Rome, Business - Doing business in Rome
Rome, Business - Doing business in Rome
Business Profile: Rome’s mayor, Walter Veltroni (elected in 2001), has continued work on a major investment programme set up by his predecessor. The scheme aims to maximize the possibilities opened up by tourism and to encourage major national and multinational corporations to have a presence in Rome – the political and administrative centre of Italy. These initiatives are set to counter the negative effects of the Government’s decentralization programme, which could result in a decreasing role for the capital city as a public sector employer. Mergers and acquisitions, combined with the government-initiated privatisation process, add further elements of risk to the local economy.
The strength of the national economy lies in the service sector, which accounted for 66.4% of GDP in 2000. Tourism is the country’s largest industry, with Rome as the ‘number one’ destination. Other significant industries in the capital include finance and banking, insurance, printing, publishing and fashion. Italy’s film industry (founded in 1936) is located at nearby Cinecittà. The business district is largely clustered within the centro storico (historic centre) – partly because no one else can afford to pay the high rents. Trade Fairs and large business conventions are normally held in EUR, a modern suburb six kilometres (four miles) south of the city centre. The United Nations Food and Agriculture Organisation (FAO) is based in Rome, as is the World Food Programme (WFP) and the International Centre for the Study of the Preservation and Restoration of Cultural Property (ICCROM).
Unemployment in Rome, which was 11.2% in 2001, is higher than the national average, which was 9.5%. However, it is decreasing (it was 14.7% in 2000) and the city continues to reap the rewards of the massive investment programme set up for the year 2000 celebrations – many of the projects only recently being completed. Tourism was given a fine boost – hotels were upgraded, museums refurbished and the public transport system rationalised.
Business Etiquette: Although less formal than their Milanese counterparts, business is a serious affair for Romans. Greeting take the form of a handshake (social kissing is reserved for friends and family) and then business cards are exchanged. If possible, it is best to have one side printed in Italian and one in English – all company literature should be provided in Italian. Colleagues should be addressed by their surname and academic/professional titles respected. Although some of the Italian business community will speak some English or French, Italian is the dominant language of business. It is wise to take the precaution of employing an interpreter, to minimise the degree of misunderstandings.
In Rome, appearance counts. It is best to dress in a smart suit (with tie for men and stylish accessories for women). The odd designer label does no harm. Personal relationships are extremely important and it is unlikely that decisions will be made before trust has been established between the two parties. Business lunches provide the ideal opportunity to build relationships and small talk is an essential part of any business meeting. Standard office hours are 0900-1700, with an hour-long lunch break.
