Bloom consulting country brand ranking tourism 2012
Bloom_Consulting_case study_Latvia
1. Do you know
who I am?
How to differentiate and stand out from the crowd?
Know how and why the Latvian Government commis-
sioned Bloom Consulting to develop a Country Strategy
to attract FDI and increase the country`s visibility abroad.
Welcome to T1
Development of Countries
Human Asset Management
Business Strategy
2. The challenge
Latvia's government identified the need to develop a project to increase strategic foreign direct investment.
The country was attracting a substantial amount of greenfield investment, however those investments were based on low-value
strategic variables, such as available workforce, low cost workforce, low Taxation, good infrastructure or location.
These variables were not considered strategic as there was no differentiation from its neighboring countries, and more impor-
tantly, as time and development progressed, quality of life would increase in the country and these variables would no longer
be available for investors. Salaries would rise, there would be a high level of employment and so on.
3. The challenge
Latvia's government identified the need to develop a project to increase strategic foreign direct investment.
The country was attracting a substantial amount of greenfield investment, however those investments were based on low-value
strategic variables, such as available workforce, low cost workforce, low Taxation, good infrastructure or location.
These variables were not considered strategic as there was no differentiation from its neighboring countries, and more impor-
tantly, as time and development progressed, quality of life would increase in the country and these variables would no longer
be available for investors. Salaries would rise, there would be a high level of employment and so on.
The approach
Bloom proposed to open a project focused on
1 - Identifying unique variables of Latvia and how to "sell the country abroad”
2 - Identifying and justifying which are Latvia’s strategic sectors to bring credibility to investors
Following our methodology, we researched what are the current perceptions in investors’ minds about Latvia, so we could
understand what were Latvia’s unique selling propositions.
4. The challenge
Latvia's government identified the need to develop a project to increase strategic foreign direct investment.
The country was attracting a substantial amount of greenfield investment, however those investments were based on low-value
strategic variables, such as available workforce, low cost workforce, low Taxation, good infrastructure or location.
These variables were not considered strategic as there was no differentiation from its neighboring countries, and more impor-
tantly, as time and development progressed, quality of life would increase in the country and these variables would no longer
be available for investors. Salaries would rise, there would be a high level of employment and so on.
The approach
Bloom proposed to open a project focused on
1 - Identifying unique variables of Latvia and how to "sell the country abroad”
2 - Identifying and justifying which are Latvia’s strategic sectors to bring credibility to investors
Following our methodology, we researched what are the current perceptions in investors’ minds about Latvia, so we could
understand what were Latvia’s unique selling propositions.
The Findings Latvia’s perception Latvia’s University reputation
Positive
Our findings among 300 Business leaders indicated that
although Latvia had no connotations or was simply associ-
None
ated with “price”, it was also perceived as a country with an
excellent educational system thanks to it’s connotations Low
Education Negative
with Russia and the former soviet union. With this positive None
perception, came the Latvian Universities that ranked very Other
high in terms of perceptions. 42% 27% 23% 8% 65% 25% 10%
5. The Strategy
Based on all findings from the research, Bloom Consulting developed a project called the Polaris Process - A conjoint
Methodology between Latvian Universities and the Investment Promotion Agency to provide research and sectorial know how
to strategic foreign direct investors.
The Polaris process does not only involve two main stakeholders, but totals seven.
Level of involvement
Investor
Latvian
Development
Agency
Universities
Municipalities
Foreign
representatives
Ministry
of Economy
Private Sector
Chain process
All seven stakeholders feed the Latvian perception of an “highly educated society” by delivering true knowledge and content
to any strategic investor. This delivery is structured in the Polaris Process, where all Key stakeholders are interconnected and
play a role in the entire process... Including the Investor, thus ensuring an engagement from an early stage of contact or lead.
6. The Strategy
Additionally to the process, Bloom Consulting designed the entire methodology with quantifiable objectives for the whole
process and for each stakeholder. All objectives where thought out in two phases 1) internal and 2) external
The first one was about identifying what were the key success factors for the process to work efficiently
The second one was about determining who could be a strategic investor and in what geographies.
Level of involvement
Investor
Latvian
Development
Agency
Universities
Municipalities
Foreign
representatives
Ministry
of Economy
Private Sector
Chain process
All foreign representatives where instructed to approach only strategic sectors for Latvia and to introduce a sales speech based
on research and sectorial findings from Latvian Universities. The focus for each foreign representative was to bring 10 strate-
gic investment leads in the first Phase and convert it in real cases within 1 year
7. The Strategy
Additionally to the process, Bloom Consulting designed the entire methodology with quantifiable objectives for the whole
process and for each stakeholder. All objectives where thought out in two phases 1) internal and 2) external
The first one was about identifying what were the key success factors for the process to work efficiently
The second one was about determining who could be a strategic investor and in what geographies.
Level of involvement
Investor
Latvian
Development
Agency
Universities
Municipalities
Foreign
representatives
Ministry
of Economy
Private Sector
Chain process
The Latvian Development agency was responsible for coordinating all stakeholders in the Polaris process, as well as structur-
ing the organization to ensure the whole process would work. Moreover, they used Bloom Consulting research to choose 7
select sectors for development and attraction, introducing them in the National Political agenda and cabinet of ministers.
8. The Strategy
Additionally to the process, Bloom Consulting designed the entire methodology with quantifiable objectives for the whole
process and for each stakeholder. All objectives where thought out in two phases 1) internal and 2) external
The first one was about identifying what were the key success factors for the process to work efficiently
The second one was about determining who could be a strategic investor and in what geographies.
Level of involvement
Investor
Latvian
Development
Agency
Universities
Municipalities
Foreign
representatives
Ministry
of Economy
Private Sector
Chain process
The Universities were coupled with the Latvian Development Agency in the Investor approach and all research findings and
white papers on the 7 select sectors would be introduced in the process and delivered to the strategic investor. Moreover once
the investor would decide to invest in Latvia, the University would offer free of charge research projects.
9. The Strategy
Additionally to the process, Bloom Consulting designed the entire methodology with quantifiable objectives for the whole
process and for each stakeholder. All objectives where thought out in two phases 1) internal and 2) external
The first one was about identifying what were the key success factors for the process to work efficiently
The second one was about determining who could be a strategic investor and in what geographies.
Level of involvement
Investor
Latvian
Development
Agency
Universities
Municipalities
Foreign
representatives
Ministry
of Economy
Private Sector
Chain process
The Ministry of Economy needed to assure the strategic sectors were the recommended 7 and would meet each individual
investor personally to inspire confidence
10. The Strategy
Additionally to the process, Bloom Consulting designed the entire methodology with quantifiable objectives for the whole
process and for each stakeholder. All objectives where thought out in two phases 1) internal and 2) external
The first one was about identifying what were the key success factors for the process to work efficiently.
The second one was about determining who could be a strategic investor and in what geographies.
Level of involvement
Investor
Latvian
Development
Agency
Universities
Municipalities
Foreign
representatives
Ministry
of Economy
Private Sector
Chain process
All interested municipalities were asked to demonstrate their level of interest in receiving foreign investment and play an edu-
cational role with the local community to explain the importance of FDI
11. The Strategy
Additionally to the process, Bloom Consulting designed the entire methodology with quantifiable objectives for the whole
process and for each stakeholder. All objectives where thought out in two phases 1) internal and 2) external
The first one was about identifying what were the key success factors for the process to work efficiently.
The second one was about determining who could be a strategic investor and in what geographies.
Level of involvement
Investor
Latvian
Development
Agency
Universities
Municipalities
Foreign
representatives
Ministry
of Economy
Private Sector
Chain process
Most Latvian companies in the 7 select sectors (Wood processing, Metallurgical, Transportation and Logistics, IT, Healthcare,
Life Sciences, Green tech) would express interest in receiving international investors or simply in cooperating and sharing
sectorial information
12. The Strategy
Additionally to the process, Bloom Consulting designed the entire methodology with quantifiable objectives for the whole
process and for each stakeholder. All objectives where thought out in two phases 1) internal and 2) external
The first one was about identifying what were the key success factors for the process to work efficiently.
The second one was about determining who could be a strategic investor and in what geographies.
Level of involvement
Investor
Latvian
Development
Agency
Universities
Municipalities
Foreign
representatives
Ministry
of Economy
Private Sector
Chain process
International Investors would express areas of interest with Latvian Development Agency to discuss with Universities and all
Stakeholders know-how and integration needs.
13. The Projections and Results
Most stakeholders had quantifiable objectives to follow, and sectors were considered strategic thanks to solid projections.
Investor
Ministry
of Economy
Level of return
Municipalities
Universities
Latvian Private Sector
Foreign Development
representatives Agency
Chain process
10 Leads/Y 20 visits/Y 10 Projects/Y Up to 5% Taxation Investment Higher ROI
1 Investor/Y 10 Investors/Y GDP Increase Employment More research
P/ Sector