How are you approaching the younger generation - events, collaboration with YouTubers and influencers?
We use all permitted channels for communication with our consumers. Today, we live in the digital age, so we've adapted to this trend which will soon become our strongest communication medium with the youth. Currently, social networking is in fashion, YouTubers and influencers closely monitor what's happening in this product segment. What is in and what is not in is created today by the media of the younger generation who capture everything on their vlogs and videos. Through these channels, we primarily want to act educationally and affirmatively to give the younger generation better quality information with an emphasis placed on security and regulation. Education through entertainment has always been effective, it is today just as it was before. Some things never change.
What are your business plans for the future?
The list of plans is time-consuming and is solely related to the development and production of safer and more quality products. We're an entertainment industry and our goal is to have safe entertainment successfully implemented. This is possible only by investing constantly in infrastructure, technology, equipment, and our expert associates. For this reason, we're able to announce the construction and expansion of the regional distributive centre in Koprivnica, and thus create a new need for workers. The planned value of investment in the distribution center and storage systems amounts to 1.5 million euro, and it will be the future of pyrotechnics in Croatia and in the region. This business policy has provided us with a leading position in the region as consumers have recognised our work and the effort that we invest into our products.
Mišel Jakšić, the mayor of Koprivnica stated that he welcomes every good entrepreneurial idea and investment, and expressed his desire to encourage young people to stay in the city.
"As the Mayor of Koprivnica, I'm proud of the economy of this city that we're increasingly developing every day. The business zones which are expanding, and the entrepreneurial incubator, where more and more young people are ready to start their own businesses, is our vision and desire to provide a decent life for young people The cooperation with Orion as the leader of the fun-pyrotechnic market is exceptional, and every year Orion sponsors our events as a responsible company in the local community. As Mayor of Koprivnica, I will always support all the important, however big or small entrepreneurial endeavors so that our young people remain here in Koprivnica, and so that employment gets as high as possible,'' the mayor concluded.
Make sure to follow our dedicated business and Made in Croatia pages for more information on Croatian companies, products and services, as well as doing business in Croatia, and the overall business and investment climate.
As much as people prefer to stick with the depressing stories of there being no jobs, or no workers, or whichever saga fits best with their coffee that morning, there are moves being made in the continental part of the country for the greater good, and one economic boost for Croatia is on its way, in the form of one of the largest tea factories in not only the region, but the whole of Europe.
As Poslovni Dnevnik writes on the 11th of December, 2018, the current plan is to allow for the completely uninterrupted operation of the factory in order to continuously deliver ready-made products to markets that have already been contracted.
In what is certain to be a significant economic boost for Croatia, in the Rakita business zone in Kladare, the Spider Group is building a large, modern tea factory worth 28 million kuna, in which as many as 400 million teabags will be packed annually. In addition, fifty new employees will also be sought and recruited. As mentioned, this factory will be the largest tea factory in the region and among the largest in Europe, according to a report from Glas Slavonije.
The Spider Group specialises in the processing of medicinal and aromatic herbs and the production of teas and preparations based on such herbs. All of the Spider Group companies - Spider Group d.o.o., Biofarma d.o.o., Dolla d.o.o., Jan-spider d.o.o., as well as Herbarium d.o.o., are integral parts of a solid business unit which produces high-quality, finished products on both the domestic and on international markets.
One of the main features of the Spider Group is intense growth and continued investment in technology, as well as infrastructure development, which confirms that previous investments made by the company are being continued forward with more new ones.
Back in 2016, an investment cycle of more than 15,000,000 kuna was completed, which directly strengthened the group's overall competitiveness on the world market. In mid 2018, a new investment was successfully launched, amounting to more than 28,000,000 kuna for the construction and the equipping of factories for the packing of teas in the Rakita business zone in Pitomača, according to Denis Nemčević of the aforementioned group.
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A new retail chain is coming to from Italy and offering a wealth of new possibilities for shopping in Croatia. Eurospin is a discount store with enviable revenue and income, and it is bringing job openings with it.
As Poslovni Dnevnik writes on the 3rd of December, 2018, not so long ago, Germany's Hofer attempted to take to the Croatian market, announcing its opening in the western part of Zagreb and its surroundings, even going as far as to recruit workers, and then, without explanation, it withdrew.
With regard to ads on social networks in both Zagreb and Rijeka seeking workers, construction land, commercial property with parking in cities with more than 10,000 people living there, the question is when will the Croatian market become richer for another major international trade chain - Eurospin.
As Vecernji list writes, Eurospin is a classic Italian discount store with more than 1,000 stores across Italy and 80 in neighbouring Slovenia, boasting about 7,000 workers, record revenues of 4.7 billion euro and an income of 184 million euro in 2017.
While this is far from the leading ten players in Europe, among which the Schwarz group is the frontrunner with both Lidl and Kaufland in the same portfolio, when it comes to the Croatian market, in which the top ten of the total 38.7 percent of total retail revenues continues to hold more than 80 percent of the market share, the Eurospin concept such as PennyMarket, Aldi, or Hofer is certainly significant when it comes to shopping in Croatia.
Specialising in the discounted sale of food products and daily shopping, Eurospin differs from other competitors in Europe by selling its brands exclusively. There are no classic brands found in other chains in these stores, only those that this retail chain's team plotted through its very own network of carefully selected partners.
The company has adjusted the format of its products in accordance with the taste and traditions of the individual markets, as Lidl is doing today, and this formula proved to be a winning one, first in Italy, and then in neighbouring Slovenia.
Back in 2000, they were the first in Italy in this segment by the number of sales points, turnover, and number of customers, they now want to become the most significant in Europe.
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One Croatian company which deals primarily with Information Technology has launched a praiseworthy project with the help of European Union funds. The project will see around 100 new work position opened.
As Poslovni Dnevnik writes on the 24th of November, 2018, one year ago, the laying of the foundation stones of the business took place. Today, located in the Jalkovec entrepreneurial zone near Varaždin, the new business space belonging to Mobilisis d.o.o., which produces modern, innovative IT infrastructure for industrial process management, as well as mobile collection and data transfer, has been officially opened.
The construction and equipping of the brand new building, which will greatly increase the company's production capacities, has been co-financed by European Union funds, via the means of a tender from the Ministry of Economy, Entrepreneurship and Crafts. Namely, within the framework of the public call for the ''competence and development of small and medium enterprises", the aforementioned company announced its project, entitled "increasing the production capacities of Mobilisis d.o.o. with the building of a new business space and investing in equipment'' amounting to more than 38 million kuna, of which a total of 13.7 million kuna in non-refundable funds was granted.
As the director of the company Krešimir Meštrić pointed out at the opening ceremony, this investment will enable the doubling of sales revenue and also enable further development in line with global trends.
"Today, we're not just opening the building here, but we're opening up more than 100 jobs, at a location which was just a meadow a few years ago. We couldn't have created a better space conversion [than this one]. But with this greenfield investment, the owners of the company have taken a great deal of responsibility upon themselves because this project represents only the physical fulfillment of the conditions. Ahead of us lie the realisation of the plans, but I believe that in this way, we've shown the path and the ambitions that we need to have, which must work to give us confidence and encourage positive trends,'' said Mestrić, emphasising the fact that not only will the company's realised ideas and innovations be created there, but they will also aim to attract business partners from all over the world.
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