1. FDI Workshop: ECONOMIC INTELLIGENCE Athens, May 2009 Marketing the Mediterranean through FDI intelligence: the ANIMA case   Pierre HENRY ANIMA Investment Network

2. May 2009 © ANIMA-Invest in Med 2009 2 I. Intelligent organisations for intelligent moves

3. May 2009 © ANIMA-Invest in Med 2009 3 Economic intelligence: what for? Investor /sector targeting Project qualification Project generation Prospection network D. Lead generation Investment intelligence C. Resource management Data, studies, observatories Training, coaching Monitoring & evaluation Marketing strategy Investment map Industrial strategy A. Strategy & organisation Policy advocacy B. Image building and promotion Country attractiveness Communication tools & events Project handling Follow-up, after-sale, after-care, clubs etc. Offers to investors E. Investor servicing Investment facilitation & one-stop shops

4. May 2009 © ANIMA-Invest in Med 2009 4 Regional marketing & intelligence: main objectives  Assessing strengths and weaknesses Promotion efforts are useless if they do not rely on facts Investors ask for realities, not words Necessity to assess one’s own potential Necessity to benchmark with competitors  Devicing smart promotion strategies Identify key players/ potential partners Identify existing resources (docs, studies, databases…) How to best fit existing agendas: fairs, roadshows (Med Business Agenda for instance) Identify sources of funding: monitoring EU & other multilateral organisations Med policies (call for tenders, etc.)

5. May 2009 © ANIMA-Invest in Med 2009 5 Measure, and inform about, impact  Very difficult, but decision-makers want to see results !  3 time horizons, with different type of effects: Type of activity Long term /policy design, training Mid term – experimentation / pilot projects Short term /full scale action Example of achieve- ment  Creation of an EDA  Training sessions  Info campaign for FDI in textile sector  FDI-linked cluster in special eco. zone  Direct generation of FDI project What can be measured (examples)  Nb of staffs trained  % of funds from beneficiaries  Nb. of road shows  Nb. of leads =contacts with potential investors  Investment flow (nb. of projects, amount)

6. May 2009 © ANIMA-Invest in Med 2009 6 FDI Intelligence is part of Resource management Investment intelligence C. Resource management Data, studies, observatories Training, coaching Monitoring & evaluation Investor /sector targeting Project qualification Project generation Prospection network D. Lead generation B. Image building and promotion Country attractiveness Communication tools & events Project handling Follow-up, after-sale, after-care, clubs etc. Offers to investors E. Investor servicing Investment facilitation & one-stop shops Marketing strategy Investment map Industrial strategy A. Strategy & organisation Policy advocacy

7. May 2009 © ANIMA-Invest in Med 2009 7 What type of resources?  Resource data base/FAQs Selling points Sector overviews Digests on labour /law /subsidies Companies already installed (per region, sector, country of origin) Statistics Maps, photos, images  Pre-investment data Cost of factors (energy, labour, transport etc.)  updated Immediately available land/offices for projects In some cases (Jordan), pre-defined business models (IRR etc.)  ex:The Invest in France ressource centre

8. May 2009 © ANIMA-Invest in Med 2009 8 Invest in France ressource centre  In-sourced: General data Economic, sectoral, national…  Out-sourced: Specific data and market studies Location infos Network of partners: consultants, other ministries (fiscal matters), real estate…. Regional and local data  Partnership: in France, with regions; worldwide, with trade missions (« missions économiques »)  Built around an intranet –hundreds of pages, thousands of documents  Managed by 1 central operational unit in Paris The ANIMA network is built on same principles! 

9. May 2009 © ANIMA-Invest in Med 2009 9 Focus: Investment intelligence  Smart organisation = tailor-made information management strategy shared culture (training, compatibility of individual and collective objectives)+ appropriate tools  Collecting AND sharing: Selecting implies clear strategies & objectives "Manual" management via media, personal contacts, consultants + « Systematic » management (CRM, shared databases, intranet, etc.) Computer-aided tools are a must, but not necessarily heavy artillery! Effective exploitation of outputs & alarms implies a certain institutional agility!  Case study: the ANIMA Investment intelligence system

10. May 2009 © ANIMA-Invest in Med 2009 10 FDI intelligence: inputs FDI projects Prospects Small projects (franchise, rep. office) Internet Google Alerts / Monitoring of companies Others sources Newsletters, events, listings Direct information ANIMA team Inputs from IPAs & other partners Factiva newsflow (>15,000 news per day) Reuters -Dow Jones Free/commercial databases Kompass, Google Finance, Zawya Semantic analysis Selection of ± 1,000 news and alerts per year for MEDA MIPO Mediterranean Investment Project Observatory Vigie Invest in France FDI data base on 30 European countries Benchmarking e. g. with East. Europe AFII Input

11. May 2009 © ANIMA-Invest in Med 2009 11 Sources: a. network inputs Some ANIMA members/partners are bound by confidentiality rules Competition (profit vs non-profit org. + institutional rivalties), « Free rider » temptation + fragile Med solidarity (coopetition) Lack of standards (macro stats, FDI data, FDI projects database, nomenclature)   Not necessarily compatible nor always possible

12. May 2009 © ANIMA-Invest in Med 2009 12 Sources: b. Internet Target relevant aggregators: Econostrum, ANSAMed, Google news… Use filters: Google Alerts (demo) Be effective when using general or specific search engines (professional sites, financial news…)   Generally free but generally time-consuming  Google Cheat Sheet :how to become Google-efficient after 5’ self-training

13. May 2009 © ANIMA-Invest in Med 2009 13 Sources: c. Newsletters & RSS   Requires systematic reading Ex: ANIMA intelligence team follow-up Excel spreadsheet

14. May 2009 © ANIMA-Invest in Med 2009 14 Sources: d. Commercial databases Lexis-Nexis : more than 33,000 press sources Factiva (Reuters/Dow- Jones): 10,000 news a day Dun & Bradstreet: financial information on 63 million companies Gives localisation of all branches Interesting trade- off: Zawya company database (discount for NGOs & public org.)   Potentially time-saving but costly

15. May 2009 © ANIMA-Invest in Med 2009 15 Outputs: FDI maps, trends Med share in world FDI, UNCTAD

16. May 2009 © ANIMA-Invest in Med 2009 16 Outputs: 1,000 blue chip co. having recently invested in MEDA Source: ANIMA-MIPO

17. May 2009 © ANIMA-Invest in Med 2009 17 Outputs: Country & sector positioning MIPO 2003-2006 Israel High tech Origin US Maghreb & Turkey Traditional industries, Telecom, off-shoring & sub-contracting Origin Europe Machreq Mega-projects Finance, real estate, tourism Origin Gulf & Asia Method: principal components analysis over 2,088 projects (2003-2006)

18. May 2009 © ANIMA-Invest in Med 2009 18 II. Lessons from ANIMA experience

19. Conclusion 1: smart  Complexity Economies of scale through complex softwares mean heavy investments (both financial and human)  Be smart! Right-size your ambitions according to available means  No matter how sofisticated your tools are, manpower is a cost to be taken into account  Training + time consuming info qualification, selection, treatment & diffusion May 2009 © ANIMA-Invest in Med 2009 19 high-tech efficiency

20. Conclusion 2: smart  « low cost » or free economic intelligence tools do exist! Google alerts, free RSS feeds, etc.  Use existing peer know-how: Med (ANIMA, etc) or European (Invest in France, etc) best practises (Invest in France, etc): technical assistance missions, staff exchanges through bilateral,multilateral or regional cooperation tools such as the Invest in Med programme  Use existing public tools: Market Analysis Tools by the ITC May 2009 © ANIMA-Invest in Med 2009 20 expensive

21. Conclusion 3: intelligent  « Intelligence» is too often connected to secret services (CIA)…  and « Economic intelligence » can be key in economic wars.  However, « collective intelligence » can bring higher benefits: collective intelligence ="the capacity of human communities to evolve towards higher order complexity and harmony, through such innovation mechanisms as differentiation and integration, competition and collaboration.“ George Pór, Wikipedia  Regional promotion and cooperation, through instruments such as the ANIMA network and the Med Alliance working on the Invest in Med programme, is a powerful tool: use it! May 2009 © ANIMA-Invest in Med 2009 21 secret  ANIMA is for the progressive constitution of a Med network of economic intelligence actors.

22. Thank you ANIMA For a sustainable economic development of the Mediterraneanwww.anima.coop Contacts pierre.henry@anima.coop Pierre HENRY Project Manager FDI Intelligence