Product Synopsis
This report is
the result of SDI's extensive market and company research covering the Romanian
defense industry, and provides detailed analysis of both historic and forecast
defense industry values including key growth stimulators, analysis of the
leading companies in the industry, and key news.
Introduction and
Landscape
Why was the
report written?
The Future of the
Romanian Defense Industry - Market Attractiveness, Competitive Landscape and
Forecasts to 2018 offers the reader an insight into the market opportunities
and entry strategies adopted by foreign original equipment manufacturers (OEMs)
to gain a market share in the Romanian defense industry.
What is the
current market landscape and what is changing?
Romanian defense
expenditure increased at a CAGR of -6.59% during the review period and values
US$1.7 billion in 2013. The focus of the Romanian government will be on
modernization plans constituting the procurement of more advanced military
equipment with improved technology; active participation in NATO (North
Atlantic Treaty Organization) along with joint operations with other countries;
participation in peacekeeping missions; and participation in border security
measures.
To
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What are the key
drivers behind recent market changes?
Modernization of
military equipment with improved technology; active participation in NATO
(North Atlantic Treaty Organization) along with joint operations with other
countries; participation in peacekeeping missions; and participation in border
security measures.
What makes this
report unique and essential to read?
The Future of the
Romanian Defense Industry - Market Attractiveness, Competitive Landscape and
Forecasts to 2018 provides detailed analysis of the current industry size and
growth expectations from 2014 to 2018, including highlights of key growth
stimulators. It also benchmarks the industry against key global markets and
provides a detailed understanding of emerging opportunities in specific areas.
Key Features and
Benefits
- The report provides detailed analysis of the current industry size and growth expectations from 2014 to 2018, including highlights of key growth stimulators, and also benchmarks the industry against key global markets and provides a detailed understanding of emerging opportunities in specific areas.
- The report includes trend analysis of imports and exports, together with their implications and impact on the Romanian defense industry.
- The report covers five forces analysis to identify various power centers in the industry and how these are expected to develop in the future.
- The report allows readers to identify possible ways to enter the market, together with detailed descriptions of how existing companies have entered the market, including key contracts, alliances, and strategic initiatives.
- The report helps the reader to understand the competitive landscape of the defense industry in Romanian. It provides an overview of key defense companies, both domestic and foreign, together with insights such as key alliances, strategic initiatives, and a brief financial analysis.
Key Market Issues
- The Romanian economy went in to a deep recession in 2008 jeopardizing the growth it had witnessed in earlier years. Following the global financial crisis, EU and NATO countries decided to reduce their military spending. The crisis led European states to take measures such as decommissioning 160,000 soldiers during 2009-2011, to maintain effective armed forces in times of economic austerity. The Romanian government also announced various unpopular austerity measures including public sector restructuring, spending cuts for the interior and defense ministries, and expenditure cuts, including a 25% cut in public wages and 15% drop in pension and social benefits in the 2010 budget.
- Eastern European countries, including Romania, have historically featured high levels of corruption. After gaining membership in the EU and NATO, Romania introduced important economic and legislative measures to attract foreign capital, and adopted legislation to reduce corruption, for example, legislation requiring politicians to disclose information about their assets, a law governing conflicts of interest for government officials, and a law regulating the financing of political parties.
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Key Highlights
- Many international defense equipment manufacturers enter the Romanian market through acquisitions and alliances. The privatization of the Romanian defense industry provides foreign OEMs with further opportunities to enter the market. Market entry through the acquisition of a domestic company is a popular entry route into the Romanian defense industry, and many companies have followed this route.
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