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Atlantic Grupa

and hence it takes less investments than introducing a completely new product. Completely new entries take serious research and return on investment assessments.” The Group’s brand portfolio includes strong local, regional and, increasingly, panEuropean brands. “We are working on three platforms – local/national, regional and international. Some of our brands are very strong in local terms. Take Plidenta, for example. This is the leading toothpaste in Croatia, before all local and international competition. We will continue to develop this brand and defend our position, but there is hardly potential for it to go further. There are genuine regional brands, such as Cedevita or Smoki. These are a synonym for the category of vitamin drink and flips in the whole region, have very high recognition and consumer loyalty. Finally, brands like Multipower, or Argeta spread or Donat Mg, have a large international presence and potential, and this will continue to be our focus in their development. Essentially, it is a principle on which most successful international corporations base their business.” Tedeschi has said in the past that Atlantic Grupa could structure a serious entry into the U.S. market. Kasapović agrees, but it is a way off. “This is not something we will 28

exclude, but we are for the time being focused to the region and Europe. We are an ambitious company, but realistic as well and reasonable in our strategy planning. It would be great to be able to open as many new markets as possible, but as versatile as we are in our business model we must maintain focus and evolve gradually in order to be able to grow continuously in the long run.” Atlantic Grupa continues to outperform its rivals despite a tough trading environment. The management and the company’s employees have successfully executed the first phase and entered strongly the second phase of Droga Kolinska’s integration. Sales and operating profitability are also up. “Even though we expect 2012 to be at the least equally challenging from the macroeconomic aspect, we are confident in further top-line and profitability growth and thereby to achieve this goal we put focus on realisation of synergy potentials, organic growth through active brand management and innovations, costs optimisation, active risk management and further fulfilment of financial obligations,” says Tedeschi. The firm is well poised, Kasapović says. “Atlantic Grupa has been built on solid foundations, on which a healthy development can take roots. In a matter of speaking, Atlantic Grupa was going to

European Outlook / Issue 2  

European Outlook / Issue 2