1. 14 October 2004 International Investment Forum CzechInvest – from marketing to development agency

2. CEE - the reality of investment promotion Economic reforms Low visibility and market recognition Market - resources - efficiencies FDI as a supplement of to economic transformation (FDI = privatization) Marketing = raising awareness

3. Story of CzechInvest IPA – establishment of CzechInvest (1992) network of foreign offices, regional partners (1994) database of industrial properties (1998) investment incentives (1998, 2000) sourcing program (1999) industrial zone development program (1999) new business strategy (2002) development agency, EU funds, regional offices (2004)

4. CI - the reality of investment promotion Economic growth Repositioning, „maintenance marketing“ Market - resources - efficiencies FDI as one of the sources of economic development Marketing = aftercare

5. Our experience … 19942003 Woodprocessing 8% Automotive 29% Electronics 29% Plastics 14% Construction 14% R&D 11% Strategic Services 19% Manufacturing 70%

6. Role of CzechInvest in the economic development of the Czech economy MARKETING AGENCY DEVELOPMENT AGENCY 199220002004 FDI Focus Investment Climate FDI Focus Business Climate SMEs Development MARKETING AGENCY

7. CzechInvest MINISTER OF INDUSTRY AND TRADE CR STEERING COMMITTEE ORGANIZATION PARIS OFFICE LONDON OFFICE COLOGNE OFFICE CHICAGO OFFICE YOKOHAMA OFFICE SILICON VALLEY OFFICE BRUSSELS OFFICE HONG KONG OFFICE FDI MARKETING INDUSTRIAL PROPERTIES AND REGIONS SMEs STRUCTURAL FUNDS BUSINESS DEVELOPMENT

8. „AGENCY“ model Detachment from the founder („business friendly approach“) State budget support Mission – vision – strategy Contractual freedom Limited executive power

9. Government support essential Not dependent on incumbent political party Involvement of senior governement ministers IPA involvement in generation of governement policy Proactive intervention on skills and infrastructure Tuning FDI strategy to the wider needs of economic policy

10. Unified system of business support Business support agency Establishment of new businesses Development of existing businesses Attraction of foreign businesses

11. EU funds / Operational program Development of business environment (50%) projects developing business infrastructure, benefit for wider business community Development of the competitiveness of enterprises (46%) direct business support support of specific investment plans (mostly SMEs) Technical assistance – (4%) management and implementation of the programme Priority 1 Priority 2 Priority 3 350 mil € (2004 - 2006)

12. THANK YOU FOR YOUR ATTENTION Robert Hejzák hejzak@czechinvest.org