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"We aim to be at least in the top three, with
regard not only to the different sectors that
animate the cable industry, but also to the
different geographical areas in which the
market is segmented," replies Romeo. "If
we draw a line and do the sums we are
already the global number one, but we
want to be top in the individual segments,
especially the higher value-added ones
or those offering key positions including
geographically."
"We are indeed strong, with about 50% of
the European submarine cables market. But
you must remember that Europe is a special
case, both for the impetus behind these
projects, and for its geography, favourable to
long submarine links that can bring energy
from centres of generation to centres of
consumption. In other parts of the world, a
number of important developments could
present themselves in South East Asia."
Because it was the right time. We must
remember that the sector in which we
operate is quite anticyclical, with recessions
affecting cable demand 6-12 months later;
what's more, we have strengthened our
businessinaveryparticularnichetechnology,
where specialisation makes the difference,"
notes Romeo. "In the future, growth outside
Europe will be important, with the goal of
raising market shares of around 15% now to
30% in those regions or market segments
that count."
"Telecommunications,wherebeinginthetop
2 or 3 in the world with our optical cables is
definitely an important goal," states Romeo.
"However, at a sector level, the global market
for elevator cables is very attractive, where
Prysmian is very strong and aims to raise
its share to over 25%. At a geographical
level, we are looking at the MEA region with
great interest and its likely infrastructural
developments."
"Today the global market, and not only with
regard to the cable industry, is quite over-
invested, and it may not make too much
economic sense to add to capacity. If this
continues to be the case, acquisitions would
seem to be preferable, also because good
opportunities could present themselves in
the current economic climate."
Howwill this strategy take shape in comingyears,
and with what objectives?
One area in which Prysmian is already very
strong is that of submarine cables and systems,
particularly thanks to European projects:
how do you plan to leverage this competitive
advantage globally?
Why the decision to build up the Oil & Gas
business at a time when the sector is suffering
from an oil price slump?
What areas could show the greatest
development in the near future?
But for growth, is it preferable to rely on
new investments to produce more in new
markets or are acquisitions preferable?
The Prysmian Group's growth strategy
is based on a customer-centric market
approach, which has resulted in Prysmian's
global leadership and achievement
of a particularly impressive financial
performance, not least in 2015.
Chief Strategy Officer
Fabio Romeo