Oleg Lavrik was the head of the company, which became the representative of the legendary Polaroid brand in the "new" Russia of the 90s. Then this miracle of photographic equipment was called a breakthrough, and the Polaroids quickly won hearts around the world. Since then, much has changed. Now Oleg Lavrik is the president of the IMEX group of companies and the managing partner of the IMEX Real Estate, which has been successfully operating in Dubai for more than ten years. In an interview with our publication, he told how his business career was developing in Russia and in the UAE, and how he saw Dubai in the already distant 90s.
Oleg, we are in the office of the company that you created yourself from scratch. Yet people who do business have a special character. Tell us how you understood that you want to be a businessman?
Yes, you said correctly, businessmen are people of a special warehouse. It seems to me that these are generally active people who are sensitively capturing trends both in society and in the market. Some people are excellent performers, while others strive to lead, make decisions, although this, of course, is not an easy path associated with multiple risks. Responsibility is much higher, there is no time frame at work. You cannot work “from” and “to”, close your office and be free. Having embarked on the path of entrepreneurship, a person works almost 24 hours a day and looks at many things through the prism of how they can come in handy in his work and whether they can spill over into a new direction of activity. My desire to become a businessman was formed in the very distant years.
In 1986, I entered the Moscow Institute of Electronic Technology with a degree in electronic engineering, that is, my education was far from the concept of business. But already when I was in my third year, the country turned from the course of building socialism and communism, rapid changes began to take place in society, including economic ones, I wanted to improve my skills. He graduated from the courses and defended his second diploma on a topic related to international marketing. A few years later he received another diploma, the Russian analogue of the MBA, with a degree in economics and finance director at the Academy of National Economy under the Government of the Russian Federation.
It turns out that it is not necessary to study at the faculty of business in order to subsequently become a successful entrepreneur.
Very desirable, especially now. However, if a person has the basic baggage of knowledge and ability, he will sooner or later come to the right decisions and go on the desired path.
Studying at the institute, I always sought to learn more about the basics of entrepreneurship, broadened my horizons. My handbook was Philip Kotler's Basics of Marketing. After graduation I had to work under a contract at one of the Russian enterprises, but they were very happy there that I did not come to work. It was 1992, widespread layoffs, and they did not need another “green” specialist. Then there was a time of searching, I was looking for myself, what I want to do. This search coincided with a situation of total deficit, chaos, when the authorities simply said to people: "Do what you want." I remember how Tverskaya Street in Moscow turned into a continuous shopping arcade, where they sold everything in a row. I tried myself in different directions, until the following happened at one of the enterprises with which I collaborated: as a result of incomprehensible relations between the founders, it was left without a director, and I was assigned to this position. They literally told me: "You are the director, now you make decisions."
That is, in fact, you began your journey in business right away with the director of the enterprise?
In fact, I stood at the head of an enterprise that was not there. I had no employees, subordinates. There was only a print, a small office in the basement. At first, I looked at everything with big eyes, in particular, when I visited tax inspectorates or when I studied reporting, I checked bookkeeping. I had to redo a lot, work around the clock, and only gradually it all happened in the enterprise.
But the team did you then appear? What kind of people are these?
My team has been forming since the very first company I created. These people are with me now. The most interesting thing is that the management of the IMEX group of companies is my comrades, with whom I studied together at the institute. I am very grateful for the trust they have shown to me and are showing.
So, you have become an entrepreneur. What kind of company was that?
We tried ourselves in various fields of activity and as a result, began to engage in photo business. This is the supply of photographic equipment, supplies to the Russian market. The first sign was a dealer company that worked with the exclusive distributor of the Polaroid brand under the name Svetozor.
It was a breakthrough. Then people had to film, develop, then print. And Polaroid took instant photos. This business developed rapidly against the background of an absolute emptiness in the market. There was a feeling that if you had minimal working capital in those days, then, having analyzed the needs of the market, you could throw any grain into the soil, and it would give enormous seedlings. The returns were tremendous.
What happened after Polaroid?
We developed this business until the mid-90s, delivered from Europe, and were actively engaged in import. But at some point, it was necessary to change the direction of activity, we and consumers understood that Polaroid is not the most ideal camera. He had limitations in both quality and cost. So we began to engage in photographic equipment Kodak.
However, already in 1997, it became clear that the prospect of photo-business was becoming “digital," and a number of computer companies had already formed in this market that had already mastered this narrow segment. In this situation, it was necessary either to pursue an aggressive policy or to look for something new. At this time, we have already worked out several options for new activities. We visited exhibitions, went on business trips around the world. And on one of these trips to South Korea, they decided to engage in the supply of wiring products. This enterprise is now the largest in the entire group of companies.
The Moscow office has 50 employees, there are large warehouses. Our company has been awarded the Ministry of Economy of South Korea as the largest importer. We are an exclusive supplier of Panasonic wiring accessories. The company is one of the five importers to Russia of lighting equipment and wiring equipment, which are sold in network and construction stores.
Let's talk about Dubai. Why did you decide to do business here after some time? How and when did you first come here?
The first time I came here in 1995, during the existence of companies associated with the photo business. We had very good Kodak partners in Dubai, and we were actively engaged in deliveries to the Russian market and the CIS countries. In 1998, a crisis occurred in the country, and we again began to look for new areas of activity. And due to the fact that we already knew and understood the Dubai market, and the UAE seemed a country of great opportunities, we decided to study this market from the other side, diversify our business, create a more flexible and independent enterprise. We studied the pros and cons, limitations and risks, and then in 1999 opened the first company in Dubai in the field of computer technology.
Let's go back to 1995 when you first arrived in Dubai. What was he like then? What impression did you make?
Then we were accommodated in a hotel in the Bur Dubai area. Around - solid dunes, sands. On the Sheikh Zayed highway, only one of the high-rise buildings was erected - the World Trade Center. Here, where the IMEX Real Estate office is located today, in JBR, there were five hotels on this very site, between them there was an open beach.
There were no canals in the Dubai Marina area, only open space and several small hotels. The expressway connecting Dubai and Abu Dhabi was a narrow road with a lot of speed bumps. In general, today's metropolis of Dubai was then completely different.
Then how did you get the idea to do real estate here?
That was in the early 2000s. Then we were invited to the showroom of the development company Emaar, which was then in a deserted place where Dubai Marina appeared in the future. Compared to the sands around in this showroom, we saw an impressive performance. On the big screen, they showed beautiful videos telling about the many communicative prospects of the Dubai real estate market. We were told how Dubai will become a fairytale city.
Then it was in doubt, but now we see it all with our own eyes. However, despite the fact that it was clear to me - this is a promising and substantial direction - then I did not rush into the real estate business without looking back. I collected information, analyzed it. The fact is that as such there were no laws affirming the right of ownership, then there were only decrees and articles. Therefore, I could not rush to the start of this business.
In my opinion, the main thing in a real estate business is the trust of clients. I did not want to risk this resource even for the sake of momentary benefit, I always gave them true information about the laws of the UAE and about the prospects of the market. In the long run, this has provided our company with the trust of regular customers. The development strategy of any business: someone goes for risky operations, someone starts new business more carefully. In general, as a result, in Dubai, under my leadership, the IMEX Real Estate appeared, which then became the exclusive representative of Emaar in Russia.
As a person who can compare entrepreneurship in Russia and the UAE from their own experience, what are the pros and cons of doing business in the UAE compared to Russia?
In the UAE, a more understandable structure of the relationship between business and government. In Russia, if you are a businessman, you always walk along the razor's edge. I’m far from power, it’s my principle not to go into business through power.
Moreover, in the UAE, licensing, regulatory authorities operate transparently, and entrepreneurs have more security. In Russia, any entrepreneur exists outside the law, since almost any law in Russia can be interpreted from different angles. In the UAE, everything is more clear, there are certain restrictions, strict rules. When we get into a deadlock, we immediately think about how to legally get out of it. Moreover, in the UAE, an entrepreneur is a respected person in society. As for the advantages of living in Dubai, then, of course, the ideal picture develops here in the offseason - from September to May. The weather is fine here at this time, while Moscow is in traffic jams.
What goals do you set for yourself as a businessman?
Business brings material wealth, this is one of the goals of any business, but this side of entrepreneurship is not so important for me. Rather, business is a lifestyle. You understand that you can apply your resources, knowledge base, experience and personal qualities and create a competitive enterprise that will successfully operate in the domestic market and beyond.
Is a successful person synonymous with a happy person?
A happy person is a more comprehensive concept, including, in particular, well-being in the family. However, success is also an important part of a happy life.
Are you a successful person?
I think yes.
You can get any additional information about the acquisition and management of your property in Dubai from the specialists of IMEX Real Estate by tel. in Moscow +7 495 5100008, toll-free number in the UAE 800IMEX (8004639) or by sending a request by e-mail[email protected].
