Christmas Markets: a multi-million business

Nowadays it is a tradition: when Christmas is coming, also the Christmas Markets  are opened in many Cities. Originated in the German-speaking part of Europe, this tradition finds its roots in the late Middle Age: the first one was created in Dresden in 1434. 

One of the most beautiful Christmas Market - Vienna (Austria)

Even if the most beautiful Christmas Markets are located in Germany and Austria, they are spread in many different places. We can find them in Naples, as well as in Madrid and in Edinburgh, there are also markets opened in US and Canada, mainly on the idea of some German immigrants. Even in Japan there are Christmas Markets, in Osaka and Sapporo.

The diffusion of these markets is easily understandable: they are an incredible touristic attraction and a very good business. 

But which is exactly the value of this business? 

Obviously it is difficult to estimate it, considering that touches various Countries.
I found and interesting research made by JFC about the phenomenon of Christmas Markets in Italy.

The amount of this business is around 766 million Euro per year: 284 directly from the trade, and the rest from restaurants, hotels and shops. The most attractive markets are located in the region of Trentino - Alto Adige, near the border with Austria. But there are about 556 in Italy, that can last from just one to 72 days and that will host more than 12 million visitors.

The main products sold are decorations and groceries. Interesting also to point out that Italians like those markets for the atmosphere, for the traditional food and also the entertainment through concerts, exhibitions, and fireworks.

In conclusion, those markets give a positive effect to the economy and generate a business that, at least in Italy, represents about 8% of the total expence made for Christmas (about 9 billion Euro). It is also a good occasion to rediscover local traditions.

So...long live Christmas Markets!

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Reportage from Bangalore: plus and minus of an incredible growth

In October I had the opportunity to spend three weeks in India. I stayed in Bangalore, the capital of the State of Karnataka. With a population of 8.5 millions, Bangalore is the fourth largest metropolitan area in India, after Mumbai, Delhi and Chennai and it is the second fastest growing major metropolis after Surat.

Kempfort Shiva - Bangalore

Above all, Bangalore is the "Silicon Valley of India". It represents  the hub for many IT Companies: for instance, the Headquarters of Infosys and Wipro, the third and fourth largest software Indian Companies are located there. Bangalore also hosts Business and Technologic Outsourcing Centers of many corporations such as ABB, Boeing, Google, Hp, IBM, Nokia and Philips. This makes Bangalore the first outsourcing destination in the World according to Tholons Top 100 Outsourcing Destinations.

A new business center

It is useful to point out that Bangalore has always represented one of the most high-tech city of the region: for instance, it has been one of the first city in Asia to have electricity.

The economic growth of the last ten years has deeply touched this city. With $83 Billion per year and an annual growth of 10%, this metropolis is currently the fourth contributor of the Indian GDP after Mumbai, Delhi and Kolkata.

Which are the most significant outcomes of this incredible growth?

The economic development has attracted people from different parts of India for the opportunities to easily get a job. The immigration has completely changed Bangalore: more buildings have been erected, taking away green spaces; moreover, almost everybody had been able to buy a personal vehicle so traffic and pollution became the first evident effect of the growth. In fact, Bangalore is in the top-10 most polluted cities in India.

Traffic in Bangalore

From the other side, prosperity has meant better condition of life, more professional and educational opportunities but, at the same time, also the increase of inequality. It is very common to see poverty and opulence in the space of few meters in the same street.

The wealth is also evident looking at the boost of the Income per capita: in 2000 in the state of Karnataka it was around 17.500 Rupees (250 Eur), now it is around 77000 (about 1000 Eur) - Per Capita Income of India. Also the cost of life is not as low as it could be expected, but actually comparable to the Eastern Europe: Bangalore is the third most expensive city in India after Dehli and Mumbai.

A cow in the street

Bangalore shows positive and negative effects of its economic growth. Even if it is considered one of the best city to live in India - for the business opportunities, the nightlife and the climate - it presents many contrasts. It is possible to find a nice street or beautiful temples and then, suddenly after the corner, seeing some cows browsing in the garbage.

Finally, in every big city in Europe we can see social and environmental imbalance, but in Bangalore those elements seem multiplied by 100 folds.
Anyway, quoting the former Indian Prime Minister Manmohan Singh about this modern megalopolis: "Bangalore is a brand the world identifies India with. It is also the single biggest reason why India has become such a hot investment destination".

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Who is the new President of Romania?

Recently a presidential election took place in Romania. In the first round, the Prime minister and leader of the Social Democratic Party Victor Ponta won with 40% of the votes, whilst Klaus Iohannis, leader of the Liberal National Party got 30% of preferences. The situation changed at the run-off: also after the protest on how Ponta's government organized the elections and in particular the Diaspora voting: Iohannis won with 54.5%. 

Klaus Iohannis focused his campaign on judicial independence and fiscal relaxation, offering a more liberal proposal against Ponta government, criticized also abroad for the corruption of the political system. He also built a very good reputation during the long period as major of Sibiu, in Transylvania Region, today one of the most touristic place in Romania and former European Capital of Culture (in 2007).

The figure of Klaus Iohannis is extremely interesting for two main reasons. First, he is Lutheran in a Country where the 86% of people are Orthodoxies (around 17 millions). Secondly, he is part of the Transylvanian Saxons, the German minority that is composed by 36 thousands persons.

In every Country the relation with minorities is not easy and in Romania it is well known the problem with the Hungarian minority, that set up a group of 1.2 million of people. The idea that an exponent of two minorities can become President of its State is a remarkable lesson of civilization and modernity, especially for a Country often considered low civil-minded.

Of course, the judgment will be given on the actions and on the results that the new President will get in the next five years. On some newspapers it came out the comparison with the election of Barak Obama: it is unlikely, but for sure the Obama lesson is that we have always wait the results got, before evaluate a politician. Nevertheless, elections like that can be considered not just interesting, but somehow, historical. 

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What is the economic relation between Poland and Russia?

In the last months, during the Ukrainian crisis, Poland and Russia have been strongly opposed. Warsaw has firmly supported Kiev against Putin interference. But the position of Poland has deeply exposed itself to the ban of import of some products decided  by Putin.

Even the contraposition between Poland and Russia has solid roots in the history, this has not prevent both the Countries to have a natural economic connection.

Which is the economic relation between Russia and Poland?

Russia is the fifth economic partner of Poland: more than 5% of total polish export goes towards Moscow for an amount of 9 billions of dollars per year. An important item is represented by apples that are the 27% of total apples imported in Russia. 

Instead, Warsaw mainly buys from Moscow oil (93% of the total) for a business of around 17 billions of dollars per year. The rest of oil comes from Norway (3,23%), Kazakhstan (2,07%) and Tunisia (0,45%) (Source: Observatory of Economic complexity).

Those numbers explain why the ban of fruit import decided by Putin in August has so deeply touched the economy of Poland. By the way, Poles have answered proudly with a movement born on Social Media: "Eat apples to annoy Putin" ,inviting to eat polish apples as protest against the President of Russia.

Finally, it is interesting to notice that the anti-Russian position has been hold against economical interests. Poland has paid economic consequences, but it has also had frictions with some European Partners. It is interesting to see that sometimes values seem more important than money.

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The referendum in Scotland: the end of the State?

On Thursday 18th September 2014 it will take please the referendum for the Independence of Scotland. The 9th of November it is planned a similar referendum in Cataluña.

Scotland 2014

From some electoral polls, it seems that in Scotland there is a majority for the Independence (51% vs 49%) and the attention of the media is focused on the possible scenarios after the vote.

States with a long history as Spain and United Kingdom, but also Italy and Belgium, are deeply touched by internal conflicts. What's happening? Is it really coming the end of the State created five centuries ago?

It is hard to give an answer, but it seems clear that two forces are eroding the authority of the States. The first one, is the globalization. This phenomenon has broken the borders, creating communities, facilitating transnational business, mixing the cultures. The dynamics born by the globalization cannot be controlled by the State, that actually is eluded. The second element to consider is the rebirth of regionalisms. This could be also seen as an answer to the globalization and the loosing of local traditions.  

The economic crisis and European Union have further weakened the State, unable to solve the problems of the population and constantly losing its power. 

It seems that we are crossing a period with too many social and economical problems, and that the State, the National Governments cannot face them anymore, because the origins and maybe also the solutions are outside their borders. Moreover, it is probably easier for a region to become autonomous and staying under the umbrella of the European Union. 

Regional movement are developing everywhere. But it seems that in Scotland we are assisting to a fundamental moment, not just for the history on United Kingdom.

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Few considerations after Tusk election as President of European Council

The 30th of August 2014 Donald Tusk has been nominated President of European Council. He will replace Herman Von Rompuy, President since December 2009.

The President of European Council is an important role in the Eu Institutional Framework: he/she is the principal representative of the European Union on the World stage and the person presiding over and driving forward the work of the European Council.

Simplifying, if European Union was a State, the Parliament and the EU Council could be the two branches of the Legislative Power, the Commission could represent the Government and the European Council (the college of Heads of State or Government of EU member States as well as the President of the European Commission) could be compared to the Head of State.

It will be interesting to see in the next months which consequences this designation will bring to Poland and, generally, to Europe. 

Two are the main fields to observe. First of all, the economy: Tusk is very close to the positions of Angela Merkel, that means a development with fiscal strictness and no space for more flexibility that Countries like France or Italy would like to have. Moreover, Tusk will preside over the Euro summit even if Poland doesn't have Euro yet. Will Tusk election push Poland in Eurozone? How the new President will manage the conflicts inside the European Council about the economic rules of the next years?

The second area of interest will be the foreign policy. Tusk is considered, for example, a hawk in the relations Eu - Russia. Will he persuade Eu to adopt a more rigid position against Putin? Or the new Miss Pesc Federica Mogherini will balance him (as she is considered a dove)? How will other Countries pro-Russia (as Hungary or Cyprus) react in a possibly cooling of the relations with Putin by the Eu?

Those are just conjectures. Probably nothing will really change inside the European Council, where States still have the last word. But for sure Tusk designation gives a new face at the European Union. It is the first time that a such important office is committed to a political exponent of a Eastern Country, exactly ten years after the Eastern Enlargement of Eu. For Poland, getting this role is definitely an honor and a recognition of its strategic importance and constantly increasing power inside Europe. Without forgetting the designation of Elzbieta Bienkowska as European Commissioner for the Internal Market, Industry, Entrepreneurship and SMEs, another fundamental role in the European political arena.

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Which is the best way to have a low-cost holiday? Third: the accommodation

In the two previous posts, I analyzed the ways to have a low-cost holiday choosing the cheapest destinations and the cheapest transportation.

In this post, the final one of the trilogy (!), I want to put in evidence the ways to save money for the accommodation. There are many possibilities, from the classic hotel to the camping, but I would like to focus about two main (and cheapest) options: the hostels and Couchsuring.

A classic dormitory in a hostel

The first hostel was created in Germany in 1912... Nowadays there are more than 4500 hostels all over the World. Hostels offer cheap accommodation, usually in a dormitory with a variable number of beds. People choose hostels for saving money but also for the environment. There are usually open spaces in which the guests can interact each other and hostel can become not just a place to sleep but also a place to meet people and sharing experiences.

If hostels can look too expensive, there is always the possibility to sleep somewhere else for free, thanks to Couchsurfing. This is a hospitality exchange and social networking website. People can offer a couch to sleep (for free) or, if they don't have place available, they can just offer a coffee and maybe a tour of the place they live.

Couchsurfing is present almost everywhere, with more the 3 millions of users. It is very common in Europe and Us, but we can find couchsurfers also in China, Russia, Australia and Brazil. Despite few negative episodes, the network of couchsurfers is safe and hosts reliable. It is interesting to notice the average age is 28 years, the 71% of members speaks English, the 20% are from United States. The common values are social integration, anti-discrimination, open-mindedness.

Couchsurfers in the World

Finally. which is the best way to have a low-cost holiday?

I would say that it depends from your budget and from your open-mindedness. If someone has a very little amount of money, the option couchsurfing + hitchhiking gives the opportunity to spend money just for food, not giving up to an holiday.

After all, the most important thing is that if you really want to travel, to visit places and to share experiences, you don't have to be rich, you just need to be open-minded, and maybe a little bit daredevil.

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