Romanian Business Owners Show Cautious Optimism on Economic Outlook

The results of the Business Evolution Barometer 2024 reveal a clear picture of the business climate in Romania, indicating a predominantly optimistic, but cautious, attitude towards the prospects of economic developments this year.
Although 61% of respondents anticipate an increase in turnover, 27% predict a decrease, and 12% estimate that it will remain constant, showing that economic uncertainties determine moderation in development planning.
In terms of profit, 64% of participants forecast an increase, with a significant proportion (20%) expecting an increase of 10%-20%, reflecting an optimistic view. At the same time, only 23% anticipate a decrease in profit, and 13% believe that it will remain at the current level, signaling a dose of caution in the face of economic challenges.
The comparative analysis by region highlights local differences in confidence in the positive evolution of the economy: cities such as Suceava (44% confident) and Craiova (38%) are among the most optimistic, while Satu Mare is more skeptical, with only 18% confident.
In terms of growth strategies, expanding into new local markets was essential for 67% of companies in Bacău and 37% in Suceava, while in Constanța, opening new distribution channels was a priority for 39% of respondents.
1. Confidence in the positive evolution of the national economy
The results of the study The results of the study show that the level of confidence of the business people who participated in this study in the positive evolution of the economy in 2024 was moderate, with a general tendency of caution, as 42% chose negative response options, 21% neutral and only 37% positive ones. This distribution of responses may indicate that, although some economic opportunities are recognized, a cautious attitude prevails. clearly shows that the level of confidence of the business people who participated in this study in the positive evolution of the economy in 2024 was moderate, with a general tendency of caution, as 42% chose negative response options, 21% neutral and only 37% positive ones. This distribution of responses may indicate that, although some economic opportunities are recognized, a cautious attitude prevails.

Data shows notable variations across cities regarding respondents’ confidence levels. The highest percentages in the “not confident at all” category were recorded in Craiova and Constanța (14% and 13%), while the lowest were in Satu Mare and Bacău (10%). For “slightly confident,” Craiova and Satu Mare showed the highest values (35% and 34%), in contrast to Bacău and Constanța, where these were lower (23% and 22%).

In the “somewhat confident” category, Satu Mare stood out with a high of 36%, followed by Bacău (30%) and Constanța (29%), while Suceava recorded the lowest value (6%). For “confident,” Suceava had the highest value at 44%, followed by Craiova (38%) and Bacău (33%), while Satu Mare had the lowest confidence at this level (18%). The “very confident” category showed relatively consistent values, between 2% and 5%, with Constanța and Craiova highest (5%) and Satu Mare lowest (2%). These results highlight perception and attitude differences between regions, with respondents in Suceava and Craiova being more optimistic, while those in Satu Mare displayed greater skepticism.

Overall, this low absolute confidence may reflect caution amid persistent uncertainties surrounding the macroeconomic context and domestic challenges, suggesting that business leaders preferred realism and caution in 2024.

  1. Projected Revenue Growth Regarding projected revenue growth, 61% of respondents anticipated an increase, with the largest share (18%) expecting growth between 10%-20%, followed by 16% estimating 5%-10% growth, and 14% predicting a more modest 1%-5% increase. These figures indicate a generally optimistic outlook, with a significant portion expecting positive developments.

On the other hand, 27% of respondents anticipated a decline in revenue, with some variation: 6% expected revenue to drop by over 30%, and the same percentage forecasted a 1%-5% decline, while 5% projected drops between 5% and 30%. Only 12% expected revenue to remain stable, suggesting some caution amid economic shifts.

City-level analysis showed significant variations in revenue expectations. Satu Mare had the highest percentage (9%) in the “decrease by 30%” category, followed by Suceava at 7%, while Bacău recorded the lowest value (0%) for this response, reflecting a less pessimistic view. In the “decrease by 20%-30%” category, the highest values were in Bacău (10%) and Constanța (11%).

For the “remain about the same” category, Satu Mare had the highest value at 22%, indicating a significant proportion expecting stability. For modest growth of 1%-5%, the highest percentages were in Satu Mare (19%) and Bacău (17%).

A more pronounced optimism existed in Craiova (25%) and Bacău (23%), where respondents expected 10%-20% revenue growth. The highest projected increase above 30% was seen in Craiova (8%) and Constanța (6%), while Satu Mare and Suceava had the lowest values at 2% and 5%, respectively. This diversity reflects regional differences in optimism and skepticism regarding future economic developments. Overall, the dominant trend is growth, though there is also a cautious and even pessimistic segment, reflecting a balanced outlook between optimism and caution.

  1. Profit Growth Projections Data on projected profit growth for 2024 shows that, overall, 64% of respondents anticipated an increase, with the largest share (20%) predicting growth between 10%-20%, followed by 16% expecting growth of 5%-10% and 16% forecasting a more modest 1%-5% increase. These figures suggest a predominantly optimistic attitude among respondents.

Only 23% of respondents expected a decrease in profit, with 8% estimating a 1%-5% drop, and 4% forecasting a decline of over 30%. Additionally, 13% of respondents anticipated profits would remain about the same, reflecting caution in the face of economic changes this year.

City-specific analysis reveals differences in profit expectations. For example, Satu Mare has the highest percentage (24%) in the “remain about the same” category. For 1%-5% growth, Bacău recorded the highest percentage (23%), followed by Constanța (18%), suggesting a moderate growth expectation.

Higher optimism appeared in Suceava (25%) and Bacău (23%), where respondents anticipated profit increases of 10%-20%. The highest values for growth above 30% were recorded in Constanța (7%) and Craiova (6%), while Satu Mare and Suceava had lower optimism, indicating a more tempered outlook.

  1. Employee Growth Projections Data on projected employee growth for 2024 highlights numerous city-level differences, reflecting optimism and caution alike. Out of 677 responses, 32% of respondents anticipated employee numbers in 2024 would stay about the same as in 2023, 43% planned to expand teams, and 25% expected reductions.

A moderate increase in employees, of 1%-5%, was anticipated by 24% of respondents, but Suceava had 33% in this category, making it the most optimistic city. High growth rates (5%-10%) were found in Satu Mare (15%), suggesting a more dynamic hiring outlook in this region.

The highest percentage in the “decrease by 10%-20%” category was in Constanța (9%), followed by Bacău and Satu Mare, both with 7%. In the “decrease by 5%-10%” category, Bacău and Constanța had the highest values (10% and 9%), reflecting uncertainties tied to regional economic outlooks.

Overall, the data suggests a moderate trend toward employee growth, with a cautious approach across most regions, and variations that highlight balanced perspectives between maintaining and expanding workforce levels depending on the economic specifics of each area.

  1. Actions Driving Sales Growth Results from the barometer regarding actions that contributed to company sales growth in 2024 reveal significant differences across the analyzed regions. In Bacău, the largest proportion (67%) of respondents cited expansion into new local or international markets as the main growth driver, followed by increased investments in marketing and communication (57%) and adding more products/services to their portfolio (57%).

In Constanța, opening new distribution channels was essential for 39% of respondents, along with expanding the product/service portfolio (48%), reflecting an approach focused on adapting offerings and broadening consumer access.

Expanding sales into new markets and opening new distribution channels were main growth strategies in Suceava (37% and 34%) and Satu Mare (34% and 25%). Suceava also stood out with a high proportion of companies opting to lower prices (25%) to boost sales.

Meanwhile, companies in Craiova focused on increased marketing and communication investments (51%) and adding more products/services (46%), suggesting a growth strategy based on brand consolidation and product diversification.

Mergers with competitors to increase market share were more frequently mentioned in Satu Mare (28%) and Bacău (20%), indicating a trend toward consolidation in these regions. Generally, marketing strategies, diversification, and new distribution channels are the main growth engines for companies in these cities, with some differences based on local dynamics.

Business Evolution is the conference road show organized for over 16 years by Doingbusiness.ro for the development of the business environment in Romania and which promotes solutions and ideas, coming from the most performing companies, their leaders and specialists. The mission of Business Evolution is to explore solutions and resources for the sustainable development of companies in the context of current challenges. The topics of debate often include financing and digitalization of companies, the use of AI in sales and marketing, strategies and tactics for increasing sales or motivating employees, adapting to the constantly changing requirements of customers and the market.
For the 2024 Business Evolution Barometer study, responses were collected from entrepreneurs and business people who participated in the Business Evolution conferences organized by Doingbusiness.ro in 2024 in: Craiova (April 3), Suceava (April 24), Satu Mare (June 11), Bacău (September 25) and Constanța (October 15).
Almost 800 managers and entrepreneurs from companies with a turnover between 250 thousand euros and over 500 million euros participated in these events. To carry out the research, responses to a questionnaire consisting of 12 questions were collected. The 677 responses collected came mainly from respondents from urban areas.
Demographic data are detailed at the end of this report. The data provides a clear picture of the evolution of turnover, profit, number of employees and other important aspects of the local business environment in the municipalities where the conferences took place, as well as in neighboring counties. The comparative analysis highlights the particularities of each region and provides perspectives for 2024.
Business Evolution Barometer 2024business ownerscautiousdeclineDoingbusiness.roemployeegrowthnational economyoptimismRomaniasales
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