There is an industrial park lot located at the Sofia Bourgas road and I-5 (Svilengrad Rousse). The location provides easy access to all types of transportation: road, rail, and air. The closest port is only 80 kilometers away. It is here that the municipality of Stara Zagora decided to develop and market the site to investors, private companies, and foreign trade representatives.

Stara Zagora has traditions in the manufacturing of electronic components and precision devices and in machine building, robotics, and controlled-environment manufac turing processes. Until 1990, the municipality was home to the Disk Storage Devices Plant and the Beroe Robotics and Electronics Plant, which provided employment to 15,000 individuals. Later, these companies were privatized, reducing their output dramatically and laying off a significant number of their employees. In time, the electronic components and precision device building gave way to commerce, motor vehicle repair and maintenance, and the manufacturing of personal and household goods. These industries currently account for 51 per cent of the municipal economy.

Although the industrial park site has been in use for several years, there is little information, especially outside Bulgaria , on land size, price, and existing infrastructure, Investors cannot find standard information, which forces them to look elsewhere. The development of an industrial park is an attempt by the municipality to encourage investment in environmentally friendly, science-based industries in which the municipality has traditions, and to harness educational and market potential. Vocational schools in electronics, electrical equipment, and mechanics are available to train specialists for these industries. The nine vocational schools in the city train 5,100 students. The industrial park would provide new job opportunities for a trained workforce.

In January 2004, specialists from the municipality of Stara Zagora and the Regional Eco nomic Development Agency, together with U.S. consultant Brian McGowen from the city of Ontario , California , visited the site of the proposed industrial park. Based on the analysis of the situa tion, the team decided to encourage the following environmentally friendly industries:

High technology (electronics)

Precision device and machine building and household appliances

Medical equipment.

The partnership team created a strategy for the development of the industrial park, including the following tactics :

Identification of preliminary land prices.

Procurement of all documents needed for the further development of the park / land use change , a drawing illustrating lot location and infrastructure , aerial photos, and a hydrogeology survey

Placement of information and direction signs around the park .

At the same time, the team developed a marketing plan for the promotion of the industrial park. The plan incorporated the following strategies :

A survey of existing businesses . To implement this strategy , the team included the devel opment of a municipal business profile , as well as joint business retention and expan sion efforts of the municipality of Stara Zagora and the Regional Economic Development Agency , the Chamber of Commerce and Industry , the Industrial Associa tion, and other organizations to identify existing companies that would need to expand in the park.

Development of strategic relations. The team focused on contacts with representatives of foreign chambers of commerce in Bulgaria , as well as with Bulgarian foreign trade representatives abroad, investors who have already located in Stara Zagora , and contacts with twin cities.

Participation in trade shows in Bulgaria and abroad.

Organization of special events, such as visits of potential recruits and encouragement of foreign delegations visits.

Promotion in the media; by e-mail or mailing of letters , brochures , promotional materials and; via invitations for visits by the Mayor to potential investors . The focus of the market ing program was on developing information about the industrial park, its promotion through a Web site, publication of a brochure on the industrial park, and advertisements in specialized magazines.

December 2003: The municipality formed a team comprised of the Economic Policy, Municipal Property and Environment Director; the Chief Architect; the Chief Engineer; the communications, roads, water and sewer, and gas supply experts; the local economic development expert; and the municipal environmental expert. Experts from the Stara Zagora Regional Economic Development Agency were involved as consultants.

January 2004: With the assistance of Brian McGowen, Economic Development Director of Ontario , the team developed a strategic marketing plan that identified goals, priorities, strategies, tactics, responsible persons, timelines, and budget.

April 2004: Stara Zagora participated in the Hanover Trade Show in Hanover , Germany , to promote investment in the municipality and Bulgaria .

May 15 19, 2004 : The municipality participated in the CoreNet Global Summit in Chicago .

The program for the promotion of the Stara Zagora Industrial Park and the start of its implementation were completed within seven months . It is estimated that filling all lots in the park will require approximately five years. However, it is hoped that the implementation of an aggressive marketing strategy will reduce this period.

On the industrial park development strategy :

Land price has been estimated at US$ 10/ m ² . Because the proposed site is the most attractive municipal lot , the partners decided to adopt a higher price that would be negotiated with potential recruits .

The hydrogeology survey has been contracted out and is in process .

Of the 150 decares allocated , 113 decares are agricultural land , which requires a land use change . The municipal specialists decided to divide the 113 decares into four lots, which was necessary to initiate the procedure at local level. Detailed development plans have been elaborated for two of the lots of 39.41 and 39.5 decares, respectively. The land has been graded, and the required permits from the Hygienic Inspectorate and the Regional Inspectorate of Environment and Water have been obtained. The same procedure is currently being applied to the remaining 63.2 decares .

The municipality can complete preparatory work within 3 to 12 months .

Aerial photos have been obtained and the site has been divided into lots.

Preparations for the placement of information and directional signs have been initiated.

On the strategic marketing plan for the promotion of the industrial park :

A brochure in English was published with FLGR s financial support . The brochure presents the business climate in the municipality and is targeted at potential industrial park investors .

The brochure was presented at trade shows in Hanover and in Chicago .

PowerPoint presentations were developed for the trade shows in Hanover and Chicago .

At the invitation of Ontario , Stara Zagora participated in the CoreNet Global Summit in Chicago , May 15 19, 2004 . The municipal representatives had more than 30 meetings with business representatives and consulting companies, all of whom demonstrated an interest in Bulgaria . They were interested in the political situation in the country, the average salary in the region, and workforce skills. As a result of these meetings, Stara Zagora already has a request regarding the development of strategic business relations and business relocation to the municipality.

Invitation letters from the mayor to local businesses and foreign business managers from CoreNet Global Summit Chicago are being developed .

Letters have been written and the industrial park brochure is to be mailed to investors in the country and abroad .

Meetings were held with staff from CoreNet Global to discuss the possibility of holding a CoreNet conference in Bulgaria . CoreNet conducts several conferences around the world each year. CoreNet staff were invited to visit Bulgaria in the fall of 2004 following a CoreNet conference in Budapest .

An electronic version of the brochure is available at http://www.szeda.bg/ , the Regional Economic Development Agency Web site http://www.city.starazagora.net , the municipality of Stara Zagora s Web site, and at http://www.invest.bg/ .

With regard to the development and the promotion of the industrial park, the effects of Stara Zagora s joint work with the U.S. expert from the city of Ontario , Brian McGowan, were the following :

A marketing strategy for business recruitment was developed .

The industrial park development program was updated .

Stara Zagora participated in CoreNet Global Summit Chicago and established valuable contacts with U.S. business representatives and consulting companies.

An active media campaign resulted in an improved image of the municipality as an institution seeking dialogue with local businesses , committed to economic development and to improving the quality of life in the city .

Conclusion

Stara Zagora s involvement in FLGR s Local Economic Development and Marketing of Bul garian Municipalities Project has resulted in a change of not only the municipal administra tion s structure, but also in the mindset of its staff. Although investor identification and recruit ment is a tough and lengthy process, Stara Zagora is committed to achieving good results based on the knowledge accumulated, well-coordinated teamwork, implementation of a proactive marketing strategy, and application of a consistent municipal business policy.