R E P O R T 2 0 1 5 As mayor, it is a pleasure to present this report which once again con- All this is the result of continuous and collective work, a collaborative firms Barcelona is amongst the world’s benchmark cities in terms of its spirit and a very good understanding between the public and private sec- dynamism, having achieved international brand recognition, and also in tor, which we want to maintain. So, with the help and expertise of key the economic and social fields. economic and social stakeholders in the city, we will continue strength- ening this international appeal. Welfare and quality of life, the climate, Barcelona is the capital of the Mediterranean and one of the economic access to knowledge and research, infrastructure and good connections, capitals of Southern Europe. A loved and admired city around the world, give us a strong position in the new global economic context. this is an unbeatable place to visit, live and work. It is not a coincidence that we appear in top positions in all the international rankings. Barce- Presenting this thirteenth annual report of the Barcelona Observatory, lona and its surrounding area is now ranked the 19th most competitive I would like to congratulate the team behind this publication at the metropolis in the world, 10th in the world in terms of foreign direct invest- Chamber of Commerce and the City Council, and to thank all the ins- ment, 6th in terms of having the strongest city brand, and 4th in terms of titutions and organizations that have helped make it possible. This is a congresses, and 1st regarding smart cities. good example of the public-private partnerships that should help us to continue making Barcelona a city made for and by people. Barcelona’s strong financial solvency and international projection have allowed us to promote economic growth, which we want to leverage to improve the well-being and quality of life of people in this city. Xavier Trias Mayor of Barcelona 2 In the coming years, Barcelona has to continue its work along very clear priorities, which are the three pillars of our government action program- me: economic recovery and job creation; citizen care, especially for the most vulnerable; and getting Barcelona to function well, with quality ser- vices. The economy is showing positive signs, after many years; the main indi- cators such as exports, foreign direct investment and job creation confirm this. Barcelona Growth Centre in 22@ and its Business Support Office are becoming the new symbols of the city’s investment appeal and economic growth. Barcelona is the Mobile World Capital, the European Capital of Innovation and an international benchmark in the Smart City movement. Barcelona wants to lead a revolution in urban innovation with a Smart City Campus and the City Protocol Society, where cities, companies and universities share best practice in intelligent urban planning. The future of Barcelona and Catalonia can also be found in their univer- sities, training, and in the research and innovation they generate. Barce- lona has gone from being a city of universities to becoming a university city, and we are 11th best city in terms of scientific output in the world. We have world-beating research centres in biomedicine, energy, the agri- business, photonics and new technologies; competitive universities and business schools that are amongst the best in the world, like IESE and ESADE. 3 2014 was a good year for Barcelona, with the city economy outperforming To take advantage of these opportunities, the City Council launched the previous years, and these results were better than those of Catalonia and Business Support Office (OAE) in October 2014, a project that the Cham- Spain. This is shown in the results of the Business climate survey carried ber of Commerce was also involved with. Here, one can get personalized out on more than 1,157 companies in the metropolitan area, which is in- information and advisory services, carry out business and administrative cluded as a special report at the end of this publication. 2014 recorded the municipal procedures or participate in the business growth programmes best survey results since the data series started in 2009. or training activities and organized networking activities. In addition, the Chamber of Commerce has been working for many decades to boost the Employers in the metropolitan area indicate that business performance city’s economy, with concrete actions to promote business competitive- improved significantly in 2014, with investment growing across all sectors ness, internationalization and training, as well as many others. except in construction, and sales prices have moderated considerably. Furthermore, economic improvement is widespread across all sectors Finally, I want to thank the technical team for their work and continued analyzed, although the hospitality sector registered the best results. improvements to this Barcelona Observatory project, and to all those or- The outlook for the first quarter of 2015 is even more positive, confirming ganizations that have collaborated once again providing information and higher forecasts for GDP growth for the whole year. enriching the content of the report. Alongside these good qualitative results, we see a whole series of quan- titative data also showing a gradual recovery of the economy during 2014. Miquel Valls i Maseda Examples include net job creation in the province of Barcelona for the first President of the Chamber of Commerce of Barcelona time since the beginning of the recession, a record number of tourists vi- 3 siting the city, an increase in the number of houses sold, an increase in retail sales and lively export numbers, which again recorded a new high in the province of Barcelona. All in all, a collection of good stories that makes us feel optimistic about the future. This favourable economic outlook gives a further boost to the city’s busi- ness appeal, an attractiveness that is quite clear when we analyse foreign investment figures and compare them to other European cities’ results. Today, international investors compare the opportunities offered by diffe- rent cities and, in this sense, brand Barcelona currently has significant development potential and a capacity to attract investment that is superi- or to many other cities in the world. The main differentiating factors in Barcelona’s appeal as an investment destination are its intangible assets related to quality of life which, in turn, include several variables such as quality education, transportation, security, the climate, architecture and the entertainment and leisure offer, among others. But not everything is positive: costs associated with administrative procedures, the fiscal and legal situation are still perceived as barriers to foreign investment, according to a recent study prepared by IESE. Barcelona must take advantage of its new opportunities as a city for head- a head-quarters. The Mobile World Capital should be an opportunity, and another would be Barcelona’s attractiveness as one of the best cities to live in. Strengthening Barcelona’s brand and providing a quality transport and communication network are key elements to boost the city’s interna- tional positioning and the strength of its commerce, retail and tourism. 4 BARCELONA CITY COUNCIL TECHNICAL STAFF Department of Studies, Area of Economy, Business and Sònia Recasens i Alsina Employment, Barcelona City Council Deputy Mayor for Economy, Business and Employment Jordi Joly i Lena Teresa Udina i Abelló General Manager of the Area of Economy, Business and Economist Employment Barcelona Chamber of Commerce’s Economic and Àngels Santigosa i Copete Infrastructure Studies Department: Director of the Department of Studies Carme Poveda i Martínez Area of Economy, Business and Employment Economist BARCELONA CHAMBER OF COMMERCE Sandra Gutiérrez i Cubero Statistics and graduate in market research Miquel Valls i Maseda President Xavier Carbonell i Roura 4 General Manager Joan Ramon Rovira i Homs Head of the Economic and Infrastructure Studies Department Graphic design and coordination: Toni Fresno Barcelona Chamber of Commerce Design layout: DVA Associats The summary is interactive. Click on the section you want to check for access directly. To return to the list, click directly on the gray circle in the upper right side of the page. 5 Barcelona report 2015. Summary 7 Introduction 48 Sustainability and quality of life 11 Barcelona facts and figures 49 Introduction 50 Smart and sustainable cities in 2013 15 Barcelona Observatory 51 Global city brands in the world in 2014 53 World’s top cities with the best reputations in 2014 54 City safety index in 2015 19 Results 55 Best cities in the world in terms of urban mobility in 2013 20 A city for business 56 Prices and costs 21 Introduction 22 Overall competitiveness of cities in the world in 2014 57 Introduction 23 European cities and regions with the best prospects for the future 59 Cost of living in cities around the world in 2014 2014/15 60 Corporation tax and VAT in countries around the world in 2014 24 Entrepreneurial activity in countries across the world in 2013 61 Office rental prices in cities in Europe, the Middle East and Africa 25 Business outlook in the European Union in 2015 in 2014 27 Main urban areas in the world receiving foreign investment projects in 62 Retail rental prices in cities around the world in 2014 5 2013 64 Industrial land rental prices in cities in Europe, the Middle East 28 Appeal of European cities for international retail in 2015 and Africa in 2014 30 Main cities in the world in terms of international congresses and 65 Wage levels in cities around the world in 2012 delegates in 2013 66 Labour market and training 32 Knowledge society 67 Introduction 33 Introduction 69 Employment rate in European regions in 2013 34 Population employed in technology manufacturing and technology 71 Unemployment rate in European regions in 2013 services in European regions in 2013 72 Workers with a university degree in European regions in 2013 36 Population employed in science and technology in 2013 and 73 Appealing cities across the world for work in 2014 expenditure on research and development in European regions in 2011 74 Best European business schools in 2015 38 Main cities in the world for scientific output in 2014 40 Patent applications in the principal OECD provinces in 2011 77 Summary 42 Tourism 85 Special report 43 Introduction 86 Business Climate in the Metropolitan Area of Barcelona 44 Top European airports in terms of passenger traffic in 2014 Situation in 2014 and outlook for 2015. Barcelona Chamber of Commerce’s 45 International tourists in the world’s main cities in 2013 Economic and Infrastructure Studies Department 46 Cruise ships at the world’s main ports in 201346 48 _ _ Introduction 8 In 2014 the world economy saw annual GDP growth stand at +3.3%, a po- The Strategic Framework 2012-2015 embodies the City Council’s vision and sitive global trend similar to 2013, but this is the result of very different objectives, setting out a roadmap for Barcelona during a four year period, trends across different geographic areas. Indeed, while the US economy with two main priorities: reviving the economy and quality of life, and deve- is experiencing a strong recovery with unemployment rates at a six year loping the well-being of citizens. Regarding economic progress, the follo- low, the euro area is growing at a more modest pace, and in Japan trends wing objectives were defined by the city: weakened throughout the year. The major emerging economies saw mo- - Make Metropolitan Barcelona the logistics capital of southern Europe. deration in terms of their growth dynamics amid rising financial tension. - Promote emerging sectors with high added value and strengthen conso- The sustained recovery of the Catalan and Spanish economies throughout lidated economic sectors, establishing Barcelona as a benchmark in quality. 2014 meant these economies closed the year with their best growth ra- - Generate conditions to attract investment capital to the city. tes since 2007, in a context characterized by stronger domestic demand, - Boost international contributions to Barcelona’s economy. an improved financial situation and stronger business confidence indica- tors. These macroeconomic trends have had a positive impact on the la- - Support SMEs and sole traders, and promote entrepreneurship. bour market, with net job creation and reductions to the unemployment - Make Barcelona an easy place to do business (‘Business Friendly’). rate in Catalonia and Spain as a whole. Experts forecast the recovery will - Make Barcelona a city of culture, knowledge, creativity and science, crea- strengthen over the coming quarters –benefiting from the fall in oil prices ting a favourable environment to attract and retain talent. and monetary expansion policies established by the BCE-, meaning that in 2015 growth in the Catalan economy could stand at above 2.5%. Three years after the launch of the Barcelona Growth initiative –which was 8 designed as a shared space to develop the relationship and mutual com- In this context of economic improvement, the internationalization of the mitment between the City Council of Barcelona and private stakeholders economy and the strength of brand Barcelona are still key assets to ac- to set out a roadmap for economic growth in the city-, and with many of the hieve competitiveness. In 2014 the main indicators connected with opening 30 measures set out already at an advanced stage in the implementation up to outside markets showed positive trends, with new record highs in phase, the city wants to prioritize and promote those actions that can make terms of tourists to the city and exports from the Barcelona area; the city Barcelona an ideal environment in the world for economic and business de- has maintained its strong international position in various areas relevant velopment. to economic activity and business. Barcelona was in seventh place in the classification of European cities with the best prospects for the future The implementation of some of these strategic measures has already been 2014/2015, according to the prestigious Financial Times group’s fDi maga- seen in the Barcelona Growth Centre, located in the 22@ district, which is zine, up fifteen positions compared to the previous year. Ernst and Young the symbol of a Barcelona that is oriented to providing services for com- places Barcelona in sixth position in the ranking for foreign investment panies, to economic growth and job creation. In this building we find re- projects received by major urban areas in Europe. Other prestigious sour- sources, services and new initiatives aimed at boosting the city’s economy ces confirm this favourable evaluation, like the Reputation Institute, which and positioning Barcelona as a business city that is creative, innovative and ranks Barcelona 9th best city in the world in terms of its reputation in 2014, entrepreneurial at an international level. after jumping 14 positions compared to the previous year, or the Internati- onal Congress and Convention Association (ICCA), which ranks Barcelona Given the context of the city’s strategic objectives, Barcelona City Council the best city in the world in terms of number of delegates and fourth in developed a Business Support Office (OAE), which was launched in Septem- terms of number of international conferences organized in 2013. In additi- ber 2014, to make Barcelona a business-friendly place where the adminis- on, in 2014 Barcelona achieved significant recognition of its potential as a tration can add value in terms of competitiveness and whose actions are knowledge hub when it was awarded the top prize in the European Capital aimed at facilitating economic activity. of Innovation or iCapital awards for its innovative ecosystem focused on OAE was designed as a new benchmark in the city and metropolitan area improving quality of life. to support and advise businesses; its team of professionals accompanies companies holistically by offering a portfolio of services specialized in the following business areas: - Information and advice about municipal procedures - Telematics services to incorporate a company - Business finance 9 Barcelona report 2015. Introduction - Advisory services in the area of recruitment nagement by the City Council, which ensures budgetary stability and liquidity. One example of this is the trade credit payment period set at a maximum - Internationalization and foreign trade procedures of 30 days to suppliers. This has been recognized by the major international - Business transmission ratings agencies Fitch and Standard & Poor’s, who have maintained the city’s - Business growth positive ratings, highlighting the efficient management and healthy state of - Promoting innovation municipal debt. - Business localization and landing services Also, the city actively promotes public-private partnerships to develop those sectors considered strategic for the economy of the city, such as ICTs, logis- These services now mean the Business Support Office can offer a full sui- tics and agribusinesses, as well as strong sectors like trade and commerce te of municipal services via Barcelona Activa -the organization responsible and tourism, as well as new sectors such as biomedicine and electric vehi- for implementing the City Council’s policies regarding economic promoti- cles in the field of sustainable energy and mobility. on, and which has a lot of experience offering services to early-stage en- trepreneurs and supporting start-up processes during incubation. Given the context of economic recovery, Barcelona continues to face com- petitive challenges resulting from the economic and social consequences OAE also has an innovative area called Espai Barcelona specifically desig- of the recession and the impact of global trends on urban areas in southern ned to explain what Barcelona is about from an economic point of view, in Europe. Thanks to the city’s highly valued and competitive assets, its di- order to highlight the city’s main assets and show why it is a favourable versified economy, the dynamism of its export base, its attractiveness for environment for business, investment and attracting talent. This space tourism, the municipality’s financial solvency and Barcelona’s strong brand offers a series of audiovisual resources and companies have access to fi- 9positioning as a benchmark for quality, the city can face the future with a nancial data and information relating to the city’s strategic sectors, and renewed strategic roadmap and new formulas based on public-private here firms can organize presentations and hold local, national and inter- partnerships in order to position itself as a leading international platform national corporate meetings. for economic growth and business progress in order to move towards a pro- The Business Support Office and Barcelona Growth Centre bring together duction model based on knowledge, creativity, innovation and sustainability. and align other stakeholders and activities that help position Barcelona as the best environment for economic growth. One of the most important is hosting the Mobile World Capital Foundation (FMWC), whose job it is to help harness the economic potential of being the mobile capital across different sectors and consolidating the industrial legacy of being the mobile capital in the Barcelona area. Here, we also find another programme to support the creation and growth of businesses related to mobile technolo- gies, called mstartupbarcelona, with the participation of FMWC. In additi- on, the Big Data Centre of Excellence was launched in 2015, which is being promoted by B-Digital and Oracle with support from the City Council. This highly innovative space will help make the value of data tangible for com- panies in the city, identifying the significance of using data strategies for businesses and showing the practical benefits that can be gained by im- plementing innovative projects. This should encourage the acceleration and development of Big Data technology-based solutions, confirming the permanent value that these technologies can have to improve business processes. Thanks to Barcelona Growth Centre, the city wants to create an environ- ment of trust that encourages economic growth and job creation and bu- siness as the best guarantee to providing quality social policies. One of Barcelona’s key assets that can help achieve this is the healthy situation of its municipal finance, thanks to rigorous economic and budgetary ma- _ 10 _ 11 Facts and figures 12 BARCELONA FACTS AND FIGURES 2014 Oslo Stockholm Copenhagen Dublin Berlin Amsterdam London 12 Brussels Warsaw Frankfurt Prague Paris Munich Zurich Geneva Lyon Milan 1800 Km 1000 Km Bilbao Rome 2h 30min 1h 40min. Zaragoza Palma Lisbon Madrid Athens Seville Algiers Tunis Rabat 13 Barcelona report 2015. Facts and figures GEOGRAPHICAL ENVIRONMENT Surface area (km2) 102.3 Population 1,602,386 Foreign population (% of total) 16.7 Density (inhabitants / km2) 15,802.6 Climate (Can Bruixa Observatory)* Average monthly temperature 17.7ºC Yearly rainfall (mm) 589 Hours of sun 2,776.4 ECONOMIC ENVIRONMENT MACRO ECONOMIC DATA GDP (var/ yr %) - Catalonia 1,2 Social Security membership 993,512 Unemployment rate 16-64 years old (%) 16.4 Employment rate 16-64 years old (%) 67.6 Activity rate 16-64 years old (%) 80.9 CPI (average var. %) - BCN province 0.3 Exports (million €) - Barcelona province 47,057.3 Imports (million €) - Barcelona province 57,311.2 Outbound foreign investment (million €)-Catalonia 1,845.3 Inbound foreign investment (milions €) -Catalonia 3,994.3 Companies - Barcelona province 434.914 Foreign companies in Catalonia* 7,000 COMMERCE AND TOURISM Retail premises -Barcelona province 68,745 Open-air shopping areas 22 Municipal markets (number and surface area (m2)) 43;209,500 Hotels Number* 365 13 Beds* 67,567 Tourists 7,874,941 INFRAESTRUCTURE Airport Runways (number and length (m)* 3/3.352;2.660;2,528 Passengers 37,559,044 International passengers (%) 72.6 Port Land surface area (ha)* 1,081.0 Docks and moorings (km)* 22.0 Total traffic (thousands of tonnes) 45,313.9 Trade fair and congress activity Trade fairs 62 Visits to Fira de Barcelona 2,000,000 Hall surface area taken up by fairs (m2)* 421,976 International meetings* 2,039 FORMACIÓ I CIUTAT DEL CONEIXEMENT TRAINING AND CITY OF KNOWLEDGE Universities in Catalonia 12 University students in Catalonia (course 2011/2012) 239,675 Foreign schools (Barcelona province) 38 Innovative companies in Catalonia* 3,551 QUALITAT DE VIDA QUALITY OF LIFE Beaches (number and metres)* 9;4,395 Bike lanes (km and bicing members)* 186.7;98,786 Public libraries (number and users)* 39;6,343,803 Museums, collections and exhibition spaces (number and users)* 57;25,317,392 Public sports facilities (number and users) * 1.883;177,111 Theatre, music and cinema spectators* 9,388,059 Note: Data from 2014, except *2013 Source: AENA, Barcelona City Council, Anuari Comarcal de Caixa Catalunya, Barcelona Trade Fair, Autonomous Regional Government of Catalonia, Idescat, INE, National Institute of Meteorology, Spanish Ports Authority, Secretary of State for Trade, Barcelona Tourism Board, Barcelona Institute of Culture, Spain’s Ministry of Education. _ 14 _ 15 The Observatory 16 17 This is the Barcelona Observatory 2015 Report. The report includes the following sections: This is a Barcelona City Council and Barcelona Chamber of Commerce ini- • A general introduction to the city’s current situation and priority econo- tiative that gets the support of many organizations in the city, that provide mic policies. information and make key contributions on their areas of expertise year after year. • A section with the results of 30 indicators presented in six separate are- as: business, knowledge economy, tourism, sustainability and quality of This thirteenth edition of the annual Barcelona Observatory Report aims to life, prices and costs, and labour market and training. provide information that can be useful for taking decisions by business sta- keholders interested in doing business or setting up their firms in Barcelo- • A special report prepared by Barcelona’s Chamber of Commerce, that na, or for attracting talent to the city, or for supporting their presentations analyses the business climate in 2014 and the economic outlook for the to win event candidatures, or for opening office headquarters in Barcelona. first quarter of 2015 in the Metropolitan Area of Barcelona. To do this, every year the report presents Barcelona’s position compared to other major cities in the world, according to a set of economic and social •A review section where you can see Barcelona’s position compared to the benchmark indicators. main benchmark cities in a visual and summarised way. The 2015 report presents the following characteristics in a clear and direct Barcelona Observatory is characterized by the following features: way, with a series of characteristics as summarized below: • It is built on a battery of indicators defined preferably at the city level, but 17 • A selection of significant indicators that offer the reader an efficient synt- which sometimes represent wider areas. hesis of those issues most relevant to understanding Barcelona’s positio- ning, its characteristics and challenges. Specifically, this report presents • The data is obtained from a sample that in some cases is as big as sixty 30 indicators, of which three are new: cities with the best reputation, and cities worldwide. It should be noted that for seven of the indicators the safe cities -which are included in the chapter called Sustainability and qua- sample was chosen to represent the main urban areas. lity of life-, and the world’s most appealing cities for working in, as part of the chapter called Labour market and training. • Where possible indicators include a graph so that trends can be seen for each specific area. • The inclusion of figures for each indicator, with graphs or maps, helps the reader understand the results and analyse trends. • Information sources are from prestigious and recognized international organizations and institutions. • A summary table bringing together indicators to show Barcelona’s po- sition. • The data and information is the latest available. • The incorporation of a special report carried out by Barcelona’s Chamber of Commerce that analyses the business climate in Barcelona’s Metropo- litan Area in 2014 and looks at the outlook for 2015, with a specific analysis of the main economic sectors. This special report brings understanding to Barcelona and Catalonia’s si- tuation and future scenarios based on the opinions of business leaders. _ _ Results City for business Introduction In 2014 the city of Barcelona’s economy experienced a gradual and sus- Barcelona is well placed in the world in terms of its competitiveness, ac- tained improvement, as did the rest of Catalonia and Spain. An increase cording to the prestigious Mori Global Power City Index, notably in the ca- in confidence has revitalized consumption and investment, while exports tegories ‘habitability’, ‘cultural interaction’ and ‘accessibility’. It also con- continued to grow, which led to net job creation. tinues to be in the Top 10 in Europe in terms of international and luxury retail, according to an index developed by Jones Lang LaSalle. It is also For 2015, forecasts suggest Barcelona’s economy will grow even faster. the top city in the world in terms of attracting most congress delegates Contributing factors include the euro’s depreciation, which will attract and fourth in terms of international conferences organized in 2013, ac- more tourists and make exports, which ended 2014 setting a new re- cording to the International Congress and Convention Association (ICCA). cord, even cheaper, and reductions in oil prices will also help. Rounding off this positive situation is a recovery of the housing sector and a fall in Regarding entrepreneurship, in 2013 the rate of entrepreneurial activity consumer prices, still far off from deflation, which will help to increase (TEA) in the province of Barcelona stood at 6.7%, which was still above household incomes and boost consumption. Two other external factors the rates in Germany (5%), France (4 6%) and Finland (5.3%), after ex- underpinning growth in 2015 are the ECB’s one-off expansionary mone- periencing a slight increase on the previous year’s results. Barcelona’s tary policy measures taken at the start of this year and greater flexibility Chamber of Commerce and the City Council are working on this area to in fiscal policy. promote entrepreneurship and help develop business in the city. Given this context of overall improvement, Barcelona has strengthened The city’s flagship Barcelona Growth Centre -at the heart of the 22@ in- its strong position in the ranking of European cities with the best pros- novation district-is the new symbol of Barcelona’s service orientation pects for the future. According to the prestigious Financial Times Group’s to local and foreign companies, economic growth and job creation. This fDi Magazine, Barcelona is seventh in the ranking of cities with the best space showcases the key facilities that make the city great for business, prospects for 2014/2015, ahead of cities like Berlin, Amsterdam, Edin- creative, innovative and entrepreneurial at an international level. Here we burgh and Paris. Also, the results of the survey on business prospects for find the measures that were defined in the Barcelona Growth Commissi- 2015 by Eurochambres back up this positive trend in economic activity in on, created in 2011 by the City Council’s Area of Economy, Business and Catalonia, supported by the recovery of domestic demand above all, whi- Employment as a meeting point for dialogue between government and le the positive trend of the export sector also continues. In comparison the private sector to revive the city’s economy. Amongst these measures to other European countries, Catalonia would be in the medium-to-high we find the Business Support Office (OAE) -inaugurated in October 2014- band in terms of countries with the best prospects for growth in both do- which offers a set of value-added services and resources under one roof mestic and export sales. In parallel to these results, Catalan business le- that can meet the needs of local businesses and international firms. OAE aders’ forecasts for investment and employment in 2015 are positive and offers personalized information and advisory services, as well as a chan- more favourable than in recent years. nel to complete business and council procedures, participate in business growth, training programmes and networking activities. Barcelona’s strong economic prospects add to the confidence the city ge- nerates in the area of international investment, occupying sixth position in Ernst and Young’s ranking of the main urban areas receiving foreign investment in 2013; KPMG also ranked the city tenth in the world for the same concept. In addition, fDI Intelligence has published a new ranking placing Barcelona in sixth place in the category ‘best international stra- tegy to attract investment’, ahead of benchmark cities like London, Berlin and Montreal. 22 Global competitiveness of cities Global competitiveness of cities 2014 in the world in 2014 City Position London 1 New York 2 Paris 3 Tokyo 4 Barcelona features amongst top 30 cities for overall Singapore 5 global competitiveness Seoul 6 Amsterdam 7 Berlin 8 The 2014 Mori Global Power City Index report, which compares 40 major ci- Hong Kong 9 ties in the world, puts Barcelona in 27th place worldwide and 14th place in Vienna 10 Europe in terms of its overall competitiveness. The classification is headed Frankfurt 11 Zurich 12 by London, New York, Paris and Tokyo, while Barcelona had a similar ove- Sydney 13 rall score to Milan, Geneva and Osaka, but above Boston, Chicago or San Beijing 14 Francisco. Shanghai 15 Stockholm 16 Toronto 17 Thanks to the participation of renowned universities and prestigious think Copenhagen 18 22 tanks, Japan’s Mori Memorial Foundation has produced a synthetic index Madrid 19 called Global Power City Index since 2008 based on the results of 70 indica- Los Angeles 20 tors that are sorted into six categories related to urban competitiveness. In Istanbul 21 2014, Barcelona was among the top five cities in the world in the category Vancouver 22 Brussels 23 ‘habitability’, it was fourteenth and sixteenth respectively in the categories Washington DC. 24 ‘cultural interaction’ and ‘accessibility’, while it is achieved poorer results in Milan 25 terms of ‘environment’ (31st) and ‘R&D’ (33rd) and ‘economy’ (38th). Osaka 26 Barcelona 27 Geneva 28 A ranking of stakeholders, which surveyed the opinions of visitors and ar- Bangkok 29 tists, put Barcelona in 8th and 9th position, respectively. However, residents, Boston 30 researchers and managers ranked it 24th, 36th and 30th, respectively. Chicago 31 San Francisco 32 Taipei 33 Categories of urban competitiveness (positioning of Barcelona) Kuala Lumpur 34 Moscow 35 Fukuoka 36 0 Barcelona’s 2014 Mexico City 37 4 position Sao Paolo 38 5 5 Barcelona’s 2013 position Mumbai 39 Cairo 40 10 12 Source: Mori Global Power City Index. Institute of Urban Strategies. The Mori Memorial Foundation. 14 15 15 16 20 19 19 25 27 30 32 31 33 35 34 38 40 Global Economy R+D Cultural Liveability Environment Accessibility Interaction Source: Mori Global Power City Index 2014. Institute of Urban Strategies. The Mori Memorial Foundation. 23 Barcelona report 2015. City for business European cities and regions Global ranking with best prospects for the future 2012/2013 City 2014/2015 1 London 1 2014/2015 Helsinki 2Eindhoven 3 7 Cambridge 4 8 Dublin 5 Barcelona, 7th top European city with the best prospects 6 Munich 6 for the future 22 Barcelona 7 9 Berlin 8 15 Amsterdam 9 The Financial Times Group´s Cities and Regions of the Future 2014/2015 re- 5 Reading 10 port, published by fDi Magazine, ranked Barcelona seventh best city in Euro- 11 Edinburgh 11 pe in terms of its future prospects. The city jumped fifteen positions on the 3 Vienna 12 14 Glasgow 13 previous year’s ranking and is ahead of Berlin, Amsterdam, Edinburgh and Rotterdam 14 Paris. And for the first time Barcelona features in the TOP 10 Major Europe- Lyon 15 an Cities-Overall category, only behind London, Helsinki and Dublin. 2 Paris 16 Grenoble 17 Utrecht 18 Its strong position in this ranking is backed up by its overall top position and Birmingham 19 23 first place in the category ‘Foreign investment promotion by cities in Sout- Ghent 20 hern Europe’, recognized with an award by fDi Magazine. In addition, the 24 Liverpool 21 ranking of cities by category saw Barcelona in 4th place in terms of ‘foreign Lisbon 22 Derby 23 investment promotion’ and in 5th place for ‘infrastructure’, 5 positions up on Cork 24 the 2012/2013 ranking, and it is now ahead of Brussels, Madrid and Vienna. Galway 25 * To create this ranking fDi collects data from 468 cities and regions in five categories: economic Moreover, according to the report, Catalonia is the third most attractive re- potential, human capital and lifestyle, cost efficiency, infrastructure and business friendliness. gion in southern Europe, behind Lombardy and Tuscany, and it is the ninth Source: FDI Magazine. European Cities and Regions of the future 2014/2015 best region in terms of ‘business friendliness’ in the overall ranking of re- gions. Barcelona’s position On the other hand, Barcelona was placed 6th in the ranking in terms of in- 0 ternational investment strategy in the Global Cities of the Future 2014/2015 2014/2015 1 1 1 report, published by fDi Intelligence, ahead of cities like London, Montreal 2 and Berlin. 3 4 4 5 5 6 7 8 9 9 10 11 12 e s: e t : g n :a p ion nt on pe s e ) e ) lar re ro me ot e oti ro rc e tyl ies ur es r o n a Eu st m stm u u s t t i f e o m E so li fe n c i tru c ci t e r ea n n o p e r In v Pr ve on Pr n e d s c o I e r r n ea a r n a p f ra pe S Eu ou th eig n h a o ign tou m ur I n ur o S r e S u E E y i n Fo r HFo ge ge Cit (l ar (la r Source: fDi Magazine. European Cities and Regions of the future 2014/2015 24 Entrepreneurial activity in 2013 Entrepreneurship Activity 2013 Year 2012 Country (% over the population 18-64 years old) in countries across the world 17.1 Brazil 17.3 18.9 Argentina 15.9 12.8 China 14.0 14.3 Latvia 13.3 Barcelona’s rate improves more than the main European 12.9 United States 12.79.2 Hungary 9.7 players’ rates 10.3 Slovakia 9.5 9.5 Poland 9.3 10.8 According to data from the Global Entrepreneurship Monitor (GEM), in 2013 Netherlands 9.3 6.4 Sweden 8.2 the rate of entrepreneurial activity (TEA) of the resident population in the 5.9 Switzerland 8.2 province of Barcelona stood at 6.7%, an increase of 0.2% on the previous 7.6 EU average 8.0 year, which is the second time the rate for this indicator has increased since 9.2 UK 7.1 2007. Though this is a moderate change, this TEA performance compares 6.5 Barcelona 6.7 7.9 Catalonia 6.6 favourably with those of the main countries in Western Europe. In general, 4.3 Russia 5.8 (with the exception of Nordic countries) there has been a decrease in the 6.5 Greece 5.5 rate of entrepreneurial activity, in some cases with significant variations like 6.0 Finland 5.3 24 in the UK (-2.1%), the Netherlands (-1.5%) and France (-0.6%). However, 5.7 Spain 5.2 5.3 Germany 5.0 Barcelona’s TEA remains below the average for the European Union, where 5.2 Belgium 4.9 the rate of entrepreneurial activity has increased almost 0.4% to stand at 5.2 France 4.6 8%, thanks in large to countries in Eastern Europe. 4.0 Japan 3.7 Note: Entrepreneurial activity includes new companies (less than 3 months of activity) and start-ups In 2013, Barcelona’s and Catalonia’s TEA remained above countries like (3 to 42 months of activity). The data base comes from 63 countries, although the table shows a selection from a sample of benchmark countries. Finland (5.3%), Germany (5.0%), Belgium (4.9%), France (4.6%) and Italy Source: Global Entrepreneurship Monitor (GEM), 2013 Global Report and Catalonia Executive Report 2013 (3.4%).Catalonia has the third highest rate of entrepreneurial activity (6.6%) of all Spain’s Autonomous Regions, and it is well above the Spanish average Entrepreneurship Activity in Europe (% of population 18-64 years old) (5.2%). The main reason for becoming an entrepreneur in the Barcelona area is to take advantage of a business opportunity, although the percentage ta- king up entrepreneurial activities out of necessity (30.2%) is the highest in 8.3 FIN Europe. Regarding other indicators showing the entrepreneurship process, 13.3 the rate of consolidated entrepreneurs stands at 8.9%,and the rate of new SW entrepreneurs remains at 2.2%, and the rate of emerging entrepreneurs is 7.1 4.5%, while the rate of business wind-ups is 1.7%. 9.3 9.3 LET DIN 4,9 UK NED 5.0 9.5 4.6 POL BEL 8.2 9.7 GER 6.6 FRA ESL 6.7 CH HON 5.2 CAT BCN 5.5 SPN GRE Source: Global Entrepreneurship Monitor (GEM), Catalonia Executive Report 2013 25 Barcelona report 2015. City for business Business outlook for Business prospects in Catalonia (balance as a %) the European Union in 2015 60 12 40 9 The outlook for turnover in 2015 is very optimistic 20 6 The forecasts of business leaders in Catalonia regarding turnover (domes- 0 3 tic sales and exports), employment and investment have improved signifi- cantly and are positive for 2015, according to the results of a survey by Eu- -20 0 rochambres. These results confirm an economic recovery in line with the latest estimates published by Barcelona’s Chamber of Commerce, which expects growth in the Catalan economy to rise to 2.5% in 2015. -40 -3 The most notable improvements are related to variables connected with -60 -6 sales. Indeed, Catalan business leaders expect 2015 to see a boost in sales 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 (p) in the domestic market, with 36% of business executives expecting an in- Domestic sales Exports Employment Investment 25 crease in 2015, compared to 11% expecting a fall. As for exports, the pros- pects for 2015 are still very good. This puts Catalonia in the medium-to- (p) forecasts Source: Barcelona Chamber of Commerce from Eurochambres’ data high band in the ranking on both variables, which is above the average for the EU, and countries like Belgium or Austria. At the same time, Catalonian business leaders’ forecasts for investment and employment in 2015 are positive, and the most favourable in recent years. In terms of investment, forecasts show that growth will recover next year, although Catalonia is located in the lower part of the European ran- king. Regarding employment, Catalan companies believe that there will be net job creation for a second consecutive year in 2015 and that the rate will be higher, which are its best results since the beginning of the recession, putting Catalonia close to the average in the European ranking 26 Domestic sales Exports Employment Investment Country (balance, p.p.) Country (balance p.p.) Country (balance p.p.) Country (balance p.p.) Portugal 68 Portugal 66 Montenegro 42 Montenegro 53 Latvia 61 Spain 59 Turkey 40 Portugal 45 Serbia 58 Latvia 55 Portugal 35 Latvia 36 Turkey 47 Serbia 52 Latvia 33 Slovenia 35 Finland 46 Slovenia 49 Estonia 30 Malta 33 Romania 40 Italy 41 Spain 22 Romania 29 Spain 37 Bulgaria 39 Bulgaria 18 Lithuania 28 Lithuania 35 Estonia 38 Malta 18 Slovakia 28 Montenegro 35 Greece 37 Romania 17 Estonia 27 Croatia 24 Catalonia (BCN) 35 Belgium 12 Turkey 26 Estonia 23 Turkey 34 Serbia 11 Bulgaria 25 Catalonia (BCN) 23 Lithuania 32 Croatia 9 Croatia 24 Belgium 21 Slovakia 31 Slovenia 8 Belgium 13 Slovenia 15 EU * 27 Lithuania 8 Spain 10 EU * 14 Belgium 25 Catalonia (BCN) 8 Serbia 9 Malta 14 Malta 19 Luxembourg 6 Germany 8 Luxembourg 13 Netherlands 18 Czech Rep. 4 EU * 8 Bulgaria 10 Romania 18 Slovakia 3 Luxembourg 8 Slovakia 10 Cyprus 17 EU * 3 Italy 8 26 Czech Rep. 5 Croatia 15 Germany 2 Rep. Czech 6 Cyprus 0 Germany 15 Netherlands 2 Netherlands 6 Italy -3 Luxembourg 12 Cyprus 0 Catalonia (BCN) 5 Hungary -17 Czech Rep. -1 Greece -2 Greece 0 Austria -19 Montenegro -4 Finland -5 Cyprus -4 Greece -30 Austria -7 Italy -10 Hungary -14 Hungary -17 Hungary -11 Austria -24 Finland -54 Austria -28 Finland -55 Note:The amounts are calculated as the difference between the percentage of responses indicating ‘increase’ and the percentage indicating ‘decrease’. This year there is no regional level information because regional participation has been very heterogeneous at the country level. * Weighted average of the sample Source: Eurochambres, The Business Climate in Europe’s Regions in 2015 27 Barcelona report 2015. City for business Main urban areas in Europe 2013 City Projects 2013 Weight /country receiving international investment 1 Greater London 380 48%2 Île-de-France 173 34% 3 Düsseldorf 105 15% projects in 2013 4 Darmstadt 94 13% 5 Uusimaa (Helsinki) 90 83% 6 Catalonia (Barcelona) 85 38% 7 Stuttgart 80 11% 8 Freiburg 79 11% Barcelona, sixth urban area receiving most foreign 9 Dublin 69 62% investment projects in Europe 10 Istanbul 62 63% Source: Ernst&Young’s Attractiveness survey. Europe 2014 The European Attractiveness Survey 2014 by Ernst and Young ranks Catalo- nia and the Barcelona area sixth top on the continent in terms of interna- tional investment projects in Europe, only behind Greater London, Île de Jobs created by foreign direct investment in 2013 France, Düsseldorf, Darmstadt and the region of Helsinki, after receiving 5,158 85 projects in 2013. Despite a fall in the number of projects and a drop of 4,705 3 positions in the ranking compared to 2012, Catalonia is in first place in 4,615 terms of the number jobs created by these investments, with more than 3,919 27 5,150 workers, which accounts for 38% of all projects carried out in Spain. Barcelona has been in a leading position in the rankings since 2005. 2,536 The same report ranks Barcelona as the sixth most attractive European 1,226 city for foreign investment, ahead of Amsterdam, Madrid, and Hamburg, 981 811 597 according to an analysis of a survey of 808 experts and potential investors. 419 ia ) ce in n l f t g i) Another source, the Global Cities Investment Monitor by KPMG for 2013 on ona an ubl ul r ndo nb dor adt gar bura ink Cat arc el e-F D or L Ist a l sse ms t utt reid e ü ar St F (He ls - t ranks Barcelona tenth among the major urban areas in the world rece- (B Îlle rea D D aG usim a U iving foreign greenfield investment projects –projects without local part- Font: Ernst&Young’s Attractiveness survey. Europe 2014 ners or new locations. Moreover, according to the study Foreign Direct Investment in Barcelona by IESE business school, the ICT sector accounts for a fifth (21%) of the 836 foreign investment projects carried out in Ca- talonia between 2003 and 2013, followed by the logistics sector which re- presents 8% of the total, and mobility, biotech and life sciences, that each account for 7% of all projects received. Regarding the 87,526 jobs created by these projects, 18% belong to the mobility sector, while ICTs and logis- tics represent 15%. 28 Attractiveness of European Ranking Ranking 2012 City 2015 cities for international retail in 1 London 1 2 Paris 2 2015 3 Moscow 34 Milan 4 5 Madrid 5 6 Rome 6 Barcelona is the tenth most appealing city for 11 Istanbul 77 Munich 8 international retail 12 Berlin 9 10 Barcelona 10 Barcelona is ranked tenth top European city with most international retail, ac- 14= Amsterdam 11 cording to an index prepared by Jones Lang LaSalle for 2015, the same position 13 Hamburg 12= 8 St. Petersburg 12= it held in the previous edition of the report in 2012. This index analyzes the pre- 9 Prague 14 sence in Europe of 250 leading world retailers. London and Paris are still the 19= Warsaw 15= cities with most international retail, followed by Moscow and Milan. Barcelona 23= Kiev 15= is ranked between Berlin and Amsterdam. In the past three years, the most 14= Vienna 17 significant changes at the luxury end of the market have affected Istanbul and 22 Brussels 18= 19= Düsseldorf 18= 28 Berlin, both improving their relative position, while St. Petersburg and Prague 16 Frankfurt 20 have dropped positions. Catalan company MANGO has the third largest presen- 18 Antwerp 21 ce in the study, present in 95% of cities, just behind H&M and ZARA, which are 23= Zurich 22 present in 100% of the cities. Another Catalan brand Desigual occupies the 17th 19= Lisbon 23 position in the ranking on international presence. 26= Dublin 24 25 Stockholm 25= 16 Athens 25= If you only consider luxury retail, Barcelona maintained its ninth place in the Eu- 26= Cologne 27 ropean ranking in 2015, the same place it occupied three years ago, above cities 29 Budapest 28 like Zurich, Kiev and St. Petersburg. London, Paris and Moscow were again the 32= Lyon 29 top three destinations for luxury retail. It’s worth noting that Barcelona belongs 30 Bucharest 30 to a group of cities including Madrid, Istanbul and Munich that are relatively well 28 Valencia 31 32= Copenhagen 32= located in the luxury retail segment and where shop rentals in exclusive areas - Torino 32= are very competitive. Note: the sign “=” means that some cities share a position because their score is the same. Source: Jones Lang LaSalle Cross Border Retailer Index, Destination Europe 2012 and 2015 Moreover, the European Retail Rankings 2013 report by the International Coun- cil of Shopping Centers (ICSC) and Harper Dennis Hobbs places Barcelona in 11th position among European cities in terms of retail sales volumes in the city centre. At the top of the rankings were London-West End and Paris with sales of around 10,000 € million in 2013. These were followed by the cities of Madrid, Rome and Munich, with sales exceeding 5,200 € million, while in the city centre of Barcelona sales are estimated at 5,037 € million, a figure between those of Amsterdam and Istanbul. 29 Barcelona report 2015. City for business Most important retail companies by country of origin USA 1st Retailer Ranking Tommy Hilfi ger 8th = Timberland 10th Foot Locker 11th = Claire’s 11th = Starbucks 13th UK 3rd Retailer Ranking The Body Shop 4th Lush 5th = Germany 4th 29 Karen Millen 27th Superdry 37th Retailer Ranking Burberry 55th = Hugo Boss 7th Adidas 17th = New Yorker 31st = Puma 31st = Bijou Brigitte 31st = France 5th Retailer Ranking Louis Vuitton 17th = Hermès 47th Petit Bateau 48th = Escada 48th = Italy 2nd Tally Weijl 55th = Retailer Ranking Benetton 5th = Diesel 8th = Max Mara 17th = Geox 23rd Calzedonia 25th Spain 6th Retailer Ranking Zara 1st = Mango 3rd Massimo Dutti 14th Desigual 17th = Pull & Bear 31st = Note: The position of each company is based on its presence in the cities analyzed in the report. Source: Destination Europe 2015, Jones Lang LaSalle. 30 World’s top cities in terms of Barcelona leads the world ranking of number of participants at international conferences delegate numbers and international In 2013, Barcelona led the ranking of world cities in terms of number of congresses held in 2013 delegates at international conferences, with 122,877 participants, ahe- ad of Amsterdam, Vienna and Istanbul, which also attracted more than 100,000 delegates, according to a report by the International Congress and Convention Association (ICCA) covering the period 1963-2013. In terms of number of conferences, Barcelona was in fourth place in the world ranking of cities with 179 international conferences, only behind Paris, Madrid and Vienna. The number of delegates increased in 2013 by 41.4% compared to 2012 and the number of international conferences held in Barcelona rose by 16.2%, which confirms the upward trend seen in recent years, and which keeps the city in the overall Top 5 for the seventh consecutive year. It’s worth noting that the ICCA ranking is made up of conferences with at least 50 delegates and it only includes conferences that have a minimum rotation between three countries, so it does not in- 30 clude very important events like the Mobile World Congress, which does not rotate and draws more than 80,000 participants. According to Barce- lona Convention Bureau, the real number of delegates attending congres- ses in Barcelona is much higher, standing at around 290,000. Considering a broader analysis period, Barcelona is also the world’s top city in terms of the cumulative number of delegates between 2004 and 2013, with 926,111 participants, whilst coming third in the ranking of in- ternational conferences, with 1,497 events held during these 10 years, ahead of Madrid and behind only Paris and Vienna. Barcelona’s Position 1 1 1 2 2 2 2 2 2 2 2 3 3 3 4 4 5 5 5 6 7 8 8 9 10 11 11 12 12 13 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Congresses Delegates Source: International Congress and Convention Association (ICCA) 31 IBnaforcremloen Baa rrecpeolornt a2 021051.5 K. nCoitwy lfeodrg beu soinceiestsy Variation Variation City 2013 / 2012 (%) Congresses 2013 City 2013 / 2012 (%) Delegates 2013 Paris 13 204 Barcelona 41 122,877 Madrid 13 186 Amsterdam 39 114,166 Vienna -7 182 Istanbul 50 112,175 Barcelona 16 179 Vienna -24 101,714 Berlin 3 178 Singapore 42 96,620 Singapore 17 175 London 10 83,358 London 11 166 Paris -14 82,447 Istanbul 14 146 Berlin -29 72,570 Lisbon 18 125 Seoul 28 67,768 Seoul 25 125 Lisbon 30 63,131 Prague 8 121 Milan 26 62,712 Amsterdam -2 120 Madrid 19 56,750 Dublin 18 114 Kuala Lumpur 19 55,876 Buenos Aires 14 113 Buenos Aires 27 55,399 Brussels 4 111 Prague -9 51,827 Copenhagen -20 109 Bangkok -41 51,707 Budapest 8 106 Boston, MA 115 48,743 Beijing -4 105 Hong Kong -6 48,621 Rome 1 99 Copenhagen -33 48,232 Bangkok -11 93 Dublin -36 47,439 31 Stockholm -15 93 Sydney, NSW 21 45,770 Sydney, NSW 8 93 Rio de Janeiro 10 42,837 Hong Kong -7 89 Beijing -11 42,206 Helsinki -15 85 Melbourne, VIC 39 41,601 Munich 5 82 Hamburg 349 40,946 Rio de Janeiro -5 79 Washington DC -24 38,876 Tokyo 14 79 Rome -18 37,980 Taipei -3 78 Montreal, QC 29 37,776 Shanghai 13 72 Shanghai 76 37,225 Montreal, QC 6 71 Lima 90 36,956 Source: International Congress and Convention Association (ICCA) 32 Knowledge society Barcelona report 2015. Knowledge society Introduction The City of Barcelona’s 2012-2015 Strategic Framework is a policy me- noting: Pompeu Fabra University was ranked 165, and the University asure aimed at making Barcelona a city of culture, knowledge, creativity of Barcelona and the Autonomous University of Barcelona were both and science, which creates the sort of favourable environment that at- among the top 250 universities in the world, according to the Times Hig- tracts and retains talent. This represents a commitment to an economic her Education 2014-2015 Ranking. model based on public-private co-operation, allowing the city to develop a critical mass in human capital and a remarkable level of research at In terms of innovation, results for 2011 show a significant increase in an international level, and this is especially important in terms of its technology patents (+35.8%) and stabilization in the total number of PCT impact on the economy in any attempt to recover from the recession. patents (-0.8%) applied for in the Barcelona area. In 2013, Catalonia maintained its position as the region with most companies carrying out Barcelona won the first prize in the 2014 European Capital of Innovation business innovation in Spain, with 3,551 firms, which represents over a awards, also known as iCapital, because of its integrated approach to fifth ( 22%) of all spanish innovative companies, and which was valued at technology used in citizen services, and because of its international re- 3,095.2 € million, or 23.4% of the total business innovation expenditu- putation and strategy in the Smart City network, which uses technology re in Spain. By contrast, spending on R&D relative to GDP in Catalonia, for intelligent city management, and also because it is the Mobile World which had increased during the period 2001-2009, in fact fell from 2010 Capital. It has also developed a strong position in the Open Government to 2013 to stand at 1.5% in 2013, still higher than the Spanish average movement and data management sector, thanks to its Big Data Centre (1.24%), but lower than the EU average (2.02%). of Excellence set up by Oracle in the Barcelona Growth Centre. Regar- ding the Smart City movement, Barcelona was ranked Europe’s 4th top Currently, the city is trying to leverage its position as world mobile capital Smart City in 2013, according to the magazine Co.Exist, while its Open to drive business in other sectors by getting firms to harness the power Government project was endorsed by Transparency International, an of this technology in their own business activities, and the authorities are independent international organization that evaluates the transparency developing initiatives like the m-startupbarcelona support programme indicators of governments. Barcelona jumped from 34th position in the that helps create and grow businesses related to mobile technologies ranking to first place, shared with 18 other cities, and met all the requi- with the participation of the Mobile World Capital Foundation, and it is red criteria for the first time. also trying to take advantage of its technology resources like fibre optics, the municipal Wi-Fi service and 22@ innovation district. 33 Barcelona’s appeal in terms of technology has meant that between 1993 and 2003 the ICT sector attracted most foreign investment projects in According to a comparative analysis on innovation across regions in Eu- Catalonia, with 21% of the 836 projects received. As well, it attracted rope by Eurostat –called the Regional Innovation Scoreboard 2013, Catalo- 14% of capital and 15% of jobs associated with FDI in Catalonia, accor- nia is classified as one of the region’s ‘innovation moderators’. According ding to a study on Barcelona’s foreign direct investment by IESE Busi- to this report, Catalonia’s results were above the European average on ness School. More recently, between 2011 and October 2014, 96 foreign the indicator showing the percentage of population with graduate studi- ICT investment projects have set up in the Barcelona area, and accor- es, and it was also slightly higher than the average in terms of employ- ding to company figures, this has led to more than 6,500 jobs. ment in technology manufacturing and technology services, spending by the public sector on R&D, and sales of new products for the consumer In terms of the knowledge economy, it is worth noting that Catalonia’s market or for companies. labour markets have reached a critical mass in sectors with high added value: Catalonia was the ninth top European region in terms of number For the period 2014-2020, the European Commission is requiring mem- of people employed in high and medium-to-high intensity technology ber states and regions to develop research and innovation (RIS3) strate- manufacturing and in terms of jobs in the area of science and techno- gies that promote economic specialization and knowledge to fit their in- logy in 2013; it was fifteenth in terms of employment in knowledge and novation potential, based on a region’s resources and capabilities, which cutting edge technology services. In 2014, more than half of all employe- are the criteria that will guide the EU’s allocation of funds. The Autono- es (54.1%) in Barcelona worked in knowledge intense activities, while mous Regional Government of Catalonia has set out its policy in a do- the creative sectors accounted for more than 108,500 jobs, with these cument called The research and innovation strategy for Catalonia’s smart sectors performing better during the recession than the city’s average. specialization (RIS3CAT). This will act as the policy framework for the Go- vernment to develop its R&D+I activities and programmes, and support Moreover, Barcelona’s strategy focusing on research has meant the initiatives for the generation and development of innovation projects. city continues to develop in this field and it was fourth in Europe and Barcelona has aligned its strategy based on RISBCN, which defines the eleventh worldwide in terms of scientific output in 2014, according to main sectors and emerging clusters, the technology offer and innovation an annual report by the Polytechnic University of Catalonia. As well, of system, as well as policy areas for each cluster. the 300 Advanced Grants awarded by the European Research Council in 2013, six went to researchers working in Catalonia, which represents 46% of the grants that were awarded to Spain. In addition, the positi- oning of the three public universities in the Barcelona area is worth 34 Population employed in Catalonia, ninth and fifteenth top European region with most jobs in technology manufacturing and technology technology manufacturing and services services in European regions According to Eurostat, Catalonia had Europe’s ninth largest number of people employed in high and medium-high intensity technology manufac- in 2013 turing in 2013, with a total of 175,000 workers. In a year with employment evolution across the main regions showing very different trends, Catalonia stabilized its situation to again lead regions like Darmstadt and Emília- Romagna, which had overtaken Catalonia the year previous- in a ranking topped by Stuttgart, Lombardy and Upper Bavaria. Moreover, Catalonia had a relative employment weight in high and medium-high intensity technology manufacturing of 6.2% which places it in the mid-to-high band of Europe’s 285 regions. Catalonia was in fifteenth place amongst European regions in terms of employment in knowledge-intensive and high technology services with 34 76,000 workers in these activities. After the increase seen in 2012, em- ployment in technology services in 2013 fell and Catalonia dropped seven positions compared to the previous year, but remained ahead of regions like Dublin, Copenhagen, Amsterdam and Stuttgart in a classification he- aded by the regions of Île de France, Madrid and Lombardy. The relative weight of these activities with respect to the total population employed stood at 2.7%, comparable to 2009 and 2011. It’s worth noting that in Bar- celona, employees working in knowledge-intensive and high technology services represented 5.6% of the total in 2014, showing a year-on growth of 9.8%. Population employed in knowledge-intensive services and high technology services and employees in high and medium-to-high technology ma nufacturing, 2013 500 389 400 289 300 200 175 158 139 108 127 100 76 93 68 66 29 0 Lombardy Upper Bavaria Catalonia Rhône-Alps South Outer London (Milan) (Munich) (Barcelona) (Lyon) and East (London) (Dublin) Employees in high and medium-high intensity technology manufacturing (in thousands) Employees in knowledge-intensive and high technology services (in thousands) Source: Eurostat 35 Barcelona report 2015. Knowledge society % Employees % Employees Employees in high and Employees in high in knowledge-intensive in knowledge-intensive medium-high and medium-high and high technology and high technology intensity technology intensity technology services over services manufacturing manufacturing all employees (thousands) City (REGION) over all employees (thousands) 2.0 41 Stuttgart (Stuttgart) 19.1 397 3.2 139 Lombardy (Milan) 9.1 389 4.5 108 Upper Bavaria (Munich) 12.0 289 3.5 50 Karlsruhe (KARLSRUHE) 14.5 207 2,2 100 Istanbul (ISTANBUL) 4.4 205 2.7 49 Piedmont (Turin) 10.5 189 2,3 56 Düsseldorf (Düsseldorf) 7.8 188 5.8 304 Île de France (Paris) 3.4 180 2.7 76 Catalonia (BARCELONA) 6.2 175 1.8 34 Emilia-Romagna (Bologna) 9.1 175 3.6 70 Darmstadt (FRANKFURT) 8.3 161 4.0 82 Cologne (COLOGNE) 7.8 160 3.5 93 Rhône-Alpes (LYON) 5.9 158 8.2 216 Madrid (Community of) (MADRID) 3.8 99 2.4 48 Provence-Alps-Côte d’Azur (Marseille) 4.1 81 35 4.5 108 Mazowsze (Warsaw) 3.2 77 5.8 74 Central Hungary (BUDAPEST) 5.9 76 2.2 29 Schleswig-Holstein (KIEL) 5.6 76 5.3 90 Berlin (Berlin) 4.3 72 3.8 48 Midi-Pyrénées (TOULOUSE) 5.6 70 4.7 66 South East (DUBLIN) 4.9 68 5.0 111 Rome (Lazio) 2.9 63 8.6 105 Berkshire, Buckinghamshire, Oxfordshire (OXFORD) 4.8 58 5.0 59 Gloucestershire, Wiltshire and North Somerset 4.9 58 1.7 25 Loire (NANTES) 3.9 57 4.5 42 Hamburg (Hamburg) 5.1 48 3.5 41 East Anglia (English EST) 3.8 44 4.5 40 Bedfordshire and Hertfordshire (LUTON) 4.8 43 5.3 71 Surrey, East Sussex and West Sussex (BRIGHTON) 3.1 42 6.7 59 Capital Region (COPENHAGEN) 4.5 40 7.0 56 Helsinki - Uusimaa (Helsinki) 4.4 36 3.5 60 South Holland (The Hague) 2.0 34 4,0 46 Lisbon (Lisbon) 2.6 30 5.4 127 Outer London (LONDON) 1.2 29 5.6 54 Southwest (BG) (SOFIA) 2.9 28 7.3 83 Stockholm (Stockholm) 2.1 24 6.4 66 Bucharest - Ilfov (BUCHAREST) 2.2 23 3.7 50 Attica (Athens) 1.7 23 3,7 52 Northern Netherlands (AMSTERDAM) 1.6 22 8.1 52 Prague (Prague) 3.4 22 6.8 109 Inner London (LONDON) 0.8 13 6.2 40 Oslo ogAkershus (OSLO) 1.0 7 Source: Eurostat 36 People employed in science and People employed in science and technology (as a percentage of the total population*) technology in 2013 and spending 25 on research and development 20 18.7 18.9 19.8 19.3 19.1 17.5 18.2 18.6 18.5 in European regions in 2011 16.916.2 15 14.0 14.2 13.4 11.4 11.8 11.7 11.3 11.8 11.911.1 10.8 10.9 10.8 Catalonia, ninth top European region in terms of 10 9.5 8.7 8.8 9.2 9.1 7.6 7.8 7.7 8.1 employment in science and technology 7.66.5 6.5 6.7 7.1 5.1 5.6 5.6 5 4.7 Catalonia had 636,000 employees with graduate degrees working in science and technology in 2013, putting it ninth in the ranking of European regions behind places like Paris, London, Milan and Lyon, but in front of Berlin, Stutt- 0 gart or Amsterdam. 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Catalonia (Barcelona) North Holland (Amsterdam) Lombardy (Milan) 36 After the fall seen in this area of the economy between 2009-2011 and a sig- * Population between 15 and 74 years old nificant increase in 2012, employment in the field of science and technology Source: Eurostat in Catalonia levelled off in 2013 (-0.6% ), while there were increases in other European regions competing in this field. Catalonia remains one of Europe’s regions with the largest amount of talent in this area and the relative weight of workers dedicated to science and technology in relation to all employment in Catalonia stands at around 12%, almost 3 percentage points above 2000’s levels. In 2011 the amount of research and development (R&D) in Catalonia stood at 1.6% of GDP, a higher value than regions like Lombardy or London, but far from the leading areas like Copenhagen, Stuttgart or Stockholm. This indi- cator saw clear progress in the period 2001-2009 in Catalonia, but after this it fell back slightly to 1.50% of GDP recorded in 2013, a higher value than the Spanish average ( 1.24%), but lower than in the EU (2.02%) and the objective set for the 2020 strategy (3%). The same year Catalonia generated about a quarter of all domestic expenditure on R&D by Spanish companies (23.4%) and it accounts for 22% of innovative companies in Spain. 37 Barcelona report 2015. Knowledge society Total domestic Domestic expenditure Employees expenditure on spent by business on in science Employees in science R&D (% GDP) R&D (% GDP) and technology and technology in 2011 in 2011 Region (City) (in thousands) 2013 (*% Population) 2013 3.02 2.02 Île de France (Paris) 1,594 18.4 1.00 0.33 London (London) 1,359 23.4 2.00 1.10 Madrid Community (MADRID) 932 19.5 2.87 1.92 Rhône-Alps (LYON) 685 15.0 1.37 0.35 Mazowsze (Warsaw) 681 17.0 - - Istanbul (Turkey) 665 6.8 1.32 0.91 Lombardy (Milan) 658 8.7 4.50 3.43 Upper Bavaria (Munich) 644 18.6 1.60 0.89 Catalonia (BARCELONA) 636 11.9 1.16 0.42 Andalusia (Seville) 522 8.3 3.53 1.38 Berlin (Berlin) 512 18.2 6.55 6.06 Stuttgart (Stuttgart) 489 15.8 3.12 1.41 Cologne (COLOGNE) 477 14.0 1.84 1.43 Düsseldorf (Düsseldorf) 470 11.8 3.46 2.79 Darmstadt (FRANKFURT) 466 15.6 2.03 1.10 Provence-Alps-Côte d’Azur (Marseille) 459 12.7 2.12 1.01 South Holland (Rotterdam) 446 16.9 0.77 0.36 Attica (Athens) 37 403 13.2 0.52 0.20 Silesia (KATOWICE) 403 11.0 1.67 0.52 Lazio (ROME) 389 8.8 3.77 2.72 Stockholm (Stockholm) 385 23.9 1.64 1.11 Southeast Ireland (DUBLIN) 384 15.6 2.09 1.11 Northern Netherlands (AMSTERDAM) 381 18.5 3.57 2.05 Berkshire, Buckinghamshire and Oxfordshire (OXFORD) 381 22.2 1.62 1.08 Central Hungary (BUDAPEST) 374 16.1 5.05 3.41 Midi-Pyrénées (TOULOUSE) 359 17.4 1.85 1.42 Surrey, East Sussex and West Sussex (BRIGHTON) 358 18.0 1.05 0.42 Valencia (VALENCIA) 349 9.2 0.91 0.24 Lithuania (VILNIUS) 347 15.3 0.84 0.42 Nord-Pas-de-Calais (Lille) 331 11.5 4.36 2.67 Karlsruhe (KARLSRUHE) 330 15.5 5.08 3.58 Capital Region (COPENHAGEN) 316 23.9 2.81 1.86 Gloucestershire, Wiltshire and North Somerset 308 17.3 1.96 1.25 Brittany (RENNES) 303 13.3 1.53 0.97 Aquitaine (Bordeaux) 302 12.6 2.84 2.01 Southern Finland (Helsinki) 292 24.2 0.96 0.41 Greater Manchester (MANCHESTER) 292 14.5 1.48 0.89 Arnsberg (Arnsberg) 290 10.4 1.08 0.35 Bucharest - Ilfov (BUCHAREST) 287 16.0 1.06 0.27 Malopolska (Krakow) 285 11.8 1.17 0.79 Loire (NANTES) 284 11.1 1.44 0.94 Emilia-Romagna (Bologna) 281 8.4 5.00 3.25 East of England (NORFOLK and SUFFOLK) 281 15.7 1.67 0.54 Brandenburg (Potsdam) 277 14.4 2.01 1.58 North Brabant (Hertogenbosch) 272 14.4 1.23 0.49 Campania (Naples) 270 6.1 2.09 1.08 Lisbon (Lisbon) 267 12.6 1.03 0.69 Veneto (Venice) 259 6.9 4.02 3.05 East Sweden (GÖTEBORG) 259 18.2 2.15 1.64 Basque Country (Basque Country) 255 16.1 1.88 1.47 Piedmont (Turin) 255 7.6 *Population aged 15 to 74 Note: Employees who have graduate-level scientific training and are employed as professionals or technicians. Domestic expenditure includes capital, current and labour expenditure -both researchers and administrative staff-related research activities as a proportion of GDP. Source: Eurostat 38 Top cities in the world for scientific output in 2014 Barcelona is eleventh among the world’s top cities and fourth in Europe Last year Barcelona generated 15,636 scientific publications, putting it fourth in Europe and eleventh in the world in terms of scientific output, according to the Knowledge Cities Ranking 2014 prepared by the UPC’s Centre for Land Valuation Policy (CPSV). Barcelona fell one position in the world ranking and remained at the same level in the European ranking, although, like most ci- ties, it saw a fall in the number of publications in relation to 2013. The capital of Catalonia recorded an output in scientific papers similar to Toronto, Balti- 38 more, Chicago and Cambridge-Massachusetts, but clearly above places like Berlin, Munich, Milan and San Francisco. According to the Network of Science and Technology Parks of Catalonia, the academic areas with the majority of international scientific publications in the Barcelona area were clinical medicine, biological sciences, chemical sci- ences, basic medicine and basic physics, in agreement with the site Web of Science Core Collection. At the same time, of the 300 European Research Council Advanced Grants 2013 given to researchers, six work in Catalonia, representing 46% of the grants awarded in Spain, which shows once again the quality of research carried out in this region. At the European level, Catalonia is located in 12th position in terms of number of scholarships awarded, behind Italy. 39 Barcelona report 2015. Knowledge society World World European ranking ranking ranking Publications 2013 City 2014 2014 2014* 1 Beijing 1 62,987 2 London 2 1 36,400 Positioning of Barcelona in the world and European rankings 7 Shanghai 3 30,935 5 Seoul 4 30,262 3 Tokyo 5 29,952 1 6 New York 6 28,698 4 4 4 Boston 7 28,522 5 7 7 7 6 6 5 5 8 Paris 8 2 27,160 9 11 9 Madrid 9 3 17,489 12 Toronto 10 15,662 10 13 12 11 10 Barcelona 11 4 15,63613 15 11 Baltimore 12 15,571 17 17 17 Cambridge (MA) 13 15,450 15 Chicago 14 15,357 21 21 21 20 13 Los Angeles 15 15,285 14 Moscow 16 5 15,191 25 World ranking 16 Philadelphia 17 15,038 27 European ranking 18 Sao Paulo 18 14,903 29 19 Houston 19 14,357 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 20 Rome 20 6 14,189 22 Melbourne 21 13,730 Source: Elaboration of the CPVS from UPC data from SCI (Science Citation Index) 21 Berlin 22 7 13,261 23 Milan 23 8 11,397 24 Singapore 24 12,850 26 Hong Kong 25 12,343 25 Montreal 26 11,976 39 28 Cambridge 27 9 11,476 29 Munich 28 10 11,435 29 Amsterdam 29 11 11,124 31 Oxford 30 12 10,749 30 Osaka 31 10,512 34 Zurich 32 13 10,362 32 San Francisco 33 10,330 33 Pittsburgh 34 10,130 35 Stockholm 35 14 10,123 36 Stanford 36 9,793 37 Copenhagen 37 15 9,332 39 Prague 38 16 7,575 40 Warsaw 39 17 7,140 38 Lyon 40 18 7,020 41 Manchester 41 19 6,882 42 Athens 42 20 6,553 49 New Delhi 43 6,530 48 Edinburgh 44 21 6,191 43 Dublin 45 22 6,154 45 Hamburg 46 23 6,079 44 Mexico City 47 6,060 48 Brussels 48 24 5,571 49 Naples 49 25 5,946 46 Buenos Aires 50 5,916 51 Rio de Janeiro 51 5,911 52 Valencia 52 27 5,700 54 Geneva 53 26 5,535 53 Toulouse 54 28 5,498 55 Lisbon 55 29 5,461 56 Marseille 56 30 5,236 59 Torino 57 31 5,171 56 Glasgow 58 32 5,136 55 Montpellier 59 33 5,050 62 St. Petersburg 60 34 4,969 * Provisional data Source: Polytechnic University of Catalonia (UPC) Centre of Land Policy and Valuations 40 Patent applications in the main OECD provinces in 2011 PCT patents* (number of applications) Barcelona saw a significant increase in technology patents 600 In 2011 the Barcelona area registered 432 international PCT patent ap- 500 plications, according to the residence of the inventor. This represents 436418 419 432 a slight fall on 2010 (436) although there was also a widespread fall in 414 403 400 378 377 patent applications elsewhere. However, Barcelona is still located above Lyon, Madrid, Milan, Amsterdam, Montreal, Toronto and Copenhagen; the 300 number of PCT patents per million inhabitants rose from 77 in 2010 to 272 212 23880.4 in 2011. 40 200 187 Barcelona recorded a significant increase in patent applications with 111 in 2011, 29 more than in 2010 (+37.8%), and as such better than other 100 important provinces like Dusseldorf and Marseille in 2010, and it remains ahead of Milan, Lyon and Copenhagen. 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Data from the Spanish Patent and Trademark Office (OEPM) for 2014 Barcelona Milan * Cooperation Treaty on Patents Amsterdam Font: OCDE show a general downward trend in Barcelona, Catalonia and Spain, with Dublín Barcelona second top place in Spain with 396 patents. 41 Barcelona report 2015. Knowledge society PCT PCT technology Total PCT technology patent applications patent applications Total patent per million per million PCT patent applications inhabitants Province (CITY) inhabitants applications 4,832 366.2 Tokyo (Tokyo) 790.5 10,431 3,451 347.9 Silicon Valley (SAN JOSE) 559.5 5,550 1,751 174.7 Seoul (SEOUL) 322.9 3,237 1.,174 50.3 New York (NEW YORK) 135.4 3,159 1,031 123.5 Boston (BOSTON) 357.6 2,985 868 98.0 Osaka (OSAKA) 306.3 1,714 744 37.1 Los Angeles (LOS ANGELES) 109.1 2,188 391 55.5 Houston (HOUSTON) 253.1 1,783 475 45.5 Chicago (CHICAGO) 161.6 1,688 956 199.3 Seattle (SEATTLE) 297.9 1,429 344 128.4 Stuttgart (Stuttgart) 531.9 1,425 504 187.7 Munich (Munich) 458.0 1,230 430 209.5 Stockholm (Stockholm) 478.1 982 301 196.4 Uusimaa (Helsinki) 467.4 716 237 30.0 London (London) 79.8 629 64 21.8 Düsseldorf (Düsseldorf) 207.4 610 194 55.9 Berlin (Berlin) 160.2 554 179 79.2 Paris (PARIS) 242.8 548 41 111 20.7 Barcelona (BARCELONA) 80.4 432 54 31.0 Rhone (LYON) 232.9 405 161 25.3 Madrid (MADRID) 61.6 393 65 20.5 Milan (Milan) 118.2 373 79 29.3 Amsterdam (AMSTERDAM) 127.6 343 117 59.5 Montreal (MONTREAL) 145.0 286 138 50.0 Toronto (TORONTO) 92.0 253 50 11.9 Roma (ROMA) 45.8 192 75 37.8 Bouches du Rhône (Marseille) 91.1 180 56 32.5 Vienna (Vienna) 103.8 178 29 42,4 Copenhagen (Copenhagen) 256.5 178 15 1.1 Istanbul (ISTANBUL) 13.0 173 67 53.0 Dublin (Dublin) 102.8 130 44 16.8 Manchester (MANCHESTER) 48.8 129 31 17.7 Budapest (BUDAPEST) 66.4 115 39 65.1 Oslo (OSLO) 186.0 111 23 9.2 Valencia (Valencia) 43.7 110 25 22.2 Brussels (Brussels) 94.5 107 29 27.5 Hérault (Montpellier) 87.6 92 36 73.6 Edinburgh (EDINBURGH) 132.2 65 15 3.6 Attica (Athens) 11.9 49 16 7.9 Lisbon (Lisbon) 22.3 46 12 6.8 Warsaw (Warsaw) 22,4 38 7 5.7 Vizcaya (Bilbao) 32.6 37 5 4.2 Prague (Prague) 29.8 37 8 7.6 Birmingham (BIRMINGHAM) 34.1 36 Note: Geographic criterion in terms of patent location is taken as the residence of the inventor. The database contains 2,185 individual provinces, but the table shows only a selected sample of benchmark provinces. Source: OCDE 2 42 Tourism Introduction In 2014, the tourism sector was the key to the city’s economic recovery Barcelona’s airport continued to be ranked amongst the top ten airports and it continued to consolidate its role as one of the drivers of economic in Europe in terms of passenger volume in 2014. Barcelona registered a activity in Barcelona as it has done since 2009. Thus, according to the new record figure of 37,559,044 passengers in 2013, a rise of 2.3 million tourist board, Turisme de Barcelona, the city registered a record number travellers (+6.7%) more than in 2013, according to the Airport Traffic Re- of tourists and overnight stays in 2014 (7,874,941 and 17,091,852, respec- port by ACI Europe. Notably, Barcelona’s airport registered the third lar- tively) which was a considerable increase of 4% and 3.7% respectively, gest passenger increase in Europe’s top 10 passenger airports, only be- compared to 2013. This strong performance by the tourism sector in Bar- aten by Istanbul (IST) and London (Gatwick). Importantly, Barcelona - El celona came mainly from foreign tourism and business tourism, also bo- Prat Airport was named Best Airport in Europe 2014 in the ‘major airports osted by a recovery in Spanish tourism. on the Continent’ category. One of the keys to success has been Barce- lona’s Air Routes Development Committee (CDRA), which was created in This shows the city’s strong position as an international tourism desti- early 2005 by Spanish Airports Authority Aena, the Government of Ca- nation. Barcelona is still amongst the top 25 preferred cities in the world talonia, Barcelona City Council and Barcelona’s Chamber of Commerce for international tourism and 8th in Europe, according to the Top Cities with the aim of developing new intercontinental routes from Barcelona Destination Ranking 2013 by Euromonitor International. Meanwhile, ac- Airport. cording to the European Cities Marketing Benchmarking Report 2014, the capital of Catalonia was the fifth top city in Europe with most overnight A number of trade fairs contributed to the growth in business visitors in 43 stays by foreign tourists in 2013, only behind London, Paris, Berlin and 2014, including the Mobile World Congress, Alimentària, Hostelco, Expo- Rome. Regarding other relevant rankings, according to the MasterCard quimia, the Saló Nàutic boat show and Smart City Expo. Index of Global Destination Cities 2014, Barcelona ranks eleventh top city in the world and fourth best in Europe in terms of international visitor num- The City Council has developed a sustainable tourism model based on Tourism bers (behind London, Paris and Istanbul), and it is 7th in the world and criteria set out under the Biosphere Certification process, an environ-third in Europe in terms of international tourism spending. TripAdvisor mental quality standard awarded to the city in 2011 and which includes ranks Barcelona as the 15th most popular city for tourists. the promotion of ‘green’ products, energy efficiency improvements, and waste management policies at tourist accommodation, as well as pro- The port and airport, the main access routes into the city, also recorded moting the city as a sustainable destination. It also tries to promote the strong results and these boosted the city’s tourism. On the one hand, decentralization of tourism with the aim of generating opportunities and Barcelona established itself as Europe’s main port for cruises for the thi- wealth connected to tourism across all the city’s neighbourhoods. rteenth consecutive year. In 2013, it handled a record 2.599 million cruise passengers, 8% more than the previous year, according to data from Cru- ise Insight. One of the highlights last year saw Oasis of the Seas, a Royal Caribbean ship, and the world’s largest cruise boat, dock in the port of Barcelona in September 2014; it has a capacity for 8,000 passengers and is 360 meters long. This year Royal Caribbean plans to make Barcelona the turnaround port for Oasis of the Seas’ twin ship, Allure of the Seas, meaning Barcelona will be the start and end point for seven-night crui- ses visiting the main ports in the south of France and Italy. It is the first time a vessel of this type has operated continuously in Europe, and it will represent a huge economic impact for the city because passengers from around the world will travel to Barcelona to start their cruises and many will probably lengthen their stays, thus contributing to the city’s economy. 44 Main airports in Europe by Variation Passengers City (Airport) 2014/2013 (%) 2014 passenger traffic in 2014 London Heathrow (LHR) 1.4 73,371,195 Paris Rosy (CDG) 2.8 63,813,756 Frankfurt (FRA) 2.6 59,566,132 Istanbul (IST) 11.0 56,954,790 Amsterdam (AMS) 4.6 54,978,023 Madrid (MAD) 5.3 41,833,374 Munich (MUC) 2.7 39,716,877 Barcelona amongst the Top 10 major airports in Europe Rome-Fiumicino (FCO) 6.5 38,506,467 London Gatwick (LGW) 7.4 38,094,845 Barcelona (BCN) 6.7 37,559,044 According to data from ACI Europe’s Airport Traffic Report, in 2014 Barcelona- Moscow Domodedovo (DME) 7.4 33,039,531 El Prat Airport achieved a new record in passenger traffic with 37.6 million Moscow (SVO) 7.9 31,567,974 travellers, representing an increase of 2.3 million passengers (+6.7%) compa- Paris Orly (ORY) 2.1 28,862,586 red to the previous year. This increase is the third largest amongst Europe’s Antalya (AYT) 5.0 28,341,063 top 10 airports, just behind Istanbul and London-Gatwick (with 11% and 7.4%, Copenhagen (CPH) 6.5 25,627,093 Zurich (ZHR) 2.5 25,477,622 respectively). Barcelona’s airport has consolidated its tenth position in the Oslo (OSL) 4.8 24,269,235 European ranking, after going from 9th to 10th in 2013 when London-Gatwick Istanbul (SAW) 26.1 23,508,141 44 overtook it, but it is above airports like Domodedovo (Moscow), Orly (Paris) or Palma de Mallorca (PMI) 1.5 23,115,499 Zurich. There is only one change in positions in the top 10: Istanbul’s airport Vienna (VIE) 2.2 22,483,158 Stockholm-Arlanda (ARN) 8.4 22,417,351 jumps above Amsterdam, now positioned in fourth and fifth place in Europe, Manchester (MAN) 6.1 21,951,758 respectively. Berlin (TXL) 14.6 21,933,190 Düsseldorf (DUS) 2.9 21,850,489 The annual trend in passenger traffic was positive for the top 25 airports in Dublin (DUB) 7.7 21,712,173 Europe, but varied in terms of magnitude (ranging from 2.1% in the case of Source: Airports Council International, Airport Traffic Report 2014 Paris-Orly to 26.1% for Sabiha Airport in Istanbul). Istanbul’s Sabiha Airport, Barcelona Committee for the Development of Air Routes (CDRA) Berlin’s Tegel Airport and Istanbul Airport showed the strongest growth in passenger traffic in 2014 compared to 2013. Barcelona Airport’s passenger Passengers (millions) traffic growth of 6.7% was in the mid-to-high band in terms of passenger rate increases at European airports. 60 50 In terms of the regional origin of passengers, Europeans represented 64% of all passenger traffic at Barcelona’s airport, and this segment really dri- 40 10 10 ves traffic and contributed most to the increases in passenger numbers in 9 9 30 9 2014. Spanish passengers, which represented just over one quarter of total 9 99 9 10 passenger traffic, grew by 1%, breaking the downward trend seen in previous 920 years. Lastly, intercontinental passengers are the fastest-growing segment (11% up on the previous year) and it now makes up 8% of all passenger traffic 10 at Barcelona airport. 0 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Barcelona (BCN) Munich (MUC) Barcelona’s position in the ranking Amsterdam (AMS) Milan (MXP) * In 2010 Barcelona Airport dropped one position due to the entry of Istanbul in the ACI’s statistics. If it had not been for that, it would have remained ninth. Source: Airport Council International, ACI Europe Airport Traffic Reports and Committee for the Development of Air Routes (CDRA) 45 Barcelona report 2015. Tourism International tourists in world’s InternationalVariation tourists top cities in 2013 City 2013/2012 (%) 2013 (thousands)Hong Kong 7.6 25,587.3 Singapore 5.4 22,455.4 Bangkok 10.4 17,467.8 London 8.6 16,784.1 Paris 4.6 15,200.0 Macau 5.1 14,268.5 Barcelona was the eighth top destination for New York 2.0 11,850.4 Shenzhen -3.0 11,702.5 international tourists in Europe Kuala Lumpur 5.0 11,182.4 Antalya 8.0 11,120.7 According to the report Top Destination Cities Ranking 2013 by Euromo- Istanbul 11.8 10,486.3 nitor International, Barcelona ranks 25th out of 100 cities in the world in Dubai 6.9 10,458.3 Seoul 3.1 8,619.0 terms of international tourist arrivals and 8th in Europe, which are slightly Rome 2.2 8,608.3 lower positions than those registered by Barcelona in 2012 (23rd and 7th , Phuket 11.3 8,035.0 respectively) having been overtaken by Milan and Seoul. However, the num- Guangzhou -3.0 7,630.1 ber of international tourists that chose Barcelona as a tourist destination rose Mecca 9.6 7,512.1 to 5.5 million in 2013, 1.2% more than the previous year, which put Barcelona Pattaya 6.4 6,986.2 Taipei ahead of Moscow, Beijing and Los Angeles worldwide, and Budapest, Venice 2.0 6,692.4 45Miami 4.1 6,275.1 and Vienna at the European level. In Europe, Barcelona came behind London, Prague 1.8 6,208.5 Paris, Antalya, Istanbul, Rome, Prague and Milan. Shanghai -6.5 6,089.7 Las Vegas -0.8 6,046.9 Meanwhile, according to the European Cities Marketing Benchmarking Re- Milan 1,.8 5,873.9 port 2014, Barcelona remained the fifth top European city with most over- Barcelona 1.2 5,524.6 Moscow 8.0 5,438.9 night stays by international tourists in 2013, behind London, Paris, Berlin Amsterdam 1.2 5,204.1 and Rome, but above Madrid, Prague, Istanbul, Vienna and Munich. Also, Vienna 4.5 5,187.6 according to the MasterCard Index of Global Destination Cities 2014, Bar- Venice 2.7 5,159.6 celona ranks eleventh city in the world and fourth in Europe regarding Los Angeles 1.1 5,073.7 international visitor numbers (only behind London, Paris and Istanbul) Lima 27.1 4,900.8 Tokyo and the 7th in the world and 3rd in Europe in terms of international tourism 22.5 4,594.5Johannesburg 3.3 4,512.2 spending. Beijing -10.1 4,502.5 Sofia 7.8 4,448.5 International tourists (in thousands) Orlando 3.0 4,379.2 Berlin 4.9 4,312.5 Budapest 7.5 4,222.0 15.000 Ho Chi Minh City 7.0 4,197.7 Florence 2.0 4,186.1 Madrid -2.6 4,006.4 12.000 Warsaw 8.9 3,987.0 Doha 21.2 3,773.0 Nairobi 9.3 3,755.7 2007 2008 9.000 Delhi 27.3 3,672.2 Mumbai 22.4 3,643.9 20 23 25 6.000 11 18 16 Chennai 1.3 3,581.2 10 16 Mexico City 10.1 3,441.6 Dublin 9.7 3,398.3 3.000 San Francisco 2.0 3,252.7 2006 2007 2008 2009 2010 2011 2012 2013 Note: Arrivals include both international visitors arriving in the city and visitors who come to the city Barcelona Rome Barcelona’s position in the world ranking through another entry point. A visitor is a person visiting the city at least 24 hours and less than 12 Paris Amsterdam months, who is sleeping in private or collective accommodation. Excluded are day trippers and domestic tourists. Note: from 2008 there is a break in the series because the number of cities analysed is reduced from 150 to 100. Source: Euromonitor International. Top Cities Destination Ranking 2013. Source: Euromonitor International. Top Cities Destination Ranking. 46 The world’s major cruise ports Passengers Passengers Variation 2013 in 2013 City Port 2012 (thousands) 2013/2012 (%) (thousands) Miami 3,774 7 4,030 *Port Canaveral 3,761 0 3,771 Port Everglades 3,690 -5 3,506 The port of Barcelona remains the epicentre of Barcelona 2,409 8 2,599 European cruise tourism Venice 1,775 2 1,816 Southampton 1,529 10 1,683 New York 1,172 4 1,220 Galveston 1,208 0 1,209 In 2013 the Port of Barcelona was named Europe’s and the Mediterranean’s Genoa 797 44 1,150 top turnaround port for the thirteenth consecutive year, according to the Singapore 913 13 1,030 magazine Cruise Insight (autumn 2013). The number of cruise passengers New Orleans 976 1 988 Savona 810 16 939 passing through the Port of Barcelona in 2013 stood at almost 2.6 million, Seattle 934 -7 871 which represents an increase of 8% compared to the previous year, which Tampa 974 -12 854 means the port recovered from the drop it experienced in 2012, and has now Vancouver 667 22 813 almost equalled its 2011 record. The Port of Barcelona is again the fourth top Copenhagen 840 -4 805 Santos 805 -5 763 46 turnaround port in the world, above Venice, Southampton and New York, and Long Beach 914 -35 597 only behind the three major ports of Florida (Miami, Port Canaveral and Port Shanghai 450 29 580 Everglades). Hamburg 430 28 552 TOTAL 28,828 3 29,776 Barcelona has been extraordinarily successful at making itself a turnaround * Excludes casino boats port for the leading cruise companies in recent years and this is seen in the Source: Cruise Insight. Autumn 2014 increases in cruise passengers numbers, which quadrupled between 2001 and 2013. Importantly, more than half of the cruises in Barcelona are tur- Cruise passengers (in millions) naround cruises, meaning they begin or end in the city. Precisely this type of tourist is the most profitable for the city because they usually spend a few days in town before or after their cruise. All this has led to extensive refurbishments and expansion at the Port of Barcelona’s cruise facilities, and now it boasts seven international passen- ger terminals. At the moment, terminal D is being expanded (Palacruceros), which belongs to the Carnival Group. Furthermore, Carnival has also an- nounced it will build a new terminal at the Port of Barcelona’s Terminal E, making it the port’s largest cruise facility. 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 Barcelona Venice Barcelona’s position in the European ranking. Source: Cruise Insight. Autumn 2014 Barcelona report 2015. Tourism 47 2008 2009 2010 2011 2012 2013 48 Sustainability and quality of life Introduction Barcelona City Council’s main strategies for the period 2012-2015 inclu- Meanwhile, Barcelona is the 15th safest city in the world, according to The de the objective of making the city a healthy place that fully integrates Safe Cities Index 2015 report compiled by British magazine The Economist, environmental concerns, urban planning, infrastructure and ICTs in or- which assesses urban security in the digital age. Importantly, Barcelona der to move towards a self-sufficient energy model, with productive, hu- ranked 7th in terms of health safety. Also noteworthy was its 5th place in man-speed neighbourhoods within a hyper-connected, zero-emissions the fashion capitals listing by Global Fashion Capital Ranking, and 1st pla- city. In short, many slow, pacific cities within a smart city that is there to ce in a ranking of beaches (National Geographic) and 38th position in the serve people. ranking of quality of life by Mercer, ahead of cities like London, Milan or New York. Barcelona’s commitment as a smart city means it fully integrates eco- logy, urbanism and technologies to improve sustainability and quality of With reference to companies’ commitment to the environment, in De- life for people. The development of local programmes like the Smart City cember 2014 the province of Barcelona had 191 certification registers Campus and Barcelona Urban Lab is related to several activities connec- and the city accounted for 79 of these, meaning Barcelona stabilized its ted to energy efficiency and sustainability. The city’s initiatives, together results while the province has seen falls in registers, compared to Sep- with promotional activities and international co-operation programmes tember 2013. Certifications recorded in the province and the city of Bar- -Smart City Expo, Mobile Word Congress, the City Protocol or hosting the celona represented 67% and 27.7% of all those registered in Catalonia. World Bank’s forum on smart cities –have earned Barcelona recognition Finally, according to the ISO Survey 2013, Spanish companies have rece- 49 from magazine Fast Co.Exist as fourth best smart city in Europe. The EU’s ived a total of 16,000 ISO 14001 accreditations, which makes Spain the Grow Smarter programme, which is focused on the application of smart fifth top country in the world in accreditations, behind China, Japan, Italy and replicable solutions to meet the challenges cities face regarding re- and the UK. ductions in energy consumption and transportation emissions to 60% by 2020, has chosen Barcelona, Stockholm and Cologne as ‘lighthouse citi- Barcelona is currently the world headquarters of UN-Habitat’s urban re- es’ to implement a dozen solutions to move forwards in these areas and silience programme, and at the end of 2014 it became part of the network share their results with follower cities. of 100 resilient cities promoted by the Rockefeller Foundation, which va- lued Barcelona’s innovative approach to preparing for a crisis affecting Barcelona’s international position in the area of mobility is strong becau- services and infrastructure. Likewise, this year the UN has chosen Bar- se of its use of sustainable transport, which represents 81% of inner city celona to locate its centre specializing in Public-Private Partnerships in journeys, and low commute times to work because of the city’s compact Smart and Sustainable Cities (PPP for Cities), confirming the city’s poten- urban structure. However, analyzing the metropolitan area and factors tial for establishing itself as a platform for research and development of such as emissions, energy consumption and the efficiency of the overall new opportunities in the field of Smart cities. system, as does the International Union of Public Transport’s study on the future of urban mobility, Barcelona’s results are not so impressive: it ranks 20th amongst 84 agglomerations worldwide and 16th in Europe. Im- portantly, it ranked 7th in the world in terms of electric mobility, according to the International Energy Agency. Other international comparisons include the City Rep Track Report by the Reputation Institute which ranks Barcelona 9th best city in the world in terms of having the best reputation in 2014, after jumping 14 positions compared to the previous year, and they also rank the city as the fifth most recommended to visit, behind Florence, Paris, Venice and Vienna, while according to the Guardian Cities Global Brand Barometer developed by Saffron, Barcelona’s overall brand is ranked sixth strongest in the world among 57 major world cities. 50 Smart and sustainable cities Top 10 smart cities 2012 in Europe 2013 in 2013 1 Copenhagen 1 2 Amsterdam 2 3 Vienna 3 8 Barcelona 4 Barcelona is Europe’s 4th top Smart City 4 Paris 55 Stockholm 6 6 London 7 According to magazine Fast Company, Barcelona is the fourth top smart 7 Hamburg 8 city in Europe, behind Copenhagen, Amsterdam and Vienna, and up four 9 Berlin 9 10 Helsinki positions on the 2012 ranking to stand ahead of Stockholm, Paris, Ham- 10 burg and London. Source: Fast Company, The Smartest Cities in Europe. Barcelona is today an international benchmark in terms of its leadership in promoting smart cities internationally and for the city’s many techno- logy development initiatives aimed at smart city management. Internatio- nally, the capital of Catalonia organizes the annual international congress on smart cities and it is also the promoter of the City Protocol, a glo- rs A 50 bal standard for measuring progress on creating more sustainable and smarter cities. t Barcelona has taken on a number of initiatives in its role as a testing ngem e ground for smart technologies developed by prestigious technology com- Ed n a u M aca ce panies like Cisco Systems, GDF Suez, Schneider Electric, HP, Microsoft, tion Economy r Res ou Telefónica and Abertis Telecom, with notable pilot tests in the area of ng intelligent traffic lights, traffic control, optical fibre, sensors in selective Crea itivity rban plan n U Ciutat waste collection bins and noise sensors, the smart metres for household Smart i n t eCl·iltiygent water and gas and street lighting using LEDs. Other energy efficiency transport Oainable nline Se measures worth highlighting include support for electric vehicle use, a Sust rvices policy that puts Barcelona in seventh place in the world in terms of elec- ces s Quality In c fra tric mobility, according to the International Energy Agency (EV City Case- al a of life sod truc ltim tu book 2012). Apart from this, there are a lot of projects being developed u reM as part of the world mobile capital 2013-18 and Open Data competitions that complement the city’s commitment to technology to enhance citizen services. Moreover, this year the United Nations has chosen Barcelona to locate its Specialized Centre in Public-Private Partnerships for Smart and Sus- tainable Cities (PPP for Cities), a research and innovation centre with ad- visory services for public administrations, which consolidates the city’s position as a platform for research and development and new market opportunities in the field of smart cities. A c tions a n d i ndi c ato ICT in t ransportati C oul nture an Sd o W ce ielln tyess Productivity Go Ov pe pr on rtm une itn y t Smart buildigs tions a n d indicator A c s dicat o rs in s a nd n cti o nt me ve rn o n g Op e nt me viro n En Hea lth Security bal l and glo ectio n ty Loca con n obi li M on ra ti Int eg 51 Barcelona report 2015. Sustainability and quality of life e Global city brands in 2014 Position City Points 1 Los Angeles 18 2 New York 17.7 2 London 17.3 4 Paris 17.2 Barcelona, 6th top city in terms of brand 5 Seoul 15.96 Barcelona 15.8 7 Rio de Janeiro 15.3 According to the Guardian Cities Barometer compiled by consultants Saf- 8 San Francisco 15.2 fron, Barcelona is the sixth best city in the world in terms of its global brand 9 Las Vegas 15.2 10 Dubai 14.6 power, ahead of Rio de Janeiro, San Francisco, Istanbul, Milan and Berlin, 11 Istanbul 14.6 in a ranking which evaluates 57 major cities around the world and which is 12 Madrid 14.4 led by Los Angeles, New York, London, Paris and Seoul. 13 Chicago 14.3 14 Singapore 14 According to Saffron, a city brand is represented by the average percepti- 15 Bangkok 13.6 16 Sydney 13.4 on and associations of ideas that people have about it, in other words, the 17 Mexico City 13.4 image it transmits. The study takes into account two fundamental aspects 18 Buenos Aires 13 for determining a city brand: its physical assets, which includes climate, 19 Mumbai 13.3 51 tourist sites and attractions, infrastructure, the level of security and econo- 20 Sao Paulo 12.2 21 Mecca 12 mic prosperity, and its media presence, including social network posts and 22 Atlanta 11.8 mentions in the media. Barcelona got nine out of ten for its media covera- 23 Melbourne 11.7 ge, only beaten by Los Angeles, New York, London and Paris, who all got 10 24 Milan 11.4 points, and 6.8 in terms of its assets. 25 Berlin 11.4 Note: Overall score between 1 and 20. Resulting from the sum of points obtained over a maximum of 10 categories for assets and media coverage. The results of this study placed Barcelona in a group of cities including Se- Source: Guardian Cities Global Brand Barometer, 2014. Saffron Brand Consultants oul, San Francisco, Rio de Janeiro, Las Vegas, Istanbul and Dubai, which are located just below the top 4. This shows Barcelona is taking full advan- tage of its strengths, promoting information sharing via social networks, appearing in the media and managing the organization of international events very well. 52 City classifi cation 10 9 Shanghai Singapore Tokyo 8 Los Angeles Beijing Seoul New York Sydney Madrid LondonSan Francisco Paris 7 Barcelona Vienna Bangkok Rio de Janeiro Venice Lisbon / Washington Milan / Berlin Mexico City Manau Buenos Chicago Las Vegas 52 6 AiresCopenhagen Nueva Delhi Rome Atlanta Tel Aviv Seattle Abu Dhabi Melbourne Vancouver Istanbul/Abu Dhabi Doha Sao Paulo Mumbay 5 Oslo Marrakech Riyhad MeccaKuala Lumpur Santiago Krakow Salvador Bangalore 4 Sofi a Lima Hanoi Chittagong 3 Cape Town Lagos Algiers 2 Nairobi 1 0 0 2 4 6 8 10 12 Media mentions Leaders Competitors To take into account Emerging Below potential Source: Guardian Cities Global Brand Barometer, 2014. Saffron Brand Consultants Assets 53 Barcelona report 2015. Sustainability and quality of life e Cities with the best reputation Position City Index in the world in 2014 1 Vienna 1 76.4 2 Munich 2 76.2 2 Sydney 2 75.5 4 Florence 2 75.3 5 Venice 5 75.2 Barcelona amongst the top ten cities in the world 6 Oslo 5 74.9 in terms of reputation 7 Vancouver 5 74.8 8 London 5 74.6 9 Barcelona 5 73.7 The results of the City Rep Track Report by the Reputation Institute ranked 10 Montreal 5 73.1 Barcelona 9th top city in the world with the best reputation in 2014, in a list 11 Copenhagen 11 72.8 of 100 cities with the largest populations, GDP and tourism, and based on 12 Helsinki 11 72.7 13 Brussels 11 72.6 an online survey of 19,000 people in the world’s most influential countries 14 Amsterdam 11 72.4 (G-8*). 15 Paris 11 72.2 15 Perth 16 72.2 Barcelona has improved its ranking significantly, jumping fourteen positi- 17 Brisbane 16 72.0 17 Geneva 16 72.0 ons up since 2013’s ranking to stand behind Vienna, Munich, Vancouver and 19 Edinburgh 16 71.9 London, and above Montreal, Amsterdam, Paris and New York. The city is 19 Zurich 16 71.9 53 the fifth most recommended place to visit, behind only Florence, Paris, Ve- 21 Melbourne 71.8 nice and Vienna. 21 Stockholm 71.8 23 Rome 71.5 24 Frankfurt 71.4 Respondents evaluated the key factors in the attractiveness of a city, like 25 New York 71.2 effective government and advanced economies, which are the basis of a 26 Toronto 70.9 good reputation, a characteristic that reflects admiration, respect, trust 27 Dublin 70.6 Seattle 70.2 and positive associations, and that generates tourism attraction, foreign in- 28 28 Berlin 70.2 vestment, knowledge and talent, as well as increased exports and helps to 30 Osaka 70.0 improve foreign relations. 30 San Francisco 70.0 Note: The index takes a value between 0 and 100 Positioning of Barcelona in the City Rep Track (2011-2014) Source: 2014 City Rep Trak. Reputation Institute. 0 5 6 7 10 9 15 20 23 25 30 2011 2012 2013 2014 Source: 2014 City Rep Trak. Reputation Institute 54 Position City Index 0/100 1 Tokyo 85.6 2 Singapore 84.6 3 Osaka 82.4 4 Stockholm 80.0 5 Amsterdam 79.2 6 Sydney 78.9 7 Zurich 78.8 8 Toronto 78.8 9 Melbourne 78.7 10 New York 78.1 The 2015 Safe cities index 11 Hong Kong 77.212 San Francisco 76.6 13 Taipei 76.514 Montreal 75.6 15 Barcelona 75.2 16 Chicago 74.9 17 Los Angeles 74.2 18 London 73.8 Barcelona, amongst the safest cities in the world 19 Washington DC 73.4 20 Frankfurt 73.1 21 Madrid 72.4 22 Brussels 71.7 Barcelona is amongst the safest cities in the world, according to The Safe 23 Paris 71.2 Cities Index 2015 report compiled by British magazine The Economist, which 24 Seoul 70.9 assesses urban security in the digital age. Barcelona is ranked fifteenth in 25 Abu Dhabi 69.8 26 Milan an overall ranking of fifty cities from all the continents that is led by Tokyo, 69.627 Rome 67.1 Singapore and Osaka; it comes fourth amongst European cities, just behind 28 Santiago 67.0 Stockholm, Amsterdam and Zurich and ahead of London, Madrid or Paris. 29 Doha 66.4 Furthermore, the capital of Catalonia occupies eleventh place among the 30 Shanghai 65.9 upper-middle income cities in the report. 31 Buenos Aires 65.9 32 Shenzhen 65.8 54 33 Lima 65.0 The report’s findings are based on forty indicators that evaluate security 34 Tientsin 63.6 from citizens’ perspectives, concerning health, facilities and digital/techno- 35 Rio de Janeiro 63.5 logy situation. In the category regarding personal or public safety, which 36 Kuwait (City) 63.5 37 Beijing 63.3 takes into account crime and police indicators, Barcelona came in eleventh 38 Canton 62.8 position in the world and third among European cities with least crime and 39 Bangkok 62.7 best enforcement indicators, only behind Stockholm and Amsterdam. The 40 Sao Paulo 62.3 report highlights the strategy of increasing police presence on the streets 41 Istanbul 62.3 42 Delhi 61.9 and the city metro system over the last three years, generating 32% less 43 Moscow 61.6 crime in the suburbs. 44 Bombay 60.7 45 Mexico City 59.5 The most outstanding result for Barcelona in this report is its seventh po- 46 Riyadh 57.1 47 Johannesburg 56.3 sition in terms of healthcare quality. The study took into account aspects 48 Ho Chi Minh City 54.9 like public access to the health system, the ratio of beds and doctors per 49 Teheran 53.8 thousand inhabitants, air and water quality and life expectancy. Regarding 50 Jakarta 53.7 infrastructural security, the city was placed 14th, while it was in 29th place in terms of digital security. Categories of urban security. Positioning of Barcelona 0 5 7 10 11 15 14 20 25 30 29 35 Digital Health Infrastructure Personal security security security safety Source: The Safe Cities Index, 2015. The Economist Intelligence Unit Source: The Safe Cities Index 2015, The Economist Intelligence Unit 55 Barcelona report 2015. Sustainability and quality of life e Best cities in the world for Ranking City Index urban mobility in 2013 1 Hong Kong 1 58.2 2 Stockholm 2 57.4 2 Amsterdam 2 57.2 4 Copenhagen 2 56.4 5 Vienna 5 56 The Barcelona area is the 20th best metropolis in the 6 Singapore 5 55.6 world 7 Paris 5 55.4 8 Zurich 5 54.7 9 London 5 53.2 The Future of Urban Mobility 2.0 report by the International Union of Trans- 10 Helsinki 5 53.2 port Public (UITP) ranks Barcelona’s metropolis as 20th in the world and 11 Munich 11 53 15th in Europe from a total of 84 world urban agglomerations and 26 in Eu- 12 Stuttgart 11 51.9 13 Berlin 11 51.7 rope. Hong Kong, Stockholm, Amsterdam, Copenhagen and Vienna topped 14 Wuhan 11 51.1 the ranking. The capital of Catalonia achieved a score similar or the same 15 Madrid 11 50.3 as those of Shanghai, Seoul, Tokyo and Frankfurt, but ahead of Prague, 16 Hannover 16 50.1 Istanbul and Beijing. Compared to the same ranking in 2011, Barcelona 17 Brussels 16 49.7 17 Seoul 16 49.3 dropped six places mainly due to the incorporation of central and northern 17 Tokyo 16 49.2 European conurbations in the study with very efficient transport systems. 20 Barcelona 16 49.1 55 21 Shanghai 49.1 An analysis of the indicators shows the Catalonian metropolis was rated 21 Frankfurt 48.8 23 Prague 47.8 high because of its public sector strategy and actions, its share of zero- 24 Warsaw 47.8 emission transport modes in the distribution of mobility types, the city’s 24 Nantes 47.7 performance regarding its shared bicycle scheme, the density of road spa- 26 Shenzhen 47.7 ce, improvements to traffic-related deaths and travel commute times to 26 Istanbul 47.2 28 Beijing 47.2 work. On the other hand, it needs to improve its performance in pollution 29 Canton 47.2 reduction, the high price of public transportation, carpooling and its share 30 Santiago de Chile 47.1 of public transport use in the distribution of mobility, among others. * The index takes values between 0 and 100 Source: Future of Urban Mobility 2.0. Report Moreover, according to the Scorecard on Prosperity 2014 by the Toronto Board of Trade, Barcelona is the sixth top urban area with lowest avera- ge commute times amongst 24 cities analyzed in Europe, Canada and the Positioning of Barcelona in the European ranking for mobility indicators * United States, with an average of 56 minutes. In addition, it is in 8th positi- on regarding the use of sustainable transport means to get to work. These 0 Above the Europea average positive results are related to the city’s compact urban model and public 12 European average policies to boost sustainable mobility developed by the City Council in re- 4 4 cent years. 6 5 6 8 8 10 9 9 10 10 12 * Selection of indicators in which Barcelona exceeds or equals the European average. Source: Future of Urban Mobility 2.0 Report, UITP and Arthur D. Little. Public sector strategies Quota mobility zero emissions Bike sharing scheme Urban density Road density Evolution mobility zero emissions Commute time to work CO2 emissions from transport Traffic-related deaths Prices and costs Introduction Inflation entered into a historical stage characterised by moderation Finally, it is worth noting that Barcelona has a strong position in terms from the end of 2013, which saw downward pressure during 2014 and of the competitiveness of its rental prices for industrial land, offices and even dropping 0.4% last December in the province of Barcelona. The commercial premises, which means Barcelona is attractive for doing main causes of the decline in inflation were very strong falls in oil prices business, both in terms of new business set-ups and for keeping those during the last few months of the year, as well as moderation in labour that already have facilities here. The trends in rental prices of offices and costs and weak domestic demand. The combined phenomenon of weak industrial warehouses remained stable in the city of Barcelona in 2014, growth and stagnation in prices is not unique to our country, because the while shops and commercial premises’ rentals rose in the city centre, majority of member countries of the euro area experienced very low or whilst remaining stable over the city as a whole, which has generally me- negative inflation and weak growth in 2014. This situation has pushed the ant an improved competitive position compared to other benchmark citi- ECB to implement various unconventional monetary policy measures to es in the area including Europe, the Middle East and Africa. boost domestic demand. Despite the fall in prices and moderation in labour costs, the Cost of living index produced by Mercer Human Resource Consulting increased in the city of Barcelona in 2014 for the second consecutive year. This increase 57 is mainly due to the appreciation of the Euro, because the comparison of prices is made with respect to New York. However, Barcelona can be considered a city with moderate costs of living compared to other cities in Europe and the world. As for salaries, Barcelona is in the mid-band of gross salaries in Europe and the world, above cities such as Rome, Seoul, Dubai, Lisbon and Tel Aviv. At the same time, VAT and Corporation tax rates remained stable in 2014, after the VAT increases seen at the beginning of 2012. However, Spain is still in the mid-to-high band compared to the average rates across the EU, especially with regard to taxes on corporate profits, although this tax rate will fall in 2015 and 2016 after tax reforms were passed by the Spa- nish government. 58 59 Barcelona report 2015. Prices and costs Cost of living in cities around Ranking 2013 City Ranking 2014 the world in 2014 1 Luanda 1 4 N’Djamena 2 6 Hong Kong 3 5 Singapore 4 8 Zurich 5 The cost of living got more expensive in Barcelona in 7 Geneva 6 2014 due to a stronger Euro 3 Tokyo 7 9 Bern 8 2 Moscow 9 Barcelona rose in the ranking of costs of living in the world in 2014 for the 14 Shanghai 9 second consecutive year. According to an annual study by Mercer Human 15 Beijing 11 Resource Consulting, developed from an analysis of more than 200 products 25 London 12 and basic services in 211 cities in the world, Barcelona was in 71st position in 22 Victoria 13 13 Seoul 14 the world in 2014, up 13 positions on the previous year. It’s worth remembe- 17 Copenhagen 15 ring that during the crisis Barcelona dropped 54 positions in this cost of li- 24 New York 16 ving ranking, from 31st position in 2008 to 85th in 2012. As such, the increases 29 Shenzhen 17 seen in 2013 and 2014 -although a relative rise in costs of living- still means 32 Tel-Aviv 18 the city is in a more competitive position than before the recession. 21 Libreville 19 33 Kinshasa 20 59 11 Oslo 21 This situation is not unique to Barcelona, as most large European cities have 45 Noumea 22 also risen up the ranking. This is the case for cities like Paris, Rome, Milan 12 Osaka 23 and London, which climbed between 10 and 13 positions each last year. The 35 Guangzhou 24 fact that the Euro got stronger in relation to the Dollar between the middle 36 Lagos 25 of 2012 and 2014 explains why the majority of European cities saw increa- 9 Sydney 26 37 Paris 27 ses in their costs of living in the last two years, because this comparative 40 Brazzaville 28 study is made against New York. In the case of Barcelona, the rising cost of 39 Bamako 29 living is basically due to the effect of the exchange rate, because prices and 41 Milan 29 wage costs levelled off in 2014. Suffice to say that the average annual pro- 44 Rome 31 vincial rate of inflation in Barcelona was +0.3%. However, overall, Barcelona 48 Vienna 32 remains in a competitive position compared to major cities in Europe and 16 Melbourne 33 46 Conakry 34 the world. 23 St. Petersburg 35 49 Abuja 36 Barcelona’s position 18 Perth 37 42 Stockholm 38 Highest costs 52 Amsterdam 39 31 31 51 Dakar 40 26 Nagoya 41 55 Helsinki 42 38 38 Abidjan 42 46 Douala 44 43 55 Yaounde 45 57 Baku 46 49 69 Nanjing 46 65 Qingdao 48 56 56 19 Sao Paulo 49 67 Tianjin 50 66 84 Barcelona 71 71 Source: Mercer Human Resource Consulting. Worldwide Cost of Living Survey, City Rankings 2014 85 84 Lowest costs 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Source: Mercer Human Resource Consulting, Worldwide Cost of Living Survey. City rankings 2014 60 Tax Base Corporate Country VAT (%) Country Tax Base (%) Hungary 27 United States 40.0 Norway 25 Japan 35.6 Denmark 25 Argentina 35.0 Sweden 25 Belgium 34.0 Finland 24 India 34.0 Greece 23 France 33.3 Portugal 23 Italy 31.4 Corporation tax and VAT Poland 23 Australia 30.0Ireland 23 Spain 30.0 in countries across the world Italy 22 Germany 29.6Slovenia 22 Luxembourg 29.2 Argentina 21 South Africa 28.0 in 2014 Belgium 21 Norway 27.0 Spain 21 Canada 26.5 Netherlands 21 Israel 26.5 Czech Republic 21 Greece 26.0 Latvia 21 Tunisia 25.0 Corporate tax and VAT rates are still above the France 20 Austria 25.0 European average Austria 20 Netherlands 25.0 Slovakia 20 China 25.0 United Kingdom 20 Denmark 24.5 Germany 19 South Korea 24.2 The VAT rate remained stable at 21% in Spain in 2014, following an incre- Cyprus 19 Portugal 23.0 Israel 18 Slovakia 22.0 ase on the 1st of January 2012, and it is still in the upper-to-middle range Tunisia 18 Sweden 22.0 bracket in Europe; above Germany (19%) and France (20%), but below Italy China 17 United Kingdom 21.0 (22%) and Portugal (23%). Unlike last year, this year there have been few Luxembourg 15 Finland 20.0 changes to the VAT rate in general; only Japan increased its rates from 5% India 14 Hungary 19.0 19.0 60 to 8% and India from 13% to 14%, according to KPMG’s Corporate Tax Rate South Africa 14 Poland Australia 10 Czech Republic 19.0 Survey report. South Korea 10 Switzerland 17.9 Japan 8 Slovenia 17.0 Regarding corporate tax, Spain also kept its rates stable at 30% in 2014, Switzerland 8 Hong Kong 16.5 putting it alongside countries with rates above the European Union average Canada 5 Latvia 15.0 United States --- Ireland 12.5 (21.34%). However, the corporate tax rate will drop to 28% in Spain in 2015 Hong Kong --- Cyprus 12.5 and 25% in 2016. The corporate tax rate was stable in virtually all the coun- tries included in the survey in 2014, except for one or two countries, like Ja- Note: The original data base contained 130 countries, although the table shows a sample of benchmark countries. pan, where it dropped to 35.6% but it remained the country with the second Source: KPMG, KPMG’s Corporate and Indirect Tax Rate Survey 2014 highest rates after the United States, and also Tunisia, Norway, Portugal, Finland, the UK and Slovakia. Corporation Tax 2014 (%) According to a study by PwC and the World Bank called Paying Taxes 2014, Spain’s firms paid a total tax rate of 58.6% in 2012, higher than the average for other European countries. This positive differential means Spain’s com- 27.0 22.0 20.0 petitive positioning against other countries is unfavourable in terms of com- pany taxation, but this differential will decrease as from 2015. It is worth noting that 36.2% of companies’ tax bills are for corporate tax, while 62.8% NOR SUE FIN is related to the costs of labour and national insurance, while the remaining 24.5 15.0 1.1% is due to other taxes. 12.5 21.0 34.0 25.0 LETIRL DIN 29.6 19.0 29.2 UK 19.0 HOL POL BEL GER 23.0 LUX 25.0 17,9 R.TX 33.3 19.0 17.0 ESL 25.0 SUI AUS HON 30.0 ESL FRA 31.4 POR 26.0 ESP ITA GRE Source: KPMG, KPMG’s Corporate and Indirect Tax Rate Survey 2014 61 Barcelona report 2015. Prices and costs Office rentals Inter-annual Ranking City (€/m²) var (%) 1 London West End 1,560 12.5 Office rental rates for cities 2 London city 867 8.73 Paris 800 0.0 in Europe, the Middle East and 4 Geneva 749 -5.35 Moscow 744 -25.0 6 Zurich 686 -2.9 Africa in 2014 7 Dubai 678 0.0 8 Stockholm 496 6.8 9 Milan 490 2.1 10 Dublin 484 28.4 11 Oslo 469 9.0 Prices stabilized in Barcelona after four years of decline 12 Frankfurt 468 2.6 13 Istanbul 446 0.0 The price per square metre of office rentals in Barcelona stood at 213 14 St. Petersburg 438 -33.8 15 Manchester 430 3.3 Euros a year in 2014, according to the report EMEA Rents and Yields by 16 Abu Dhabi 416 2.8 Richard Ellis. The price remained stable compared to the previous year, 17 Birmingham 416 5.3 breaking a downward spiral that had lasted four years. This price trend 18 Edinburgh 409 3.5 means Barcelona stays in 45th position out of a total of 58 selected cities in 19 Helsinki 408 3.0 20 Munich 396 1.5 Europe, the Middle East and Africa, and, therefore, it is in the lower band 21 Glasgow 395 5.6 of European capitals with the lowest office rental prices. Cities with the 22 Bristol 388 1.8 highest office rental prices (above 800 Euros per square metre) are Lon- 23 Rome 380 -5.0 24 Amsterdam 345 1.5 61don and Paris. Madrid is in an intermediate position in the ranking with a 25 Düsseldorf 312 -5.5 rental price of 303 Euros per m2 for offices. 26 Vienna 309 2.0 27 Madrid 303 3.1 The development of prices compared to the previous year shows three 28 Warsaw 300 -3.9 clear segments. In 18 cities, office rental prices increased in 2014, 26 re- 28 Marseille 300 11.1 30 Gothenburg 295mained stable, amnog them Barcelona, and 14 saw falls in prices. The 3.7 31 Hamburg 294 2.1 biggest increases were recorded in Dublin, Belfast and London, while the 32 Brussels 285 0.0 most notable falls were in St. Petersburg, Moscow and Kiev. Importantly, 33 Berlin 270 0.0 the yields obtained from office rentals in Barcelona, according to CB Ric- 34 Tel Aviv 268 -2.8 hard Ellis, is 5.3%, very similar to cities like Lyon and Amsterdam, among 35 Athens 264 0.0 36 Lyon 260 -3.7 others. 37 Kiev 248 -24.2 38 Budapest 240 0.0 Office yields in European cities (IV QUARTER 2014) 39 Prague 234 -2,5 40 Rotterdam 225 0.0 41 Lisbon 222 0.0 Lyon 5.5% 42 Copenhagen 222 -1.5 43 Lille 220 0.0 Amsterdam 5.3% 44 Bucharest 216 0.0 45 Barcelona 213 0.0 Barcelona 5.3% 46 The Hague 210 0.0 47 Belfast 208 20.0 Dublin 5.0% 48 Utrecht 205 0.0 Munich 4.3% 49 Bratislava 192 0.0 50 Belgrade 186 3.3 0% 1% 2% 3% 4% 5% 6% 51 Vilnius 180 7.1 52 Tallinn 180 9.1 Note: The yield refers to the return on investment in the offices sector in each city. 53 Aarhus 171 -1.9 Source: CB Richard Ellis, EMEA Rents and Yields Q4 2014 (EMEA:Europe, Middle East & Africa) 54 Zagreb 171 -5.0 55 Johannesburg 159 5.7 56 Riga 156 0.0 57 Oporto 144 0.0 58 Thessaloniki 126 0.0 Source: CB Richard Ellis, EMEA Rents and Yields Q4 2014 (EMEA: Europe, Middle East & Africa) 62 Rental rates for retail and Price of retail rental premises (€/m 2/ year) commercial premises around Rambla de Catalunya(Barcelona) 2014 the world in 2014 Kalverstraat 2013(Amsterdam) 2012 2011 Passeig de Gràcia 2010 (Barcelona) Prices rise in the centre, but remain stable in the city as a whole Portal de l’Àngel (Barcelona) According to the study Main Streets Across the World by Cushman & Wakefield Preciados (Madrid) 2014-2015, Barcelona’s main high street Portal de l’Angel is again the most ex- pensive street in the city and Spain as a whole, and it is positioned 14th in the world ranking of most expensive retail space, up one place compared to the previous (Munich) year. Specifically, shop rentals in Portal de l’Angel are € 3,240 /m2/ year, while the most expensive cities for shop rentals are Champs Elysees in Paris and New Grafton Street 62 Bond Street in London, where retail prices are 4 and 3 times more expensive, (Dublin) respectively. Rental prices have increased in the most attractive areas: Portal de l’Angel’s prices rose by 1.9%, and 4.7% in Passeig de Gràcia, and 5.9% in Rambla Via Montenapoleone(Milan) Catalunya. In Spain, the second most expensive street was calle Preciados in Ma- drid which costs € 2,940/m2/year, while the third most expensive was again Bar- Avenue des Champs Elysées celona’s Passeig de Gràcia, whose average price was 2,700 €/m2/year. Barcelona’s (Paris) lofty position amongst the best luxury shopping reflects the high rentals being paid Fifth Avenue in the city centre, which is due to a lack of available premises and the strong sales (New York) performances in this area, especially those by foreign tourists. 0 5,000 10,000 15,000 20,00 0 25,0 0 0 30,0 0 0 35,000 According to a Richard Ellis report called EMEA Rents and Yields, the fourth quarter Source: Cushman & Wakefield, Main Streets Across the World 2014-2015 of 2014 saw retail rental prices in Barcelona standing at 2,196 Euros per square metre per year. Prices remained stable compared to the previous year, showing Barcelona is very competitive when compared to the main shopping cities in Euro- pe, like Paris or London, where the price per square metre exceeds 11,000 Euros/ m2/year. Even when compared with other similar cities like Zurich, Milan and Ber- lin, prices in Barcelona are much lower. 63 Rentals retail premises 2013 2014 Country City Street (€/m²/year) - 1 United States New York Upper 5th Avenue 29,822 1 2 Hong Kong (China) Hong Kong Causeway Bay 23,307 3 3 France Paris Avenue des Champs-Élysées 13,255 4 4 United Kingdom London New Bond Street 10,361 8 5 Australia Sydney Pitt Street Mall 8,658 6 6 Italy Milan Via Montenapoleone 8,500 5 7 Japan Tokyo Ginza 8,120 9 8 South Korea Seoul Myeongdong 7,942 7 9 Switzerland Zurich Bahnhofstrasse 7,456 12 10 Russia Moscow Stoleshnikov 4,749 10 11 Austria Vienna Kohlmarkt 4,440 11 12 Germany Munich Kaufingerstraße 4,380 13 13 China Beijing Wangfujing 4,100 15 14 Spain Barcelona Portal de l’Àngel 3,240 21 15 Colombia Bogota Shopping Centre 3,135 16 16 Singapore Singapore Orchard Road 3,087 18 17 Norway Oslo Karl Johans Gate 3,081 17 18 Netherlands Amsterdam Kalverstraat 2,900 14 19 Brazil Sao Paulo Iguatemi Shopping 2,714 29 20 Turkey Istanbul Bagdat Caddesi and Istiklal Street 2,660 19 21 Malaysia Kuala Lumpur Pavilion KL 2,649 23 22 Ireland Dublin Grafton Street 2,529 22 23 Canada Toronto Bloor Street 2,478 27 24 New Zealand Auckland CBD 2,443 25 25 Denmark Copenhagen Strøget 2,384 30 26 Taiwan Taipei ZhongXiao E. Road 2,361 26 27 Czech Republic Prague Na Prikope/Wenceslas Square 2,220 36 28 United Arab Emirates Dubai Shopping Centre 2,204 31 29 Greece Athens Ermou 2,160 20 30 Israel Tel Aviv Ramat Aviv 2,105 28 31 India New Delhi Khan Market 2,070 32 32 Finland Helsinki City Centre 1,968 24 33 Ukraine Kiev Kreschatik Street 1,900 33 34 Vietnam Ho Chi Minh City Shopping Centre 1,805 63 34 35 Belgium Brussels Rue Neuve 1,750 35 36 Sweden Stockholm Biblioteksgatan 1,636 37 37 Lebanon Beirut ABC Centre Achrafieh 1,583 38 38 Luxembourg Luxembourg Grand Rue 1,500 40 39 Kazakhstan Almaty Shopping Centre 1,330 42 40 Hungary Budapest Váci utca 1,140 43 41 Portugal Lisbon Chiado 1,110 44 42 Argentina Buenos Aires Florida 1,064 46 43 Thailand Bangkok City Centre 1,025 45 44 Poland Warsaw ul. Nowy Swiat 1,020 - 45 Serbia Belgrade Kneza Mihaila 1,020 41 46 South Africa Cape Town W&A Waterfront 1,009 - 47 Qatar Doha Shopping Centre 965 51 48 Peru Lima Shopping Centre 950 48 49 Channel Islands St Helier King Street 879 51 50 Mexico Mexico City Masaryk Avenue 874 50 51 Lithuania Vilnius Shopping Centre 864 47 52 Indonesia Jakarta Shopping Centre 791 61 53 Bahrain Manama Shopping Centre 756 56 54 Ecuador Quito Av Naciones Unidas (Shopping centre) 665 54 55 Slovakia Bratislava Shopping Centre 660 53 56 Slovenia Ljubljana Čopova 660 55 57 Romania Bucharest Bulevardul Magheru 600 49 58 Oman Muscat Shopping Centre 543 57 59 Latvia Riga Shopping Centre 540 59 60 Bulgaria Sofia Vitosha Blvd 528 59 61 Macedonia Skopje Shopping Centre 480 63 62 Philippines Manila Makati CBD 402 62 63 Estonia Tallinn Shopping Centre 360 64 64 Jordan Amman City Centre (BCD) 317 - 65 Cyprus Nicosia Makarios Avenue 216 Note: This ranking includes only the most expensive shopping street in each country. Source: Cushman & Wakefield, Main Streets Across the World 2014-15 64 Industrial land rentals in cities Rental price Interannual of industrial land in Europe, the Middle East and Ranking City Var. (%) (€/m2/any) 1 Abu Dhabi 0.0 202.5 Africa in 2014 2 London 2.0 176.8 3 Geneva 0.0 166.3 4 Helsinki 0.0 138.0 5 Zurich 0.0 133.1 6 Oslo 0.0 131.4 Prices remain stable for the second consecutive year in 7 Dubai 31.6 121.1 Barcelona 8 St. Petersburg -7.7 99.2 8 Moscow -14.3 99.2 10 Stockholm 0.0 94.9 The rental price of industrial land in Barcelona was 72 Euros per square 11 Glasgow 4.0 90.2 metre in 2014, according to the report EMEA Rents and Yields by Richard Ellis. 12 Edinburgh 0.0 83.2 Barcelona is in the middle of a group of 49 cities analyzed in Europe, the 13 Manchester 3.5 82.5 Middle East and Africa, below important cities like London, Geneva, Zurich, 14 Gothenburg 0.0 79.1 15 Munich 0.0 78.0 Stockholm, Munich and Amsterdam. 16 Istanbul 14.8 76.9 17 Amsterdam 0.0 75.0 64 Industrial land rental prices have remained stable in Barcelona for the 17 Rotterdam 7.1 75.0 second consecutive year, after years of decline, which is related to a 19 Frankfurt 0.0 74.4 20 Barcelona 0.0 72.0 general improvement in industrial activity. This trend was seen in many of 21 The Hague 0.0 70.0 the European cities analyzed, with some exceptions like Rome, Milan, Paris 21 Utrecht 0.0 70.0 and Prague, where prices fell; and Berlin, Lyon and Dublin, among others, 23 Hamburg 0.0 68.4 where prices rose. The most important price increases were recorded outside 24 Dublin 8.3 65.0 25 Düsseldorf 3.9 64.8 Europe, particularly in Dubai and Istanbul. 26 Zagreb -3.6 63.6 27 Madrid 0.0 60.0 According to CB Richard Ellis, the rental yield of industrial land in Barcelona is 28 Paris -3.3 58.0 7.5%, higher than European cities like Dublin, Lyon, Amsterdam and Munich. 29 Vienna 0.0 57.6 30 Copenhagen 0.0 57.1 31 Tallinn 5.6 57.0 32 Berlin 2.2 55.2 Return on industrial land in European cities (IV QUARTER 2014) 33 Belgrade 0.0 54.0 33 Budapest 0.0 54.0 33 Vilnius 4.7 54.0 Barcelona 7.5% 36 Johannesburg -3.1 53.2 Dublin 6.8% 37 Rome -5.5 52.0 38 Riga 0.0 51.0 Lyon 6.8% 39 Prague -1.2 50.4 40 Kyiv -20.0 49.6 Amsterdam 6.2% 41 Milan -4.0 48.0 42 Warsaw 0.0 48.0 Munich 6.0% 43 Brussels 0.0 46.0 44 Bucharest -5.0 45.6 0% 1% 2% 3% 4% 5% 6% 7% 8% 45 Lyon 2.3 45.0 Note: The yield refers to the return on investment for industrial land in each city. 46 Lille -2.2 44.0 Source: CB Richard Ellis, EMEA Rents and Yields Q4 2014 (Europe, Middle East & Africa) 47 Bratislava -14.1 43.8 48 Marseille 0.0 43.5 49 Athens 0.0 39.0 49 Lisbon 0.0 39.0 Source: CB Richard Ellis, EMEA, Rents and Yields Q4 2014 Ranking Gross Salary Net Salary 2012 (New York = 100) City (New York = 100) 1 131.1 Zurich 132.4 2 123.6 Geneva 119.2 3 123.1 Copenhagen 93.4 4 119.1 Oslo 97.4 5 105.4 Luxembourg 109.7 6 100.0 New York 100.0 7 94.1 Sydney 98.0 8 92.4 Tokyo 90.4 9 91.5 Munich 76.0 10 88.2 Frankfurt 78.1 11 86.3 Los Angeles 80.9 Wage levels in cities around the 12 83.3 Chicago 80.6 13 82.9 Stockholm 78.1 world in 2012 14 81.8 Miami 79.915 81.5 Brussels 59.5 16 80.2 Helsinki 74.2 17 80.2 Vienna 70.8 18 79.5 London 75.2 Barcelona remains in a mid-table position in Europe and 19 79.2 Berlin 70.1 20 78.3 Amsterdam 69.4 the world 21 78.1 Paris 73.6 22 77.7 Dublin 78.8 In 2012 the gross salary in Barcelona increased, although at a lower rate 23 76.8 Toronto 68.6 24 76.2 Montreal 66.2 than the previous year. Net salaries (i.e. after taxes and social security 25 70.3 Milan 61.5 contributions) decreased, which was different to what happened in 2011, 26 64.2 Lyon 64.7 when it rose, according to the report Prices & Earnings Around the Globe 27 60.8 Nicosia 68.5 published by UBS, which analyzes the salary trends of 72 cities in the 28 59.8 Auckland 63.5 world compared to New York. 29 59.6 Barcelona 58.7 30 57.0 Madrid 57.9 31 55.1 Rome 48.2 Salary trends in 2012 were very heterogeneous and Barcelona’s ranking 32 54.8 Seoul 50.2 only changed one place, going from 30th in 2011 to 29th in 2012 in the 33 49.6 Dubai 64.2 65 world ranking, and from 20th to 19th in the European ranking. So Barcelo- 34 44.0 Lisbon 42.6 35 43.0 Tel Aviv 43.5 na is located in the mid-band in terms of gross salary in Europe and the 36 42.8 Hong Kong 49.8 world, above cities like Madrid, Rome, Seoul, Dubai, Lisbon and Tel Aviv, 37 41.5 Johannesburg 38.9 but below Milan and Lyon. 38 41.4 Athens 40.0 39 36.4 Ljubljana 32.0 40 33.3 Taipei 39.3 Gross salary index (Index New York=100) 41 30.5 Manama 38.8 42 30.4 Moscow 33.8 43 30.1 Sao Paulo 30.5 44 28.0 Tallinn 28.3 New York=100 45 27.9 Istanbul 28.2 94.5 91.5 46 27.7 Bratislava 27.3 47 27.2 Rio de Janeiro 27.5 83.0 82.7 48 26.6 Doha 34.4 77.7 78.3 82.0 75.0 75.0 49 24.5 Prague 25.1 70.3 50 24.2 Riga 21.466.7 60.0 51 23.8 Warsaw 21.958.1 59.6 52 23.6 Buenos Aires 25.4 52.0 53 22.6 Santiago de Chile 21.5 54 22.3 Bogota 22.0 55 22.2 Lima 23.1 56 21.7 Vilnius 21.2 57 21.5 Kuala Lumpur 22.0 58 20.9 Shanghai 21.6 59 20.1 Budapest 18.1 Barcelona Milan Dublin Amsterdam Munich 60 20.0 Caracas 23.4 2010 2011 2012 61 17.0 Beijing 18.0 62 14.8 Bucharest 13.5 Note: The effective hourly wage is calculated from 14 professions. Net pay is calculated after taxes and social security 63 14.6 Bangkok 17.4 contributions 64 13.8 Sofia 13.6 Source: Prices & Earnings around the globe 2012, UBS. 65 13.7 Mexico 15.1 66 11.0 Cairo 12.1 67 10.5 Kiev 11.2 68 10.4 Nairobi 10.2 69 8.5 Mumbai 9.3 70 8.0 Manila 8.1 71 7.9 Jakarta 9.2 72 7.6 Delhi 8.3 Note: The effective hourly wage is calculated from 14 professions. Net pay is calculated after taxes and social security contributions. Source: Prices & Earnings around the globe 2012, UBS. 66 Labour market and training Introduction 2014’s modest economic recovery in the European Union and the euro One of the most important resources in Barcelona and its hinterlands is area, along with improved stakeholder forecasts, helped consolidate and its large numbers of skilled and talented workforce. Importantly, in Cata- stabilize employment variables, which had been marked by reductions in lonia the percentage of male and female workers with a university degree employment and increases in unemployment up to 2013 in most mem- in 2013 grew to stand at 41.8% and 46.4% respectively, well above the ber countries. Although significant geographical differences can be seen, averages seen in the European Union. Meanwhile, Barcelona is the 7th what is important to notice is the positive trends seen in economies like most attractive city to work abroad, according to Decoding Global Talent the UK (especially dynamic) and in countries in southern Europe, which Report 2014 by The Boston Consulting Group. have stabilized or increased employment numbers compared to the de- clining trends that were dominant in previous years. Finally, Barcelona continues to be a benchmark in terms of business trai- ning excellence because it is the only European city with two business This positive trend has also been seen in Catalonia, which closed 2014 schools (ESADE and IESE) in the top ten in Europe, according to the Fi- with an increase in employment of about 50,000 jobs and a year-on de- nancial Times and The Economist Intelligence Unit, with ESADE improving cline in unemployment of 9.9%. However, as shown by data presented for its already strong position in the FT ranking in 2015. 2013 onwards in this report- Catalonia’s employment rate is below the European average and its unemployment rate is twice as high as the EU 67 average, despite slowing; experts are predicting a slow process of em- ployment recovery after the jobs lost during the recession. Given this backdrop, Barcelona did create net employment in 2014 after six years of labour market adjustments that were more moderate and less intense than regions located nearby. Indeed, the city closed the year with nearly one million paid-up members of the social security system in the fourth quarter of 2014, and an activity rate of 80.9% and an em- ployment rate of 67.6%, which is up by 8 points and 2 points on European rates, respectively, while the unemployment rate decreased to 16.4% the same year, which is still well below the averages for Catalonia and Spain. Barcelona City Council has implemented a stimulus package to boost employment through economic growth and city promotional campaigns. These include economic development services and programmes that are part of a series of measures included in the Strategic Framework 2012- 2015, which is being implemented by Barcelona Activa. The city is com- mitted to a strategy that aims to have a positive impact on two aspects that determine the ability to reduce unemployment: the employability of people, which is defined as the adaptation of unemployed people’s pro- files to labour market needs, and the creation of job vacancies and em- ployment, namely the ability of businesses in the city to generate more and better job opportunities for people. 68 69 Barcelona report 2015. Labour market and training Employment rate in European Employment rate (%) 75 regions in 2013 70 Employment rate decreases slow down in Catalonia 65 In 2013 the employment rate in the EU remained stable compared to the pre- 60 vious three years, while we continue to see significant differences between regions, with increases for those areas with the highest rates of employment and an overall downward trend in the majority of places that have rates below 55 the European average. 50 The latter is the case of Spain and Catalonia where the respective employ- 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 ment rates remain amongst the lowest in the table after a fifth consecutive Catalonia Spain European Union reduction since 2008. The rate of employment in Catalonia was 59% in 2013, with an annual decrease of 0.5 percentage points, which puts it below the Source: Eurostat and Idescat 69 European average for the fifth consecutive year. It is worth noting that this was down slightly on the reductions seen in 2012 (3 percentage points) and this keeps Catalonia’s indicator above the Spanish average, which is down 4.6 percentage points, as well as regions like Rome, Montpelier and Brus- sels. On the other hand, the female employment rate dropped to 55.6% in Catalonia in 2013, which is not as high as the average in Europe, and which continues to fall significantly behind leading regions on the continent where it is over 70%, although Catalonia’s rate is better than Spain’s. Importantly, at the end of 2014 the employment rate stood at 67.6% in Barce- lona, 63.3% in Catalonia and 57.6% in Spain, which is a rise compared to the same period in 2013 of +2.2, +1.6 and +1.7 percentage points, respectively. The female year-on employment rate in Barcelona (+64.9%) grew +1.1 per- centage points and remains more than 4 points above the European average. Employment data for 2014 shows growth for the first time since the be- ginning of the recession across Catalonia’s business sectors, according to Spain’s Statistics Bureau (INE). 70 Female employment Variation 2013/2012 Variation 2013/2012 Employment rate rate (%) 2013 (in p.p) Region (CITY) (in p.p) (%) 2013 73.5 1.1 Upper Bavaria (Munich) 0.9 78.4 75.6 0.5 Stockholm (Stockholm) 0.8 77.5 74.2 -0.8 Oslo (OSLO) -0.8 76.4 70.8 1.0 Stuttgart (Stuttgart) 0.4 75.8 71.5 -0.5 Northern Netherlands (AMSTERDAM) -0.6 75.4 72.3 0.6 Denmark (Copenhagen) 0.5 74.4 69.2 0.7 Darmstadt (FRANKFURT) 0.3 74.0 70.9 1.1 Hamburg (Hamburg) 0.3 73.7 65.7 1.3 Prague (Prague) 1.0 73.7 72.0 -0.3 Southern Finland (Helsinki) -0.7 73.4 67.7 -0.5 South Holland (Rotterdam) -0.7 72.7 68.8 2.7 Eastern Scotland (EDINBURGH) 0.9 71.9 62.8 2.3 Inner London (LONDON) 1.8 69.3 66.4 3.3 Southwest Scotland (GLASGOW) 2.7 69.1 63.5 0.3 Düsseldorf (Düsseldorf) 0.0 69.0 65.7 1.0 Estonia (TALLINN) 1.4 68.5 65.7 0.4 Berlin (Berlin) 0.2 68.2 70 63.8 -0.1 Vienna (Vienna) 0.0 67.8 62.4 0.5 Rhône-Alpes (LYON) 0.4 66.6 63.2 0.7 Ile de France (Paris) 0.3 66.5 62.0 0.1 Greater Manchester (MANCHESTER) -0.5 65.9 60.1 0.1 Mazowsze (Warsaw) -0.2 65.6 62.8 0.4 Sofia (SOFIA) -0.1 65.0 63.4 1.7 Latvia (RIGA) 2.0 65.0 57.3 1.1 Lombardy (Milan) 0.2 64.9 58.7 0.2 EUROPEAN UNION 0.0 64.0 62.8 1.0 Lithuania (VILNIUS) 1.7 63.7 57.6 0.1 Central Hungary (BUDAPEST) 0.6 62.8 56.5 -1.0 West Midlands (Birmingham) -0.6 62.7 57.5 0.4 Provence-Alps-Côte d’Azur (Marseille) 0.0 62.0 57.4 -0.7 Basque Country (Bilbao) -1.0 61.8 57.4 -1.9 Madrid (MADRID) -1.2 61.4 56.8 0.7 South East (DUBLIN) 1.3 61.3 59.3 -1.4 Lisbon (Lisbon) -0.7 60.5 55.6 -0.4 Catalonia (BARCELONA) -0.5 59.0 50.6 1.2 South Muntenia (BUCHAREST) 1.4 58.5 48.5 -1.1 Lazio (ROMA) -1.6 57.0 52.9 1.4 Languedoc-Roussillon (Montpellier) 1.7 56.7 49.7 -0.9 Spain -1.0 54.4 47.4 -0.6 Valencia (VALENCIA) -0.4 52.7 48.5 -0.1 Brussels (BRUSSELS) -1.5 52.5 42.2 -2.0 Attica (Athens) -2.0 49.7 28.1 1.5 Istanbul (ISTANBUL) 0.9 49.4 26.0 0.6 Ankara (ANKARA) 0.7 47.8 Note: Labour Force aged between 15 and 64. The original database contains 314 regions, although the table includes only a selected simple of benchmark regions. Source: Eurostat 71 Barcelona report 2015. Labour market and training Unemployment rates in Female European regions in 2013 unemployment Region (CITY) Unemploymentrate (%) rate (%) 2.6 Upper Bavaria (MUNICH) 2.6 3.1 Prague (PRAGUE) 3.1 Catalonia’s unemployment rate in still far from the European 3.7 Stuttgart (STUTTGART) 3.7 average 3.9 Oslo (OSLO) 3.9 3.7 Darmstadt (FRANKFURT) 4.3 4.0 Hamburg (HAMBURG) 4.8 In the European Union, a modest economic recovery in the second half of 5.4 Düsseldorf (DÜSSELDORF) 6.4 2013, which had started off in recession, meant the year ended with an unem- 6.1 Northern Netherlands (AMSTERDAM) 6.6 ployment rate of 10.8% in the EU-28, just 0.3 percentage points above 2012’s 6.2 Southern Finland (HELSINKI) 6.7 6.9 Stockholm (STOCKHOLM) 6.9 results. The unemployment situation continues to affect southern Europe es- 6.7 Eastern Scotland (EDINBURGH) 7.1 pecially, in places like Spain and Catalonia, where the differentials compared 7.2 South Holland (ROTTERDAM) 7.4 to the European average continue to widen after experiencing an annual in- 7.9 Denmark (COPENHAGEN) 7.4 crease in unemployment of 1.4 and 0.8 percentage points, respectively. 8.2 Mazowsze (WARSAW) 8.0 8.8 Lombardy (MILAN) 8.1 7.6 Southwest Scotland (GLASGOW) 8.3 The annual unemployment rate in Catalonia for the year ending 2013 stood at 8.2 Vienna (VIENNA) 8.4 23.4%, more than doubling the European average and a long way away from 8.4 Rhône-Alpes (LYON) 8.4 71 key reference regions, although still below the Spanish average (26.4%). The 8.6 Inner London (LONDON) 8.6 8.2 Estonia (TALLINN) female unemployment rate stood at 22.8%, 0.7 points above 2012’s results. 8.6 8.0 Central Hungary (BUDAPEST) 8.7 Importantly, in Catalonia the female unemployment rate is slightly lower than 8.1 Ile de France (PARIS) 8.9 the overall rate, while for the European Union this rate is very similar. 14.6 Ankara (ANKARA) 9.0 8.0 Greater Manchester (MANCHESTER) 9.5 The fourth quarter of 2014 saw the unemployment rate standing at 16.4% in 8.6 Sofia (SOFIA) 9.8 9.5 South-Muntenia (BUCHAREST) 9.9 Barcelona, and 20.0% and 23.8% in Catalonia and in Spain, which in annual 9.2 Berlin (BERLIN) 10.6 terms, means this indicator has gone down for the second year in Barcelona 13.9 Istanbul (ISTANBUL) 10.6 (-0.8 points) and, with greater intensity, in Catalonia and Spain (-2 percentage 10.9 Provence-Alps-Côte d’Azur (MARSEILLE) 10.8 points in both cases). These trends show Barcelona’s unemployment rate is 10.9 EUROPEAN UNION 10.8 10.5 Lithuania (VILNIUS) 11.8 closer to the European Union’s level than the Spanish average, despite being 11.1 Latvia (RIGA) 11.9 6 points higher. 13.7 Lazio (ROMA) 12.3 10.2 South East (DUBLIN) 12.6 12.8 West Midlands (BIRMINGHAM) 12.9 Unemployment rate (%) 13.1 Languedoc-Roussillon (MONTPELLIER) 12.9 16.0 Basque Country (BILBAO) 15.8 29,0 17.8 Lisbon (LISBON) 18.5 17.0 Brussels (BRUSSELS) 19.2 24,0 20.8 Madrid (MADRID) 20.2 22.8 Catalonia (BARCELONA) 23.4 27.0 Spain19,0 26.4 30.3 Attica (ATHENS) 28.2 29.8 Valencia (VALENCIA) 28.6 14,0 Note: Population aged over 15. The original data base contains 314 regions, although the table shows 9,0 only a group of benchmark regions. Source: Eurostat 0 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Catalonia Spain European Union Source: Eurostat 72 Employees with graduate Female studies in European regions in workers with Total workers graduate with graduate 2013 studies (%) Region (CITY) studies (%)72.0 Inner London (LONDON) 69.7 59.8 Basque Country (Bilbao) 55.7 60.6 Oslo ogAkershus (OSLO) 55.0 More than 4 in 10 workers in Catalonia are graduates 58.7 Brussels (BRUSSELS) 53.3 59.5 Southern Finland (Helsinki) 53.2 According to Eurostat data, 41.8% of employees were graduates in Ca- 53,4 Madrid (Community) (MADRID) 52.3 56.5 Eastern Scotland (EDINBURG) 51.4 talonia in 2013, an increase of 2.2 percentage points compared with the 55.9 South East (DUBLIN) 50.0 previous year. This indicator is clearly above the EU average (33.5%) and 54.1 Stockholm (Stockholm) 48.4 it is also higher than leading regions like Manchester, Munich, Lyon and 53.1 Capital (COPENHAGEN) 48.4 Milan, as well as being slightly above the Spanish average (41.6%) for the 48.6 Ile de France (Paris) 47.3 first time since 2009. 50.7 South West Scotland (GLASGOW) 46.4 47.9 Attica (Athens) 44.6 44.3 Northern Netherlands (AMSTERDAM) 43.1 The percentage of female workers with a university education in Catalo- 50.4 Lithuania (VILNIUS) 42.4 72 nia is again higher than the total for men and women; it stood at 46.4% in 44.5 Berlin (Berlin) 42.4 2013, after having risen 2 percentage points compared to 2012. Also, this 46.4 Catalonia (BARCELONA) 41.8 49.4 Mazowsze (Warsaw) 41.6 indicator is again well above the rate for the European Union (37%) and it 45.7 Spain 41.6 is also higher than the aforementioned benchmark regions, and for the 46.1 Bucharest - Ilfov (BUCHAREST) 41.2 first time in the last seven years it overtook the Spanish average (45.7%). 45.1 Greater Manchester (MANCHESTER) 41.1 40.2 Prague (Prague) 40.7 47.9 Southwest (BG) (SOFIA) 39.7 These results show Catalonia’s progress in terms of training in recent 40.3 South Holland (The Hague) 39.5 years, and now the region must work towards reaching the levels of qua- 35.8 Upper Bavaria (Munich) 39.1 lified workers in northern European regions. 42.6 Rhône-Alpes (LYON) 39.1 43.4 Provence-Alps-Côte d’Azur (Marseille) 39.0 41.5 Valencia (VALENCIA) 37.8 Workers with graduate studies (% of all employed people) 40.5 Central Hungary (BUDAPEST) 37.6 45.1 Latvia (RIGA) 36.4 60 2011 33.5 Darmstadt (Frankfurt am Main) 36.3 2012 41.6 Languedoc-Roussillon (MONTPELIER) 35.9 2013 40.7 West Midlands (Birmingham) 35.650 35.7 Vienna (AT) (VIENNA) 35.4 29.7 Stuttgart (Stuttgart) 35.2 40 37.0 EUROPEAN UNION 33.5 37.4 Lisbon (Lisbon) 31.8 26.3 Düsseldorf (Düsseldorf) 28.6 30 41.5 Istanbul (ISTANBUL) 27.3 30.3 Central Croatia (ZAGREB) 25.8 20 29.9 Lazio (ROMA) 24.6 24.3 Lombardy (Milan) 20.3 13.8 Ankara (ANKARA) 14.4 10 Note: % of employed population aged 25 to 64 years old with a university degree, the original data base contains 314 regions, although the table contains a reference sample of selected regions. 60 Source: Eurostat Northern Southeast Upper Bavaria Catalonia Lombardy Holland Ireland (Munich) (Barcelona) (Milan) (Amsterdam) (Dublin) 42.6 42.7 43.1 47.2 49.3 50.0 38.1 38.8 39.1 37.9 39.6 41.8 18.9 19.5 20.3 Source: Eurostat 73 Barcelona report 2015. Labour market and training The world’s most attractive Position City Result cities for work in 2014 1 London 16.0% 2 New York 12.2% 3 Paris 8.9% 4 Sydney 5.2% Barcelona amongst the top ten most appealing cities to 5 Madrid 5.0% work in 6 Berlin 4.6%7 Barcelona 4.4% 8 Toronto 4.2% According to the 2014 Decoding Global Talent report by The Boston Consulting 9 Singapore 3.9% Group, Barcelona is the 7th most appealing city to relocate abroad to, just ahe- 10 Rome 3.5% ad of Toronto, Singapore and Rome. The ranking is led by London and New 11 Dubai 3.4% 12 Los Angeles 3.2% York, two global business and cultural hubs that are also the most cosmopo- 13 Tokyo 2.8% litan and open cities for migrants in the world. 13 Munich 2.8% 15 Miami 2.6% This research on the preferences of the world’s workforce is based on an on- 16 Amsterdam 2.5% line survey (Global Talent Survey) that was answered by more than 200,000 16 Vienna 2.5% people in 189 countries. The report shows the growing interest in working 18 San Francisco 2.4% 18 Stockholm 2.4% 73 abroad especially among younger people, ICT professionals and engineers, 20 Zurich 2.2% with one of the main reasons for change being a desire to widen life experi- 21 Montreal 2.1% ences and a stronger preference for factors related to non-monetary worker 21 Oslo 2.1% satisfaction like feeling valued at work, personal relationships in the workpla- 21 Vancouver 2.1% ce or the balance between work and personal life. The attractiveness of cities, 24 Dublin 1.9% 25 Brussels 1.7% their education and public health systems are also very important competitive 25 Santiago de Chile 1.7% factors influencing global talent flows. 25 Melbourne 1.7% 29 Copenhagen 1.6% According to the Scorecard on Prosperity 2014 by the Toronto Board of Trade, 30 Lisbon 1.5% Barcelona is the fifth most appealing city in the world for working in and the 30 Geneva 1.5% main reasons behind this were its good weather, the proportion of the popu- Note: The result is the percentage of responses in which the city was named in response to the lation aged 24 to 34, the low crime rates, transport efficiency, sustainability question “What cities would you consider going to work in abroad? Please give up to five answers.” Source: Decoding Global Talent. The Boston Consulting Group, The Network. and its moderate rates of inequality in terms of income 74 Best European Business Schools Barcelona has consolidated its position as a city of excellence in MBA education in 2015 According to a Financial Times ranking of the Top 100 full-time MBA program- mes, which is now in its 15th year, Barcelona’s ESADE and IESE business schools are in the top seven positions in the European ranking and remain above renowned schools like the University of Oxford’s Saïd Business School and Warwick Business School, both in England. This means Barcelona is the only city with two entries in the top 10 best business schools in Europe for the third consecutive year. These two institutions are also amongst the top twenty schools worldwide. According to the FT, IESE held on to 3rd position for the third consecutive year in the European ranking and 7th position in the world rankings, while ESADE jumped one position on the European ranking to stand in 7th spot, overtaking IMD in Lausanne (which drops from 4th in 2014 to 8th in 2015), while in the world ranking ESADE climbed 3 positions to stand in 19th place. 74 Moreover, according to the 2014 full-time MBA ranking Which MBA? publis- hed annually by The Economist Intelligence Unit for the last 12 years, IESE is located 2nd in the European rankings and 5th in the world, while ESADE stands in 6th spot in Europe and 24th place worldwide. Year after year these rankings show that Barcelona is consolidating its posi- tion as a city of excellence and a hub for business training at an international level. Position in the European ranking 3 3 3 3 4 4 4 4 4 5 6 7 7 7 8 8 8 8 9 10 10 12 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Source: Financial Times. Global MBA Ranking 2015 IESE Buss ines School ESADE Bussines School 75 Barcelona report 2015. Labour market and training European ranking Business school City World ranking 1 London Business School London 2 2 Insead Fontainebleau 4 3 Iese Business School Barcelona 7 4 IE Business School Madrid 12 5 University of Cambridge: Judge Cambridge 13 6 HEC Paris Paris 16 7 Esade Business School Barcelona 19 8 IMD Lausanne 20 9 University of Oxford: Saïd Oxford 22 10 SDA Bocconi Milan 26 11 Imperial College Business School London 34 12 Manchester Business School Manchester 35 13 The Lisbon MBA Lisbon 36 14 Warwick Business School Coventry 38 15 Rotterdam School of Management, Erasmus University Rotterdam 45 16 Cranfield School of Management Cranfield 45 17 City University: Cass London 45 18 Lancaster University Management School Lancaster 50 75 19 Mannheim Business School Mannheim 55 20 ESMT - European School of Management and Technology Berlin 63 21 Universität St Gallen St.Gallen 67 21 University College Dublin: Smurfit Dublin 73 23 Durham University Business School Durham 79 24 University of Strathclyde Business School Glasgow 80 25 University of Bath School of Management Bath 84 26 Vlerick Leuven Gent Management School Gant 94 27 Birmingham Business School Birmingham 95 28 Tilburg University, TiasNimbas Tilburg 97 Source: Financial Times. Global MBA Ranking 2015 2009 2010 2011 2012 2013 2014 2015 _ 2014 2015 _ _Síntesi Summary 78 Set against a backdrop of an improving international and European eco- In the field of knowledge and technology, Barcelona remains well posi- nomy in 2014, Catalonia’s and Barcelona’s economic recovery began in tioned in Europe and internationally. Thanks to its strategy of boosting mid 2013. In 2015 Barcelona’s economy is expected to grow even more research, Barcelona has risen in the scientific output rankings from 27th thanks to both internal and external factors. Important internal factors position in 2005 to eleventh in the world (and fourth in Europe) in 2014, are job creation, a revitalization of consumption and investment, export according to the annual report prepared by the Polytechnic University of growth and a recovery in the real estate market. External factors that can Catalonia (UPC). Importantly, Catalonia’s labour markets reached a cri- help boost a recovery in 2015 include a depreciation of the euro, falling tical mass in sectors with high added value in 2013: Catalonia was Eu- interest rates and a sharp fall in oil prices, together with the ECB’s ex- rope’s ninth top region with the highest number of employees in science pansionary monetary policies and greater flexibility regarding fiscal po- and technology and high and medium-high technology intensity manu- licy. facturing and fifteenth in knowledge and cutting-edge technology servi- ces, despite experiencing a drop in employment in some of these activiti- Barcelona has taken advantage of this general economic improvement es. In terms of innovation, the results of the latest data available for 2011 to consolidate its economic and business position at an international and show a significant increase in technology patents (35.8%) and a slight sta- European level for most of the indicators included in this Barcelona Ob- bilization in terms of the total number of PCT patents (-0.8 %) applied for servatory 2015 report, and even improve positions on some variables. in the Barcelona area. Given these general improvements, Barcelona jumped 15 positions in The tourism sector is still a driver of economic activity in the city. With the ranking of European cities with the best prospects in 2014/2015 to very positive numbers, Barcelona is still very well positioned in terms of 78 stand in 7th position, according to fDi Magazine, above cities like Berlin, being a leading tourism city in Europe and internationally. The capital of Amsterdam, Edinburgh and Paris. A survey by Eurochambres about bu- Catalonia had a record number of tourists and overnight stays in 2014, an siness prospects for 2015 in Catalonia confirms these strong economic increase of 4% on the previous year for both variables, according to the forecasts, with all variables, especially those connected with turnover city tourism board, Turisme de Barcelona. This strong performance in the (domestic sales and exports), improving significantly compared to the tourism sector came mainly from foreign tourism and business tourism, previous year and looking positive for 2015. and was also boosted by a recovery in Spanish tourism last year. Barce- lona’s strong position a s San inítenrnatitonael tousrismi destination is reflected These strong prospects come in addition to other improvements on in- in the Top Cities Destination Ranking 2013 by Euromonitor International, dicators related to the development of business. Business confidence of which shows the city continues to be ranked among the world’s twenty- international investors in the city is strong and reflected by the fact that five favourite cities for tourism, and 8th in Europe. Tourism’s strong per- Barcelona is sixth in the ranking of urban regions in Europe that rece- formance was boosted by the city’s travel infrastructure at the European ive most foreign investment projects, according to an Ernst and Young level. Firstly, in 2013 the Port of Barcelona was Europe’s top turnaround study, while a KPMG ranking puts it 10th in the world again in terms of port for cruise ships for the thirteenth consecutive year, with 2.6 million FDI. In addition, Barcelona is very competitive, according to the Mori Glo- cruise passengers (8% more than last year ), according to data from Crui- bal Power City Index report, which ranked Barcelona 14th most competitive se Insight. Moreover, according to data from the ACI Europe’s Airport Traf- urban region in Europe in 2014. fic Report, Barcelona-El Prat Airport remained among the top ten airports on the continent in terms of passenger traffic in 2014, reaching a record Barcelona stands out because of its entrepreneurial spirit and busi- 37.6 million passengers (6.7% more than in 2013). ness opportunities, with a rate of entrepreneurial activity (TEA) standing at 6.7% in the province of Barcelona in 2013, above rates in Germany, The chapter on sustainability and quality of life was changed slightly for France and Finland. At the same time, Barcelona is the world’s top city this report by adding two new indicators: reputation and safe cities, pre- in terms of number of delegates and fourth in the world in terms of in- pared by the Reputation Institute and The Economist, respectively. ternational conferences organized in 2013, according to the International Congress and Convention Association (ICCA). It is also in Europe’s top 10 locations with most international and luxury retail, according to an index compiled by Jones Lang LaSalle. 79 Barcelona report 2015 Summary According to these sources, Barcelona had the 9th best city reputation in Regarding labour markets, 2014 saw improvements in line with econo- the world in 2014, after climbing 14 positions compared to the previous mic recovery. Barcelona created net jobs in 2014, after six years of labour year, and it is ranked 15th safest city in the world, according to The Safe adjustments, although unemployment rates remain well above the Eu- Cities Index 2015 report which analyses urban safety in a digital world. ropean average. Moreover, according to the 2014 Decoding Global Talent Barcelona was declared Europe’s 4th top smart city in 2013 after jumping report by The Boston Consulting Group, Barcelona is the world’s 7th most four positions up the previous year’s ranking, according to the magazine attractive city to work abroad, just ahead of Toronto, Singapore and Rome. Fast Co.Exist. This result confirms Barcelona’s leadership in the smart city movement at the international level, which is about fully integrating For the fifth consecutive year the Barcelona Observatory report includes ecology, urbanism and technologies to improve the sustainability and a special report called the Business climate in the Metropolitan Area of quality of life of citizens. Furthermore, according to the Guardian Cities Barcelona (AMB), which analyzes changes in business activity in 2014 and Brand Barometer, Barcelona had the 6th strongest global cities brand in forecasts the results of the main business variables for the first quar- 2014. The brand image of a city is conveyed to the outside world basically ter of 2015. This analysis shows a continued economic recovery during through two aspects: its assets (climate, tourist attractions, facilities and 2014 and the best results of the Business climate survey in the AMB since infrastructure, security levels and economic prosperity) and appearance 2009. Business performance improved in the AMB for the second conse- in the media. Regarding mobility, a study called The future of urban mobility cutive year in 2014, despite still being slightly negative, with prices leve- 2.0 ranked metropolitan Barcelona’s urban mobility the 20th best in the lling off, employment improving significantly in the second quarter and world in 2013. investment also improving with positive numbers across all sectors in the AMB, with the exception of the construction sector. These strong results Barcelona showed its prices were generally competitive when compared were seen across all the sectors analyzed in the survey. The hotels and 79 to other benchmark cities in the world in 2014. Barcelona remains a city restaurants sector was the only one that recorded a positive balance in with a moderate cost of living compared to other European and world ci- terms of annual business performance and employment, while construc- ties, even climbing positions in the global ranking, according to Mercer tion improved most, although its numbers are still the most negative. For Human Resource Consulting. In terms of salaries, the capital of Catalonia the first quarter of 2015, company executives expect business performan- remains in a mid-table position in terms of gross wage levels in Europe ce to continue improving in the AMB, particularly in the industrial sector. and the world, above cities like Rome, Seoul, Dubai, Lisbon and Tel Aviv. At the same time, Barcelona is internationally appealing because of its competitive rental prices of industrial land, offices and retail premises, which makes it attractive and competitive for business compared to other reference cities in the world. However, in the field of taxation, Barcelona’s position is less competitive, with its rate of corporation tax and VAT abo- ve the average rates in the European Union. However, we should bear in mind that tax rates will fall in 2015 and 2016 thanks to tax reforms passed by the Spanish government. In the field of higher education, Barcelona is still a benchmark in busi- ness education in 2015, being the only city with two schools (ESADE and IESE) in the ranking of top ten business schools in Europe for the third consecutive year, according to The Financial Times. Barcelona is also known for its highly-qualified human capital. The percentage of workers in Catalonia that have graduate studies is still clearly above the EU avera- ge (41.8% and 33.5%, respectively) and this rate is also above the Spanish average (41.6 %) for the first time since 2009, according to Eurostat for 2013. 80 Workers in mid-to-high Global Foreign Attractiveness Delegates and high technology Workers competitiveness European cities Entrepreneurial Business investment for international at international intensity in science and Scientific of cities of the future activity rate1.3 export forecasts1,3 projects retailers meetings manufacturing2 technology2 output 2014 2014-2015 2013 2015 2013 2015 2013 2013 2013 2014 Greater 1 London London Brazil Portugal London London Barcelona Stuttgart Paris Beijing 2 New York Helsinki Argentina Spain Ille-de-France Paris Amsterdam Milan London London 3 Paris Eindhoven China Latvia Düsseldorf Moscow Istanbul Munich Madrid Shanghai 4 Tokyo Cambridge Latvia Serbia Darmstadt Milan Vienna Karlsruhe Lyon Seoul 5 Singapore Dublin United States Slovenia Uusimaa (Helsinki) Madrid Singapore Istanbul Warsaw Tokyo 6 Seoul Munich Hungary Italy Barcelona Rome London Torino Istanbul New York 80 7 Amsterdam Barcelona Slovakia Bulgaria Stuttgart Istanbul Paris Düsseldorf Milan Boston 8 Berlin Berlin Poland Estonia Freiburg Munich Berlin Paris Munich Paris 9 Hong Kong Amsterdam Netherlands Greece Dublin Berlin Seoul Barcelona Barcelona Madrid 10 Vienna Reading Sweden Barcelona Istanbul Barcelona Lisbon Bologna Seville Toronto 11 Frankfurt Edinburgh Switzerland Turkey Amsterdam Milan Frankfurt Berlin Barcelona 12 Zurich Vienna EU average Lithuania Hamburg Madrid Cologne Stuttgart Baltimore 13 Sydney Glasgow United Kingdom Slovakia St. Petersburg Kuala Lumpur Lyon Cologne Cambridge-Ma 14 ... Rotterdam Barcelona Belgium Prague Buenos Aires Madrid Düsseldorf Chicago 15 27 Barcelona Lyon Catalonia Malta Warsaw Prague Marseille Frankfurt Los Angeles 1 The ranking refers to a selected sample. 2 The ranking refers to regions or provinces. 3 The ranking refers to countries. 81 Barcelona report 2015 Summary Applications for PCT1,2 Airport International Cruise European Global city Best patents passengers tourists passengers smart cities brands reputation Safe Cities Mobility Cost of living 2011 2014 2013 2013 2013 2014 2014 2015 2013 2014 1 Tokyo Londres Heathrow Hong Kong Miami Copenhagen Los Angeles Vienna Tokyo Hong Kong Luanda (LHR) 2 San José Paris Roissy Singapore Port Canaveral Amsterdam New York Munich Singapore Stockholm N’Djamena (CDG) 3 Seoul Frankfurt Bangkok Port Everglades Vienna London Sydney Osaka Amsterdam Hong Kong (FRA) 4 New York Istanbul London Barcelona Barcelona Paris Florence Stockholm Copenhagen Singapore (IST) 5 Boston Amsterdam Paris Venice Paris Seoul Venice Amsterdam Vienna Zurich (AMS) 6 Osaka Madrid Macau Southampton Stockholm Barcelona Oslo Sydney Singapore Geneva (MAD) 7 Los Angeles Munich New York New York London Rio de Janeiro Vancouver Zurich Paris Tokyo 81 (MUC) 8 Houston Rome Fiumicino Shenzhen Galveston Hamburg San Francisco London Toronto Zurich Bern (FCO) Chicago London9 Kuala Lumpur Genoa Berlin Las Vegas Barcelona Melbourne London Moscow Gatwick (LGW) 10 Seattle Barcelona Antalya Singapore Helsinki Dubai Montreal New York Helsinki Shanghai (BCN) 11 Stuttgart Moscow Domo- Istanbul New Orleans Istanbul Copenhagen Hong Kong Munich Beijing dedovo (DME) 12 Munich Moscow Dubai Savona Madrid Helsinki San Francisco Stuttgart London (SVO) 13 Stockholm Paris Orly Seoul Seattle Chicago Brussels Taipei Berlin Victory (ORY) 14 ... Antalya ... Tampa Singapore Amsterdam Montreal ... ... (AYT) 15 19 Barcelona Copenhagen 25 Barcelona Vancouver Bangkok Paris Barcelona 20 Barcelona 71 Barcelona (CPH) 1 The ranking refers to a selected sample. 2 The ranking refers to regions or provinces. 3 The ranking refers to countries. 82 Commercial Employees Corporate Office and retail Industrial land Employment Unemployment with graduate Labour tax1,3 rental prices rental prices rental prices Wage levels rates1,2 rates1,2,4 studies1,2 attractiveness Business Schools 2014 2014 2014 2014 2012 2013 2013 2013 2014 2015 1 EUnited States West London New York London- 5th Avenue Abu Dhabi Zurich Munich Munich London LondonEnd London Business School Hong Kong- 2 Japan London city Causeway Bay London Geneva Stockholm Prague Bilbao New York Fontainebleau - Insead Paris Avenue des 3 Argentina Paris Barcelona - Iese Business Champs-Elysées Geneva Copenhagen Oslo Stuttgart Oslo Paris School London- 4 Belgium Geneva New Bond Street Helsinki Oslo Stuttgart Oslo Brussels Sydney Madrid -IE Business School Sydney- Cambridge -5 India Moscow Zurich Luxembourg Amsterdam Frankfurt Helsinki Madrid Pitt Street Mall University of Cambridge: Judge 6 France Zurich Milan-Via Oslo New York Copenhagen Hamburg Madrid BerlinMontenapoleone Paris - HEC Paris 82 7 Italy Dubai Barcelona - Esade Business Tokio- Ginza Dubai Sydney Frankfurt Düsseldorf Edinburgh Barcelona School 8 Australia Stockholm Seoul- St. Petersburg Tokyo Hamburg Amsterdam Dublin Toronto Lausanne - IMD Myeongdong Oxford - 9 Barcelona Milan Zurich- Moscow Munich Prague Helsinki Stockholm Singapore Bahnhofstrasse University of Oxford: Saïd 10 Germany Dublin Moscow- Stockholm Frankfurt Helsinki Stockholm Copenhagen Rome Milan - SDA BocconiStoleshnikov Stoleshnikov 11 Luxembourg Oslo Vienna Glasgow Los Angeles Rotterdam Edinburgh Paris Dubai London -Imperial College Business School Munich- Manchester - 12 South Africa Frankfurt Edinburgh Chicago Edinburgh Rotterdam Glasgow Los Angeles Kaufingerstrasse Business School Beijing- Lisbon - 13 Norway Istanbul Manchester Stockholm London Copenhagen Athens Tokyo Wangfujing The Lisbon MBA Canada ... Barcelona- Coventry - 14 ... ... ... ... ... Munich Portal de l‘Angel Warwick Business School Rotterdam - 15 Israel 45 Barcelona Bogotá- 20 Barcelona 29 Barcelona 35 Barcelona 41 Barcelona 17 Barcelona Miami School of Management Shopping Center Erasmus University 1 The ranking refers to a selected sample. 2 The ranking refers to regions or provinces. 3 The ranking refers to countries. 4 The ranking goes from lowest to highest values Barcelona report 2015 Summary 83 _ _ Special report 86 BUSINESS CLIMATE IN Executive summary BARCELONA’S METROPOLITAN • 2014 returned the best results ever in the Survey on the business climate in the AMB since 2009 (when the data series began): AREA (AMB) - Business performance has improved notably, despite remaining slightly negative. Situation in 2014 and forecasts for 2015 - Sales prices have moderated considerably. Index - Employment improved significantly in the second quarter. 1. Situation and business climate trends in 2014 - Investment also improved and this is now positive for all sectors in the AMB, except in the case of construction. 2. Factors limiting business performance in 2014 • These strong results are generalized to all sectors analyzed in the 3. Situation and business outlook for the first quarter of 2015 survey: 4. Graphs and tables - The hotel sector stands out for being the only sector that had a positive 86 annual balance in terms of business performance and employment. 5. Appendix for methodology - The sector that has reduced its negative results most was construction, even so it still has the worst performance, followed by retail and commerce. • Regarding factors that limited business performance in 2014: - Weak demand remains the most mentioned factor by companies, although it was qualified as less important for the second consecutive year. - On the other hand, increased competition, the second most mentioned factor, gained in importance. And in the hospitality sector this factor even became as important as weak demand. - The third factor, financing difficulties, also became slightly less important, but this factor remains high from a historical perspective. • Improved business performance consolidated in the first quarter of 2015, especially in the industrial sector. 87 Barcelona report 2015. Special report 1. Situation and business climate trends in 2014 Improvements to business performance in 2014 were widespread across all sectors in the survey. Compared to the whole of Catalonia, business In 2014 business performance improved compared to the year previous performance in the AMB was somewhat less negative in 2014. Despite both in Catalonia and the Metropolitan Area of Barcelona, according to substantial improvements to business performance in the AMB, this indi- the Business climate survey carried out by the Chamber of Commerce cator was still slightly negative, but much less so than in 2013. In fact, the and Idescat. Results improved noticeably after the second quarter. These percentage of executives that said business performance was negative show the continuity of the economic recovery during 2014, in line with almost equalled the percentage that considered it positive, going from Idescat’s estimation of GDP growth in Catalonia, which was 0.4% for 41% in 2013 to 26% in 2014, while the percentage of leaders who consi- the year, and 1.5% for the fourth quarter of 2014. This has been large- dered it positive went from 15% to 21% in the same period. This improve- ly thanks to a recovery in domestic demand, especially household con- ment is seen across all sectors, but especially in hospitality, which recor- sumption, as well as strong export results ded positive results, and the other services category, with the percentage of executives that qualified business as positive equalling the percentage that qualified business as negative, meaning it was no longer in the red. La millora de la marxa dels negocis el 2014 és generalitzada en tots els . sectors de l’enquesta. I, en comparació amb el conjunt de Catalunya, la marxa dels negocis a l’AMB ha estat una mica menys negativa l’any 2014. Quarterly data show that this improvement mainly came about in the last three quarters of the year, while the first quarter recovery lost some of its intensity compared to the previous quarter. Importantly, business perfor- Figure 1.1. Trends in business performance across the whole economy. Situation mance recorded a slightly positive balance in the second quarter, the first 2012-2014. Comparison with Catalonia ever since the data series began in 2009. Balance1 in percentages 87 Business performance across Catalonia overall improved, although it is 0 still slightly more negative than in the AMB because the percentage of business leaders that noted favourable business performance was 20%, -5 a little less than the 21% recorded in the AMB, while the percentage that -10 indicated unfavourable business performance was 27%, higher than the -15 26% recorded for the AMB. -20 -25 Falls in sales prices in the AMB continued to level off in 2014 for the se- -30 cond consecutive year. Although there was a slight decrease, the per- -35 centage of positive responses (rising prices) went from 7% in 2013 to 5% -40 in 2014, and the number of negative responses (falls in prices) fell pro- -45 portionally more, from 26% in 2013 to 17% in 2014. Quarterly data from the survey show a stabilization in the decline in prices throughout the -50 2012 2013 2014 year across all sectors, except industry, which saw very similar results to the previous year. AMB Catalonia However, the latest official data show that prices were affected in the last Source: Barcelona Chamber of Commerce and Idescat part of 2014 by the unstoppable decline in oil prices in international mar- 1The balance is the difference between the percentage of businesses indicating that business performance kets, which led to a fall in the CPI in the province of Barcelona of 0.4% in was favourable and the percentage indicating it was unfavourable. December 2014 with respect to the same month the previous year. Employment in the Metropolitan Area of Barcelona also recorded a very strong performance, with job destruction virtually stopping and these re- sults were the best ever on this variable since the data series began in 2009, and probably since this recession started. Employment recorded an increase in the percentage of positive responses (growth in employment), from 11% in 2013 to 15% in 2014; while the percentage of negative res- ponses fell (drop in employment), from 27% in 2013 to 19% in 2014. This improvement was seen across all sectors, but especially in the hospita- lity sector (a sector that has created jobs since 2014) and construction, 88 which managed to reduce its downward trend significantly. The quarterly Table 1.1. Business climate across the whole economy2. results show improving employment trends took place especially in the Comparison with Catalonia. last three quarters of 2014, especially the second and third, which recor- Whole of the economy AMB Catalonia ded slightly positive results. Situation in 2014 These fine results were in line with a change towards a generally positive Business performance Unfavourable Unfavourable trend in the labour market in 2014. Data on activity rates from EPA and Trends in 2014 compared to 2013 membership of the social security system support the theory of a reco- Sales Prices very in employment in Catalonia and the AMB. In Catalonia, employment Number of employees rates increased by 2.1% overall in 2014, which is the first increase in employment since 2007. In 2014 the number of workers paying national Investment insurance in the province of Barcelona grew by 3.2% compared to 2013. Source: Barcelona Chamber of Commerce and Idescat However, although this is good news, it is still a long way from reaching 2Results for the overall economy are aggregated from the results for the industrial sector, construction, the sorts of employment levels seen before 2007, and this increase has retail and commerce, hospitality, and other services categories. As from 2013 results for are no longer included for Spain as they are not available. INE only publishes results for the Harmonized Business Clima- only been able to recover 10% of the jobs lost since the beginning of the te indicator for Spain and sectors. crisis. Positive and better than the previous year Negative and better than the previous year Positive and worse than the previous year Negative and worse than the previous year Trends in investment also improved significantly compared to 2013, re- Positive and no change on the previous year Negative and no change on the previous year cording a slightly positive balance, and the best result since the start of 88 the data series. This result was due to an increase in positive answers (increases in investment) from 18% in 2013 to 20% in 2014, while the fall in negative responses (decreases in investment), went from 31% in 2013 Results by sector: to 19% in 2014. All the sectors in the survey showed an improvement with positive results, with the exception of the construction sector. However, Improvements in business performance in the AMB in 2014 were gene- construction recorded the most notable upturn regarding drops in the ralized across all the sectors analyzed in the Business climate survey. Es- overall balance between positive and negative responses in percentage pecially strong was the hospitality sector, which was the only sector to points. register a positive result, and other services, which was no longer in the red. However, the most notable improvements (the largest reductions in As mentioned, business performance was a little less negative in the percentage points) were seen in the construction sector, although it still AMB than in Catalonia. However, sales prices and employment were slig- had the largest nominal negative balance, and afterwards came the retail htly more negative in the AMB than in Catalonia. And in terms of invest- sector, which improved thanks to the revitalization of sales in the domes- ment, both regions recorded the same slightly positive balance. tic market. The industrial sector4 in the AMB saw improvements to all variables analyzed in 2014, reducing its negative results compared to the previous year, and especially doing well in terms of investment, which recorded a positive balance. Indeed, business performance improved in the industri- al sector for the second consecutive year. In fact, the percentage of positi- ve responses (favourable business performance) was 22%, which almost equalled the percentage of negative responses (unfavourable business performance), which was 26%. In 2013 these percentages were 20% and 32% respectively and as such a more negative result. According to INE data, industrial production also confirmed that the industrial sector’s performance was slightly more positive than in 2013: industry in Catalo- nia ended 2014 with an annual growth on the industrial output index (IPI) of 1.3%, while it was around 1% in 2013. 3As from 2013 the question about investment on the Business climate survey is asked annually. So, we do not analyse its trend quarterly. 4As from 2013 the survey analysed all industrial branches to cover the whole industrial sector, not just manufacturing, as was done until 2012. 89 Barcelona report 2015. Special report Improvements to business performance in the industrial sector was Table 1.2. Business climate in the industrial sector. backed up by export results, which were the driving factor behind indus- Comparison with Catalonia. trial activity during the last years of the recession, although in 2013 and Industrial sector AMB Catalonia 2014 this trend lost some of its intensity. Situation in 2014 Survey results show a slight positive result on this variable, but not as Business performance Unfavourable Favourable high as the four preceding years. In 2014 the percentage of businesses Trends in 2014 compared to 2013 saying they had experienced an increase in overseas sales was 11%, Exports lower than the 19% seen in 2013. This is a higher figure than the per- Sales prices centage of business people that said exports fell, which was 10% in 2014, Number of employees lower than the 11% recorded in 2013. Data from the Secretary of State for Trade shows an annual growth rate in goods exports in the province Investment of Barcelona in 2014 of 2.7%, although this was higher than the 0.8% re- Source: Barcelona Chamber of Commerce and Idescat corded the previous year. However, the results of the Survey on business 5As from 2013 the question about investment on the Business climate survey is now asked once a year, there- climate show industrial exports from the AMB in 2014 were slightly lower fore, there are no longer quarterly results; and the question is asked about annual investment rather than than for the whole of Catalonia. quarterly investment, as was done before.es. Positive and better than the previous year Negative and better than the previous year Sales prices recorded a fall similar to that seen the previous year. In 2014 Positive and worse than the previous year Negative and worse than the previous year the percentage of business executives that noted an increase in prices Positive and no change on the previous year Negative and no change on the previous year fell slightly to 3% (6% in 2013), while the percentage of business people 89 who said prices had fallen went down to 14% (17% in 2013). The construction sector registered the most negative results, but it also The industrial sector saw a significant improvement in terms of employ- stands out as the sector that recorded most improvements across all ment. In 2014, the overall decline in manufacturing employment also variables analyzed, reducing negative balances in percentage points, levelled off. The percentage of business people that noted an increase meaning that the downward trends slowed across all variables. This was in employment was almost equal to the percentage that indicated a de- thanks to a certain recovery in construction in 2014 after a tough adjust- crease (14% and 15%, respectively). The first and third quarters of the ment process that began in mid 2008. The sector appears to be back on year stood out particularly, when this sector recorded a slightly positive track after seeing positive rates in the AMB in late 2014, after seven con- result, meaning the percentage of business people who noted an increa- secutive years in recession. Official data indicate this trend will continue se in employment slightly exceeded the percentage that had indicated a in the construction sector for residential and non-residential construc- decrease in employment. tion. Residential construction has boosted the sector most: housing pri- ces have begun to grow again, and the number of mortgages has begun However, the most notable improvement in the industrial sector was to rise as has housing sales. The number of tenders for public works is seen in terms of investment5. Improvements here resulted in a positive growing for the second year in Catalonia. balance: the percentage of companies that indicated investment grew in fact increased (from 22% in 2013 to 25% in 2014), while the percentage Regarding business performance, the percentage of business people indicating a decrease in fact fell (from 26% in 2013 to 17% in 2014). There- that have noted a favourable situation increased slightly to 11% (4% fore, this all goes to show that investment in industry rose during 2014. in 2013) and those that indicated a decline dropped by almost half to 36% in 2014 (67% in 2013). Although the final balance remains high, it The results of the survey on industry in Catalonia are better than those is comparable to other sectors analyzed in the survey. Also, it is worth for the AMB, except in terms of investment. Regarding business perfor- noting that the last quarter of 2014 registered the lowest percentage of mance and jobs, Catalonia registered a positive balance; however, this business owners who consider business performance as unfavourable was not seen in the AMB. Regarding exports, the balance is less positive since 2009 (25%), and at the same time it was the highest percentage at least for the AMB and in terms of sales prices it was more negative. of business leaders that considered the situation was favourable since However, in terms of investment, the results are better in the AMB with a 2010 (19%). These quarterly results were the least negative ever in the slightly more positive balance than in Catalonia. data series (since 2009). 5As from 2013 the question about investment on the Business climate survey is now asked once a year, therefore, there are no longer quarterly results; and the question is asked about annual investment rather than quarterly investment, as was done before. 90 Falls in sales prices continued to level off in 2014 for the second consecu- Indeed, retail recorded a significant improvement in terms of business per- tive year; and while this sector registered the most negative results of all formance in 2014, although only the construction sector recorded a more sectors analysed, it was not as significant as happened in previous years. negative result than this sector. This improvement occurred because the Thus, although the percentage of businesses in this sector saying there percentage of employers in the sector who noted an unfavourable situation was an increase in prices in fact decreased slightly from 3% in 2013 to 1% in terms of business performance has decreased (from 52% in 2013 to 31% in 2014, the percentage of business people saying there was a fall in prices in 2014) and at the same time the percentage of business people who no- in fact decreased by a much higher proportion, 42% in 2013 to 25% in 2014. ted that business performance has improved in fact increased (from 10% to 21%). Business performance improved from the second quarter of the year, In terms of occupation there was also a clear improvement in 2014, with and even the second and fourth quarters of 2014 were positive. The fourth the negative result reduced by half compared to the previous year and in quarter saw the percentage of business people describing business perfor- terms of quarters there was a positive trend as the year went on. So, ove- mance as unfavourable dropping to 26%, a lower percentage than that which rall in 2014, the percentage of business people indicating that employment qualified it as favourable (28%). So the resulting balance is positive and the had declined was 33% (compared to 51% in 2013) and those indicating it best since 2009. increased was 9% (3% the previous year). Falls in sales prices slowed in 2014 compared to 2013, and the percentage of Likewise, the trends in investment in 2014 improved substantially showing business people noting a fall also went down to 18% (26% in 2013), a larger a much less negative balance than the previous year. 32% of business lea- proportion than the decrease noted by business people who said prices in- ders believe investment has fallen, compared to 63% recorded in 2012; and creased, up to 5% (7% in 2013). 10% indicating it had increased, compared to 3% in 2013. 90 Regarding employment, the results are far less negative in 2014 than the The results of the Business climate survey for the construction sector previous year and practically levelled off. On the one hand, the percentage of showed similar negative results in the Metropolitan Area of Barcelona and positive responses (i.e., indicating a rise in employment) remained practica- Catalonia as a whole in 2014, with the exception of employment, which saw lly the same (12% in 2014 versus 11% in 2013). On the other hand, the per- a more negative result in Catalonia than the AMB. centage of negative responses (reduction in employment) fell to 17% (29% in 2013). Likewise, the percentage of business people indicating a decline in Retail and commerce in the AMB registered a significant improvement the number of workers shows a similar rate to the amount indicating an in- across all the variables analyzed in 2014, but it still had the second most ne- crease. gative results after construction. These strong results were partly due to the strong performance of domestic sales throughout 2014. The index of retail Investment also saw a significant improvement in 2014 with a moderately sales, which measures trends in the sector via sales volumes, saw the first positive balance leaving behind the negative results recorded since 2009 and, sales increase since 2010, with growth of 2.2% at constant prices. therefore, showing a change in trends. The percentage of business people noting an increase in investment exceeded the percentage noting a decline, Table 1.3. Business climate in the construction sector. 17% and 14%, respectively (compared to 20% and 27% in 2013, respectively). Comparison with Catalonia. The differences in terms of the results on variables in the Business climate Construction AMB Catalonia survey for retail and commerce are very similar in the AMB and Catalonia. Situation in 2014 On the one hand, business performance was slightly less negative in the Business performance Unfavourable Unfavourable AMB than in Catalonia, and on the other hand, it was more negative in terms Trends in 2014 compared to 2013 of sales prices and employment. Regarding investment, the result is better Sales price in the AMB, because in terms of retail the balance is already positive, while this sector in Catalonia as a whole showed a certain stabilization (0 balance Number of employees between negative and positive responses). Investment Source: Barcelona Chamber of Commerce and Idescat The hotels an restaurant sector fared best across all the variables analyzed in the Business climate survey 2014, with the exception of investment. These Positive and better than the previous year Negative and better than the previous year results are in line with the strong results obtained for tourism in Catalonia Positive and worse than the previous year Negative and worse than the previous year during 2014, thanks mainly to increases in foreign tourism and a recovery in Positive and no change on the previous year Negative and no change on the previous year Spanish tourism. The number of foreign tourists increased by 7.6%, which comes after strong growth recorded in 2012 (9.9%) and 2013 (8.3%). Expen- diture from foreign tourism spending increased by 6.7%. However, overnight hotel stays by foreign tourists decreased by 1%. However, a recovery in Spa- 91 Barcelona report 2015. Special report Table 1.4. Business climate in the retail and commerce sector. Table 1.5. Business climate in the hospitality sector. Comparison with Catalonia. Comparison with Catalonia. Retail and commerce AMB Catalonia Hospitality AMB Catalonia Situation in 2014 Situation in 2014 Business performance Unfavourable Unfavourable Business performance Unfavourable Unfavourable Trends in 2014 compared to 2013 Trends in 2014 compared to 2013 Sales prices Sales prices Number of employees Number of employees Investment Investment Source: Barcelona Chamber of Commerce and Idescat Source: Barcelona Chamber of Commerce and Idescat Positive and better than the previous year Negative and better than the previous year Positive and better than the previous year Negative and better than the previous year Positive and worse than the previous year Negative and worse than the previous year Positive and worse than the previous year Negative and worse than the previous year Positive and no change on the previous year Negative and no change on the previous year Positive and no change on the previous year Negative and no change on the previous year resulted in a significant increase in overnight hotel stays, especially from The hotel industry in the Metropolitan Area of Barcelona saw better results Catalonians (11%), which more than compensated for the decline in foreign across all variables in the Survey on business climate in 2014 than the rest of tourism overnights. Catalonia, with the exception of investment. The most important and striking 91 results were in terms of business performance and jobs and to a lesser ex- Indeed, business performance in the hospitality industry has not just been tent sales prices. In the case of business performance, the AMB recorded better than the other sectors analyzed, but it also had a moderately positive a moderately positive result (the percentage of business people indicating result. The hospitality sector had strong positive balances in terms of busi- a favourable business performance exceeded the percentage saying it was ness performance in the second and third quarters of 2014. Part of these fa- unfavourable), while in Catalonia the results are still slightly negative. At the vourable outcomes came from the seasonality of the quarters, but it should same time, employment also recorded a positive balance for the whole of be noted that the results were the same or better than the same quarter Catalonia. The fact that tourism in Barcelona is becoming less seasonal and in 2013, which in turn was also quite a positive result. Thus, in the whole of that there is a lot of business tourism means that the hospitality sector in the 2014, 34% of business leaders described business progress as favourable, AMB performed better than the rest of Catalonia. 24% higher than those describing it as unfavourable; whereas in 2013 these percentages were both 31%, resulting in stabilization in the results on this The other services sector saw an improvement across all variables analy- variable. zed in 2014. Particularly noteworthy is business performance, which not only improved in 2014 compared to the previous year, but also showed a positive In 2014, sales prices continued to fall in the hospitality industry and these result, with the second best results of all sectors, but behind the hospitality have virtually stopped falling. It should be mentioned, however, that in the sector. The percentage of employers in the sector that indicated an unfavou- second and third quarters prices rose, a sign of the season effects of tou- rable business performance declined from 36% in 2013 to 22% in 2014, while rism. the percentage that indicated that it was favourable rose from 12% to 22% respectively. The number of jobs also trended positively in the whole of 2014, with job los- ses slowing and the sector already beginning to create jobs. The best trends The decline in sales prices slowed in 2014 compared to the previous year, were seen in the second and third quarters, which saw a lot of positive re- with a decrease in the percentage of business people noting a drop in pri- sults. 28% of hoteliers and hospitality bosses indicated that employment had ces to 15% (23% in 2013), while the percentage of business people noting an increased in 2014, a higher percentage than the 16% that had noted a decre- increase remained stable for the third consecutive year (3%). Moderation is ase (compared to 19% and 20% respectively for the previous year). most evident in the quarterly figures: as the year progressed the falls decre- ased, so in the fourth quarter these percentages were 11% and 1% respecti- However, even though investment showed a strong performance throughout vely, while in the first quarter they were 19% and 6%, respectively. 2014, with slightly positive balances, it did not improve on 2013’s results. The percentage of business people noting an increase in investment exceeded the percentage indicating a decrease, 25% and 22%, respectively (compared to 27% and 19% respectively, in 2013). Investment is the only variable analy- zed in the survey in which hospitality did not record the best result. 92 Employment in the other services sector also followed the same trend; 2. Factors that limited business performance in 2014 the falls almost petered out with a balance close to zero. In quarterly terms, there were positive balances in the second and third quarters, Weak demand remains the factor most mentioned by business leaders and the fourth saw a stabilization in the downward trend. In 2014, 19% of as limiting business performance in 2014, but this factor was weighted business leaders indicated that employment decreased, a lower percen- lower for the second consecutive year. This was largely due to an increase tage than in 2013 (29%), while the percentage of business people noting in employment which boosted private consumption. However, increased growth in employment rose to 16% (12% in 2013). competition was the second most mentioned factor limiting business performance and it gained importance. Investment also improved compared to 2013 and there was a moderately positive result, the second best results in terms of sectors. On the one At the same time, improvements to finance conditions meant this factor hand, the percentage of entrepreneurs indicating growth in investment lost relevance and difficulty finding financing became the third most cited was up to 22% (18% in 2013) and those pointing to a fall in fact decreased factor limiting business performance. to 18% (30% in 2013). In general, the other services sector recorded better results in the AMB Figure 2.1. Factors that limit business performance across the whole economy. than the whole of Catalonia. While business performance stabilized in the Comparison 2013-2014 (percentage) AMB, in Catalonia the results were slightly more negative. As for em- Comparison 2013-2014 (percentage) ployment and sales prices, the balance was slightly less negative in the 78 AMB than the whole of Catalonia. Finally, investment recorded the same Weak demand 81 92 positive balance in both geographical regions. 90 54 Increased competition 50 51 Table 1.6. Business climate in other services sector. Comparison with Catalonia. 38 Financing difficulties 40 Other services AMB Catalonia 46 Situation in 2014 8Lack of adequate personnel 6 Business performance Unfavourable Unfavourable 6 Trends in 2014 compared to 2013 5 Insufficient production equipment 4 Sales prices 5 Number of employees Investment 2014 2013 2012 Source: Barcelona Chamber of Commerce and Idescat Source: Barcelona Chamber of Commerce and Idescat Positive and better than the previous year Negative and better than the previous year Positive and worse than the previous year Negative and worse than the previous year Positive and no change on the previous year Negative and no change on the previous year 93 Barcelona report 2015. Special report Results by sector: Comparative results between sectors in the AMB and Catalonia showed the following significant differences: In 2014, the factor mentioned most across the Metropolitan Area of Bar- celona was weak demand, although this factor was weighted lower for • The limiting factors were practically the same between the AMB and the second consecutive year. This was due in part to job creation in 2014 Catalonia. and this led to an improvement in domestic consumption. 78% of busi- ness leaders in the Metropolitan Area of Barcelona said that weak de- • Weak demand was a little more important in Catalonia than the AMB in mand had limited business performance in 2014, slightly lower than the 2014 (79% versus 78% respectively) and there were no notable differen- 81% recorded in 2013. ces between sectors. This factor has become less relevant for all the sectors analyzed in the • The percentage of business leaders mentioning increased competition Business climate survey, with the exception of the hospitality industry, as a limiting factor to business performance is exactly the same in the where it gained weight (77% in 2013 to 80% in 2014). However, the cons- AMB as Catalonia, standing at 54%. However, there were big differences truction and retail sectors remain the most affected by this factor, with for some sectors: 88% of business people in the construction business and 83% of retailers saying it limited their firms (lower percentages, however, than those re- - In industry this percentage is much higher in Catalonia than in the AMB corded the previous year: 94% and 84%, respectively). In other sectors, (50% and 40%, respectively). this factor was also mentioned by leaders as a limiter, with the other services sector showing lower percentages, but still high, at 73%, fo- - However, for the hospitality sector this factor was much more impor- llowed by industry (78%). tant in Catalonia than in the AMB (80% versus 66%, respectively). 93 The second factor most mentioned by the business leaders limiting • Financing difficulties were equally important in the AMB and Catalonia performance was the increase in competition, with 54% of responses, (38% and 36%, respectively). While there are some differences in results a percentage that increased compared to 2013 (50%). However, this ex- across sectors: tra weighting occurs in retail and commerce and other services sectors. However, this percentage remained stable in the industrial sector and in - In terms of hospitality, this factor was more relevant in Catalonia than construction, and it fell in the hospitality sector. However, the hospitality in the AMB (32% versus 23%, respectively). sector continues to have the highest percentage of business people who mentioned weak demand as a limiting factor to business performance, - By contrast, in terms of the construction sector and industrial sector, standing at 80%. financing difficulties are slightly more relevant in the AMB than the whole of Catalonia. The third factor limiting business performance is financing difficulties, which was mentioned by 38% of business leaders in the AMB, a percen- Table 2.1. Factors that limit business performance across the whole economy. tage that fell compared to the previous two years (46% and 40%, respec- Comparison with Catalonia (percentage) tively). This reduction in importance was due to the economic recovery Whole economy AMB Catalonia and improving conditions in financial markets. However, this reduction was most relevant in retail and commerce and other services sectors. Weak demand 78 79 In the other sectors this factor was either more or less significant. The Increased competition 54 54 construction sector had most business people saying they had funding Financing difficulties 38 36 difficulties, with 51% in 2014. The industrial sector, along with other ser- Lack of adequate personnel 8 9 vices and retail, came afterwards with percentages ranging from 34% to Insufficient production equipment 5 7 39%; and lastly, hospitality, where only 23% of business people mentio- ned this as a limiting factor. Source: Barcelona Chamber of Commerce and Idescat Gains importance as a limiting factor affecting business performance compared to the previous year Loses importance as a limiting factor affecting business performance compared to the previous year Maintains importance as a limiting factor affecting business performance compared to the previous year 94 Table 2.2. Factors that limit business performance in the industrial sector. Table 2.5. Factors that limit business performance in the hotels and restaurant Comparison with Catalonia (percentage). sector. Comparison with Catalonia (percentage). Industrial sector AMB Catalonia Hospitality sector AMB Catalonia Weak demand 78 76 Weak demand 80 83 Increased competition 40 50 Increased competition 80 66 Financing difficulties 39 33 Financing difficulties 23 32 Lack of adequate personnel 7 10 Lack of adequate personnel 8 11 Insufficient production equipment 7 10 Insufficient production equipment 9 11 Source: Barcelona Chamber of Commerce and Idescat S ource: Barcelona Chamber of Commerce and Idesc a t Gains importance as a limiting factor affecting business performance compared to the previous year Gains importance as a limiting factor affecting business performance compared to the previous year Loses importance as a limiting factor affecting business performance compared to the previous year Loses importance as a limiting factor affecting business performance compared to the previous year Maintains importance as a limiting factor affecting business performance compared to the previous year Maintains importance as a limiting factor affecting business performance compared to the previous year Table 2.3. Factors that limit business performance in the construction sector. Table 2.6. Factors that limit business performance in the rest of services. Comparison with Catalonia (percentage). Comparison with Catalonia (percentage). Construction sector AMB Catalonia Other services AMB Cataluña Weak demand 88 88 Weak demand 73 74 94 Increased competition 44 45 Increased competition 56 55 Financing difficulties 51 48 Financing difficulties 38 37 Lack of adequate personnel 6 8 Lack of adequate personnel 9 9 Insufficient production equipment 3 3 Insufficient production equipment 4 5 Source: Barcelona Chamber of Commerce and Idescat Source: Barcelona Chamber of Commerce and Idesca t Gains importance as a limiting factor affecting business performance compared to the previous year Gains importance as a limiting factor affecting business performance compared to the previous year Loses importance as a limiting factor affecting business performance compared to the previous year Loses importance as a limiting factor affecting business performance compared to the previous year Maintains importance as a limiting factor affecting business performance compared to the previous year Maintains importance as a limiting factor affecting business performance compared to the previous year Table 2.4. Factors that limit business performance in the retail and commerce sector. Comparison with Catalonia (percentage). Retail and commerce AMB Catalonia Weak demand 83 83 Increased competition 62 58 Financing difficulties 34 34 Lack of adequate personnel 7 7 Insufficient production equipment 5 6 So urce: Barcelona Chamber of Commerce and Idesca t Gains importance as a limiting factor affecting business performance compared to the previous year Loses importance as a limiting factor affecting business performance compared to the previous year Maintains importance as a limiting factor affecting business performance compared to the previous year 95 Barcelona report 2015. Special report 3. Business outlook for the first half of 2015 Figure 3.2. Business outlook for the first quarter of 2015 (balance7,8, in %) Business expectations about business performance for the first quarter of 2015 are no longer negative for the first time since 2009. 60 40 By sector, forecasts are positive in the industrial and other services sec- tors (not retail), and they have stabilized in retail but remain negative in 20 the construction and hospitality sectors, the latter because of seasonal 0 reasons. -20 Forecasts about business performance for the first quarter of 2015 have -40 improved for all sectors, except for seasonal reasons in the hospitality -60 sector. -80 -100 In 2015, forecasts show Barcelona’s economy will grow even faster. The 2012.I II III IV 2013.I II III I V 2014.I II III IV factors that are contributing to this are reductions to oil prices, falling Industry Construction Commerce Hotels Other services costs, the depreciation of the Euro, the city’s attractiveness to tourists, and restaurants and more exports outside the euro area. Source: Chamber of Commerce and Idescat 95 The results of the Business climate survey show performance in the AMB Figure 3.3. Outlook for business performance, by sectors. could get a boost across all its sectors in the first quarter of 2015, ex- (balance7,8, in %) cept for hospitality due to seasonal variations. This improved business performance is in contrast to what happened in the previous quarter and what happened a year ago. Business leaders forecast positive re- 40 sults in the industrial sector and other services sector, and a levelling 20 off in terms of retail and negative results in terms of construction and hospitality. These are the best business forecasts -together with the se- 0 cond quarter prospects in 2014- in the last four years, when there was a -20 drop in economic activity and we entered into a second recession in the middle of 2011. -40 -60 Figure 3.1. Business performance across the whole economy. (balance6 , in %) -80 -100 10 2012.II III IV 2013.I II III IV 2014.I II III IV 2015.I 0 Industry Construction Commerce Hotels Other services and restaurants -10 7The balance for each situation is the difference between the percentage of firms that state that business -20 performance has been favourable and the percentage of businesses that say it was unfavourable. And in the case of forecasts, it is the difference between the percentage of firms that believe business performance will be -30 favourable and the percentage of firms that expect it to be unfavourable. 8Importantly, in the case of hospitality the results show seasonality, but the data series is too short adjust for -40 seasonally. -50 Source: Chamber of Commerce and Idescat Situation Forecast -60 2012.I II III IV 2013.I II III IV 2014.I II III IV 2015.I The sectors which forecast positive business performance in 2015 du- ring the first quarter are the industrial sector and other services sector, 6 The balance are the difference between the percentage of firms that state that business performance has been while the retail sector is stabilizing, i.e. the number of business execu- favourable and the percentage of businesses that say it was unfavourable. And in the case of forecasts, it is the tives who expect an improvement is the same as the number that ex- difference between the percentage of firms that believe business performance will be favourable and the percentage of firms that expect it to be unfavourable. pect things to get worse. While the construction sector improved notably Source: Chamber of Commerce and Idescat compared to last quarter and previous years, the hospitality sector re- corded a more negative result compared to previous periods. 96 4. List of figures and tables Graphs 1.1 Trends in business performance across the whole economy. Situation 2012-2014. Comparison with Catalonia. 2.1 Factors that limit business performance across the whole economy. Comparison 2012-2014. 3.1 Business performance in the whole economy during the first quarter of 2015. 3.2. Situation of business performance in the first quarter of 2015 by sectors. 3.3 Outlook for business performance in the first quarter of 2015 by sectors Tables 1.1 Business climate across the whole economy. Comparison with Catalonia. 96 1.2 Business climate in the industrial sector. Comparison with Catalonia. 1.3 Business climate in the construction sector. Comparison with Catalonia. 1.4 Business climate in the retail and commerce sector. Comparison with Catalonia 1.5 Business climate in the hotels and restaurants sector. Comparison with Catalonia. 1.6 Business climate in other the services sector. Comparison with Catalonia. 2.1 Factors that limit business performance in the whole economy. Comparison with Catalonia 2.2 Factors that limit business performance in the industrial sector. Comparison with Catalonia. 2.3 Factors that limit business performance in the construction sector. Comparison with Catalonia. 2.4. Factors that limit business performance in the retail and commerce sector. Comparison with Catalonia. 2.5 Factors that limit business performance in the hotels and restaurants sector. Comparison with Catalonia. 2.6 Factors that limit business performance in the rest of services sector. Comparison with Catalonia. 97 Barcelona report 2015. Special report 5. Appendix on Methodology Hotels and restaurants CCAE-2009: 55 and 56 Sectors featured in the Business climate survey: 55: Accommodation Services 56: Food and Beverage Services Industry 01: Food, beverages and tobacco (CCAE-2009: 10 to 12) Other services 02: Textiles, clothing, leather and footwear (CCAE-2009: 13 to 15) 01: Information and communication (CCAE-2009: 58 to 63) 03: Wood and cork, paper and printing industries (CCAE-2009: 16 to 18) 02: Legal and accounting activities (CCAE-2009: 69) 04: Chemical, rubber and other non-metal minerals industries (CCAE- 03: R&D, advertising and market research and scientific and technical 2009: 20 to 23) activities (CCAE-2009: 71 to 75) 05: Metallurgy and manufacturing of metal products (CCAE-2009: 24 and 25) 04: Administrative and support service activities (CCAE-2009: 77 to 82) 06: Manufacture of machinery and mechanical equipment, and electrical 05: Other Services (CCAE-2009: 49 53, 64 66, 68, 92, 93 and 96)) products, computers, electronic and optical products (CCAE-2009: 26 to 28) 97 07 Other industries (CCAE-2009: 05 09 to 19 29 to 33 35 to 39) Construction Section F of the CCAE-2009 is considered completely, with divisions: 41: Construction of buildings 42: Construction of civil engineering works 43: Specialised construction activities Retail and commerce 01: Retail trade of food products, beverages and tobacco specialized (CCAE-2009: 472) 02: Retail trade of household goods, cultural and recreational goods in specialized shops (CCAE-2009: 475 and 476)) 03: R&D, advertising and market research and scientific and technical activities (CCAE-2009: 71 to 75) 04: Administrative and support service activities (CCAE-2009: 77 to 82) 05: Other Services (CCAE-2009: 49 53, 64 66, 68, 92, 93 and 96) 06: Wholesale trading and intermediary trading (CCAE-2009: 46)