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"Before noon, the school has a Macedonian name, in the afternoon the school bears an Albanian name"
Macedonia is among the few regions of the former Yugoslavia that have witnessed a peaceful process towards independence. Following a referendum in September 1991, Macedonia declared its independence in January 1992. Macedonian leader Kiro Gligorov negotiated a peaceful withdrawal of the Yugoslavian armies and maintained a friendly relationship with Serbian leaders. The country has nevertheless faced challenges through diplomatic channels from Greece, which has demanded that the country go by a different name: According to Greece, use of the name ‘Macedonia’ constitutes a territorial claim over northern Greece, a region also referred to by that name. As a result, Macedonia was forced to formally change its name to ‘The Former Yugoslavian Republic Of Macedonia.’ Although Macedonia has since declared not to stake any claims on Greek Macedonia, Greece continues to veto the country’s membership of various international organizations. Most recently this occurred when Macedonia sought membership of NATO. Currently, renewed negotiations are underway with Greece regarding a conclusive name for the country. While talks about this issue generally derailed during the mid-nineties, it is now expected that the matter will be resolved in the near future. Proposed new names include ‘Northern-Macedonia’ and ‘New-Macedonia.’
Notwithstanding its peaceful progress toward independence during the early nineties, Macedonia is unfortunately also burdened by ethnic tensions. Its Albanian minority has actively sought to enhance its political representation and cultural visibility. In 1995, Albanians proposed the establishment of an Albanian University in Tetovo. However, since Macedonia was the only official language of the country according to the constitution, this university was decreed to be unconstitutional. Tensions further mounted following an assassination attempt on President Kiro Gligorov in the mid 1990s and Albanese rebels engaged in armed combat in the form of bomb attacks. In 2001 this conflict came to a head in the Western region of Macedonia between the UCK (Ushtria Člirimtare Kombetare, National Liberation Army) and Macedonian peace troops. The conflict was quickly settled with an agreement in August 2001 in which the Macedonian government promised a greater political role for the Albanian minority and the acknowledgement of their language.
Yet, the relationship between Macedonians and Albanians continues to be problematic. Tensions between Albanian and Macedonian students in high schools have escalated to such a degree that the government has been forced to propose a drastic solution: Each school day is divided into two parts: Macedonian students take classes in the morning hours, while Albanian students attend school in the afternoon. A transition hour is scheduled in between so that the two groups of students do not come in contact. And it gets worse: Before noon, the school has a Macedonian name, in the afternoon the school bears an Albanian name. The separation between the two ethnic groups is further advanced by a growing tendency of Macedonians to leave the villages with an Albanian majority and vice versa. Other minorities, such as the Turks and the Roma, try not to get involved in this conflict.
Despite these problems, Macedonia is a hospitable country. When one asks its inhabitants about the tensions between the various ethnic groups, one mostly hears that the conflicts are used as a political instrument. Nevertheless, prejudices abound! (The following is a prime example: When I was conned by a taxi driver at the bus station in Skopje, the incident was of course upsetting to me, although it didn’t matter to me whether the perpetrator might have been Macedonian or Albanian. However, when I told the owner of the hotel where I was staying about the incident, he responded with a diatribe about purported Albanian criminals who engage in these types of illicit activities. Conversely, when I told an Albanian friend about the incident, he immediately concluded that the driver must have been Macedonian, since they always encountered these kinds of problems with Macedonians. Neither had ever seen the taxi driver in question…)
SPARK Skopje
Since September 2004, SPARK has been located in an apartment in the centre of Skopje. The most important job of its three employees, consisting of financial manager Igor Georgiev and project managers Gligor Pandilovski and Sherife Ismaili, is to organise an annual summer institute referred to as the ‘Summer University.’ This two-week long event draws students from all Balkan regions. The number of applicants increases each year, despite the “mere” six hundred spots that have been available. Approximately sixty percent of the participants come from Macedonia proper, twenty percent from South-Eastern Europe and a remaining twenty percent from other parts of the world. The first Summer University took place in 2005 in Skopje. Other cities that have hosted the event since are Tetovo in 2006 and Bitola in 2007. In 2008 the Summer University will be held in Ochrid. “Since it is too much work to organise this event in a different location every year, we will now investigate whether we can use Ochrid as our permanent location,” states Gligor. Although Ochrid has room for substantially fewer participants than other cities, it is nevertheless an attractive site. It is a beautiful city bordering a large lake with (a vibrant night life)many recreational opportunities for the participants after hours. “There are two reasons why we are accepting a mere 320 registrants as opposed to the 600 that we were previously able to take on. In the first place, Ochrid is much smaller than the other cities. There is simply no room for 600 students. Moreover, we have found that 600 students is simply too much to handle. With 320 students at this year’s Summer University we hope to provide a qualitatively stronger event,” explains Gligor.
The multi-ethnic character of the student body is an essential feature of the Summer University. The numerous wars in the former Yugoslavia during the last decades have had a lasting effect. Many minority groups distrust one another. Bringing people from various groups together, allows the participants to learn about each other’s cultures and about how to work together. It helps break down stereotypes and promotes reconciliation. “A truly beautiful example [of integration and reconciliation] was a basketball team we had during the Summer University of 2006 in Tetovo; a Croatian, a Serbian, an Albanian and a Macedonian playing together! But things don’t always run this smoothly. In 2006 we also had a small incident: a Serbian and an Albanian got into a fight. Prejudices about each other’s backgrounds were voiced, which was unacceptable to us. These students were dismissed immediately,” says Gligor.
While the Dutch government largely underwrites the program, the students are also expected to make a contribution. “In the past, this amounted to €10,-, but this year it was raised to € 50,- which includes lodging and meals. However, international students pay more. They pay € 250,-. We ask this contribution to attract only the truly dedicated students. Although they will have plenty of spare time to go to the clubs or bars in the evening, we also expect them to work. Therefore, we take attendance and require the students to be present at least 80% of the time. Those who do not follow this rule are expelled, but this rarely happens,” adds Gligor.
The objectives of the Summer University are quite different from what most students are familiar with. Lively interactions among students and between students and their instructors are considered very important. Moreover, “We incorporate lots of case studies and students have to give presentations. It is important that students have the opportunity to express themselves. The curriculum also emphasizes practical application through field trips and activities. At the Summer University students are exclusively taught in English. We utilize both local and foreign instructors.” After two weeks an examination takes place. Based on the Bologna system, students receive 3 ECTS points and a certificate as proof of their participation.
The Summer University is currently funded by a number of partners. SPARK’s main donor is the Ministry of Foreign Affairs. In addition, various universities, businesses and international organisations such as the OVSE contribute to the Summer University. This year, thirty percent of its costs will be covered by the Dutch embassy in Skopje. The goal is for the 2009 Summer University to become self-supporting and derive its entire financial support from the above mentioned organisations and foundations, reducing the role of SPARK to technical assistance only.
Since the Summer University only constitutes part of SPARK’s activities and SPARK hopes to merely provide practical support in 2009, the organisation is currently considering new projects. Nik Heerens from Holland mostly works and lives in Skopje. At SPARK he is the project manager for higher education and is responsible for the development of new projects. He considers the Tempus program to be a promising area of focus. The Tempus program supports reforms in higher education in neighbouring countries of the European Union. With this program the EU hopes to modernise systems of higher education and to promote understanding among and between different cultures in over 27 countries in Eastern Europe, Central Asia, the Balkans and the Mediterranean.
Business Start-up Centre Bitola, Macedonia
Hidden in a corner at the Technical University of Bitola, one can find since April 2007 Business Start-up Centre Bitola; three desks, a few cupboards and walls covered with numerous posters promoting a Business Plan Competition (BPC). A relaxed work climate exists between the two project managers Gjorgji Rafajlovski and Tomislav Zdravkoski and director Rozita Hristovska.
The most important project of BSC Bitola is its business plan competition with its related development of new companies or expansion of existing businesses. The process starts with a business concept competition. From the submissions the five best and most promising business concepts are chosen and rewarded with free personal coaching to learn how to turn a concept into a proper business plan. The business plan competition is open to anyone below the age of 35 years. An independent jury chooses the best ideas, after which BCS Bitola helps the winners start their own companies, for instance, by arranging free registration, consulting, micro-credits and office space as needed.
Despite only just finishing its inaugural year and implementing an entirely new concept, BSC Bitola does not report any major problems. “It really is too good to be true for our contestants; Our services are free and we take care of everything. The only thing they need to do is come up with a good idea and turn it into a business plan!” says Rozita. BSC Bitola also provides trainings and workshops in subjects such as marketing strategies, accounting en the development of management skills. This is important, since it takes more than just a good idea to start up a business. During these trainings and workshops both local and foreign guest speakers address various topics, such as the best ways to negotiate with banks and potential purchasers of the product.
“When we just started BSC Bitola, I was somewhat sceptical about the whole idea of a business plan competition. However, now that I see what we have been able to accomplish in one year I am very happy. It can only get better! This was only the first year!” explains Gjorgji enthusiastically. His enthusiasm is understandable. In the past year, no less than 104 young people between the age of 18 and 35 have participated in the BSC. Of these, ten participants received a micro-credit, free registration of their new company, the opportunity to consult with professionals and office space for an attractive price. The other fourteen, while not obtaining a micro-credit, nevertheless received free registration for their companies and the opportunity to consult with professionals for free.
BSC Bitola thus does not limit itself to providing micro-credits; there is an entire follow-up process. Suzana Kocankovska has recently been hired as manager of the Business Incubator Centre. This group provides fully furnished office spaces. In addition, it also offers administrative and technical support. The organisation serves as a base for new companies, for those whose main challenge lies in surviving in today’s business world. Bitola has recently obtained a new building that is currently being renovated to offer work space to the winners. The first few months the winners will be able to utilize the office space at no charge. After this, they will pay 25 % of the rent, and this percentage will be raised every three months. Once their company is running at full swing, these start-up businesses will make room for new companies for whom this will also be their first step to success.
The importance of BSC Bitola
At a time when Macedonia is undergoing a rapid development characterised by a growing economy and the potential of EC membership on the horizon, BSC Bitola offers small and medium-sized companies a change to develop. This is important, since this sector has never really prospered in Macedonia. “We encourage young, ambitious people to think about their future. They must take the first steps to realize their ambitions,” comments Rozita. “Without BSC the start-up process of these companies would have been significantly slower. To be successful a positive environment is paramount, and this is where BSC comes in!” adds Krste, one of the winners.
Since the opening by SPARK of BSC offices in Kragujevac (Serbia), Zenica (Bosnia-Herzegovina) en Bar (Montenegro), there has been a positive exchange of information between the different offices. People are currently assisting each other in the same region where they fifteen years ago tried to kill each other. Moreover, all parties are members of the South East European Network of Start-up Incubators (SENSI), which was established in 2006 under the supervision of SPARK Tuzla (Bosnia-Herzegovina). This growing network consists of more than twenty members from Slovenia to Macedonia. SENSI brings different cultural backgrounds together and provides its members with the opportunity to exchange knowledge and experiences within the context of business start-ups. They also collaborate with universities from all over South-East Europe, local governments and the local business world.
BSC Bitola partners with the university of Saint Clement in Ochridski and its School of Technology which provides them with housing, the local Business Bureau, the Office for the Promotion of Entrepreneurship and the regional entrepreneur support centre. Aside from this cooperation with regional partners, they also help Western companies to invest in the Balkans. And this has already resulted in a modest success for one of last year’s winners. ‘When Sander Jansen of the Dutch IT company Clockwork came to Macedonia to visit, he was particularly impressed by one of our winners, Aleksander Kirac, who is in the process of building a small IT company. He asked for Aleksander’s portfolio and immediately offered him a trial assignment! If they like the result, he will definitely receive more orders!’ Rozita enthusiastically explains about this new, international success of BPC.
A well-oiled promotion campaign
Now that the goals of the first year have been accomplished, it is time for a new BPC. While BPC has primarily been promoted in a professional manner in the Bitola region, people from other parts of Macedonia are also encouraged to participate. Today, promoting BPC in Prilip is on the agenda, a small town 40 kilometres from Bitola. We leave with a team of seven volunteers, who do receive a financial remuneration for their efforts. On the central square, the well-known yellow booth is set up. The volunteers are easily recognisable in the streets by their signature yellow T-shirts and hats. In the crowded shopping streets in the larger cities of Netherlands, people are mostly fed up with the numerous advocates of organisations such as for example Amnesty International, the various newspaper salesmen and book clubs. Yet, in Macedonia this type of marketing is a relatively new phenomenon and it results in a run on the booth. “That’s due to the beautiful women!” jokes Tomislav. At first people primarily older people are the ones taking a look. While they do not belong to the target group, they nevertheless receive and explanation and a flyer. After all, they might very well interest their children to participate. After the first excitement has died down, young people come to take a look. The image of a “money machine” together with a slogan stating that, while there is no such thing in and of itself, one can most certainly create one, is enticing. It stimulates the curiosity and ambition to improve one’s situation in a country characterised by severe unemployment and an average monthly income of a mere € 150,-.
While the women remain at the booth, Tomislav and volunteer Milan plaster the city with posters in order to inform those who have missed the booth about the competition. After a few hours, 70 people have left their information and expressed an interest in the competition. People may not win; perhaps their idea for a business remains just that. However, it is a start. They at least are thinking about a new concept and will have the opportunity to attend trainings and workshops. And perhaps, they will have more luck the next year as a result of their newly acquired knowledge.
"In five years I will have earned the title of CEO"
Krste Karceski (23) and Jasmina Mrskovska (23) successfully participated in the business plan competition. Their business plan involves the creation of a business identity: how to add a brand to the market. Their third place win grants them access to a micro credit of a maximum of € 10.000,-, free registration of their new company, the opportunity to consult with professionals and office space for an attractive fee. While these competitors should most certainly be pleased with their third place win, Krste is inherently competitive and had hoped to win first place. His somewhat appropriately arrogant demeanour and quick come-backs seem to be perfectly suited for the business world. “In five years I will have earned the title of CEO, and I will only be involved in management tasks! By that time, the goal will be to have ten employees,” he jokes with a serious undertone.
Jasmina studied at the Technical University in Bitola, where the BSC office is located. She saw the posters and, following a meeting with the staff members, she decided to participate in the competition. Even though it is just the two of them, they are not afraid of a battle for power. “I know what it is like to run a company with multiple owners. My father’s business has three owners. We each have our own tasks. I am responsible for the logistics while Jasmina tends to the production,” says Krste.
The importance of creating and maintaining a strong and extensive network is perfectly illustrated by BCS. The organisation is led by locals, but its roots are in Amsterdam. The diversity of partners and wealth of influential interested parties immediately resulted in a large assignment for Krste and Jasmina. The mayor of Prilep, a small city located nearby Bitola, invited them to pitch their skills to a range of companies that included the distributor of one of the largest beer brands: Prilep Beer. “His recommendation allowed us to introduce ourselves to these companies,” says Jasmina. All winners were also invited to attend a reception at the Dutch embassy in Skopje. This is where they met several Dutch companies, resulting in some potential orders and useful advice about hiring employees. For instance, how does one recognize an applicant’s qualities?
At the end of our interview, Krstes’ telephone rings. It is a company that produces plastic bags for other businesses, and it is calling in an order. Not a bad start for a company that does not even have any office space yet.
“At first I was primarily attracted to the beautiful ladies!”
The extremely tall 25 year old Goran Angelkovski is focusing on the IT market. His business plan for New Media Cooperation (NMC) was awarded with sixth place in the BPC. Goran is not new to the IT market as he has worked for several other IT companies before starting NMC. NMC will focus on computer repair, system installation and web design. Currently he is just dealing with the logistics since his office is not ready yet. The eventual starting date of his company depends on the availability of his office space.
Goran is a cheerful young man who first learned about BSC through one of its street promotions. “At first I was primarily attracted to the beautiful ladies!” he jokes, before continuing more seriously, “My idea was already sufficiently developed to be put into motion. In this, BSC Bitola has performed a stimulating role and has speed up the process. I have the necessary knowledge, daring and intelligence to turn this into a success.” Goran has received a credit of € 4000,- and it is expected that he will make a profit of three to four-thousand euro in the first three years. How things will look in five years? “By then I will be retired and lying on a beach with a nice cocktail! Haha, I am just joking. By that time, I hope to have a medium-sized company with several office spaces and 10 to 16 employees.”
"Ït started as a hobby"
First place was awarded to Aleksander Kirac (25). The production of honey has been a tradition in his family for over fifty years. “It started as a hobby. I have been working with bees from the age of twelve. Now I would like to start my own company,” he explains. Aleksander has received a loan of € 10.000,- and will have two-and-a-half years to pay it back. The plan is as follows: Aleksander will expand his capital by buying beehives from other bee keepers. He currently has sixty beehives, but his plan is to increase this number to 110. In five years he hopes to have increased his business capital to 250 beehives. One beehive produces around 25 kilograms of pure honey each year. The entire honey production in the first year will amount to approximately ten ton. Part of this will be produced in his own hives; the rest will be bought from other bee keepers for processing. He will thus be involved both in the production as well as in the trade of honey.
But Aleksander’s ideas do not stop here: He wants to launch a new product as well. It’s a combination of butter and honey, to be used on bread, for instance; a perfect breakfast item for hotels. He also plans to export his honey products eventually. However this is a long-term goal. “I only want to start exporting my products when I am able to produce enough. My vision and ambition are first to launch a recognisable Macedonian honey brand before considering exporting my products. In any case, I hope to be a market leader in the Bitola region within five years.”
The target audience for his product are hotels and stores. Aleksander does not doubt that he will be successful. “I did not receive first place just because of a good business plan, but also because of my new, cheap way of packaging the product. I plan to have three employees during the first two-and-a-half-years. Once I have paid off my loan and my company is thriving, I will be able to hire an additional two workers. By that time, I expect to make a net profit of € 3.000,- a year, of which the largest part will be invested in more beehives and new machinery.”
Aleksander was first made aware of BPC through his good friend Tomislav, who works as project coordinator at BSC Bitola. “I had already planned to start my own business in the honey industry, but without BSC this would have been far more difficult. The various trainings in market forces, management and in how to write a business plan have really helped me,” he recounts.
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Last Updated ( Wednesday, 23 July 2008 )
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