Syria-born Aladdin Harfan runs a business corporation in Bulgaria that spans industries as diverse as home appliances, transport and hospitals. The 40-year old businessman arrived in Bulgaria in 1991 after graduating with economics degree at home and failing to settle in the United Arab Emirates. He tried - successfully - trading in Bulgaria and then moved into production creating the Bulgarian home appliances brand Elite. Harfan hired a local team of engineers and designers to develop a large variety of Elite products. Currently the brand's sales are one of the most rapidly growing on the Bulgarian market. To boost them further more and secure the basis for expansion into Eastern Europe, the Syrian opened the Technolux shopping center in Sofia.
Aladdin Harfan spoke to Milena Dinkova from novinite.com.
Q: What made you start a business in Bulgaria?
A: I came to Bulgaria twelve years ago and I fell in love with this country. Back then I was living in Dubai but I felt I don't want to leave Bulgaria anymore. The traditions of Bulgarians and Arabs are very much alike so it was easy for me to make friends and contacts.
What happened in Bulgaria twelve years ago was an economic revolution. The country emerged from the communist era and the demand for various goods was strong. There were a lot of opportunities for traders and I had different goods to offer on the Bulgarian market.
Now the times have changed and many businessmen shift their focus from trading to investments. I have already invested in Bulgaria a lot and plan to go even further.
Q: Do you think Bulgaria has generated a favorable business climate?
A: I think it has. To some extend. I would like more transparency though. I think corruption is still one of the main problems of business but sooner or later it will be extinguished. Bulgaria has already shown signs that make me think it will resolve this problem.
Q: So you think the business climate is constantly improving?
A: Yes, it is. Only three years ago, it was virtually impossible for a businessman to make investments in Bulgaria without going partly or wholly into the shadow economy. Now it is impossible to make investments if you do not respect the law. You see the difference!
Corruption has dramatically ebbed and this trend is further developing. Now it only feels like a bad spice in your otherwise tasty dish while three years ago it was the main course.
Q: What is your advice for foreign businessmen who consider investments in Bulgaria?
A: I have often advised Asian businessmen and always warned them against neglecting the local tastes and preferences. You cannot take just any product and throw it into the Bulgarian market. You have to study the needs and the character of local people. You know, Bulgarians are much more like Europeans now than like oriental people.
Q: Where are you strategic interests in Bulgaria?
A: Now it is the time for me to concentrate on two major businesses: one is construction; the other is my home appliances brand Elite.
Construction is a booming sector in Bulgaria. I plan to invest a lot into it. I don't know of any country that offers so quick returns in that field. If you build a housing estate to rent out, it will return your money in three years. I think it would take 10 to 13 years in the European Union.
I would also like to pay more attention to my Elite brand. People who make home appliances across Eastern Europe just take a ready product that has not been designed with an eye for the local market. I think this is not the right approach. We created the Elite brand to meet the needs of the local people and we fuss a lot over details. So we made really cheap products - not high quality at first - but then we boosted quality vigorously and created really modern designs. So we reached the quality-price ratio perfect for the Bulgarian market.
Medicine is another sector that looks very attractive. I would like to be ready for the moment when Bulgaria enters the EU and a lot of insurance companies look for local hospitals to contract. This is why we continue to build and equip health care centers.
Q: Some say companies in Bulgaria cannot stand the competitive pressure within the European Union?
A: That's absurd. I expect a big boom upon accession. The entry into the European Union will make things much easier for the business. Yes, there are big companies to come but they will need people like us who have worked here for long because we know the market better. And even if you decide to sell your business, you are to get a much better price.
Q: What is the personal quality that helps the most if you have started a business in Bulgaria?
A: Honesty and ability to make people trust you. Once you've made Bulgarians trust you, you are on the right track to success.
You know, you also have to be brave and sometimes you have to take the plunge. When I started my construction enterprise - Aladdin Building - everybody said I was crazy but this did not intimidate me.
And of course, luck is what you need. I confess that there are people who have worked more than me but never had my success. I just proved lucky, as all the decisions I made turned out to be good after all.
Q: All of your employees are Bulgarians. How do you choose them?
A: This is the difficult part for me. Ten years ago when I started hire people, I just took anybody who showed up at the newspaper adds. I had to figure out what every single person is capable of afterwards. Many proved bad choice but some are still with me after ten years.
Now I turn to HR agencies to make the selection. But what I know is that Bulgarians are brilliant employees once they get motivated. If they like the job, they just can't get enough of working.
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Photo by Tony Tonchev (novinite.com)
