Meet Andres Romero: A Story of entrepreneurship and family companies in the Mass Consumption, Financial Services, Agriculture, Ports and Power Industries
Company: Romero Group
Industries: Mass Consumption, Financial Services, Agriculture, Ports and Power Industries
Within the close-knit Babson Family Business Club, we are privileged to count members like Andres Romero among our ranks, whose exceptional humility and warmth distinguish him.
Andres Romero,
MBA at Babson F.W. Olin Graduate School of Business
1YMBA, 2024
Part of the esteemed Romero Group of Companies, a prominent business conglomerate in Peru, Andres’ company plays a vital role in the sectors of Mass Consumption, Financial Services, Agriculture, Ports, and Power.
Business Model:
With a storied legacy that has unfolded over 135 years, the Romero Group remains a symbol of an enduring tradition. Now transitioning to its fifth generation, Andres is a proud member of this new generation. The core principles that have guided the group throughout its existence remain unwavering:
Commitment to delivering high-quality products and services.
Profound faith in the nation and its potential.
Uncompromising integrity and ethical conduct.
A steadfast commitment to supporting its workforce.
A deep sense of social responsibility ingrained in its DNA.
Romero Group boasts diverse holdings across various enterprises, with two badge companies Alicorp and Primax. The group has other investments in port concessions, real estate, agriculture, and financial services.
“Family First.”, Andres Romero
Key Holdings:
Alicorp: A prominent player in the realms of oil, soaps, and food products. With a presence in both B2C and B2B segments, they also excel in aquaculture, producing food for salmon and shrimp.
Primax: A network of gas stations and convenience stores spanning Peru and Ecuador, primarily dealing in oil procurement and sales.
Other investments:
Tramarsa: A port management entity that levies fees on boats and ships. Benefitting from its strategic location near mines, it performed relatively well during the pandemic.
Credicorp: An influential institution encompassing banking, insurance, pension funds, and mobile banking in Miami, though with a smaller participation percentage.
Recent Triumphs:
Alicorp has ventured into new domains such as home care and personal care through the acquisition of Intradevco brands, marking a significant expansion in their business portfolio.
Romero Group is presently undergoing a transition from its fourth generation to the fifth generation of leadership.
Impact of COVID and Macroeconomic Events:
Since its beginning, this group had to overcome numerous challenges terrorist threats, land expropriation even governments that wanted to nationalize some companies.
The pandemic brought formidable challenges, including widespread layoffs and a 12% drop in Peru's GDP. While Primax faced adversity due to reduced car mobility, they were fortunate to extend payment terms, thanks to a contractual clause for national disasters. Conversely, Alicorp, specializing in consumption goods, experienced increased demand, notably in cooking products. They also benefited from tax incentives, bolstering their B2C margins.
About Andres:
Andres Romero epitomizes a driven individual with entrepreneurship woven into his DNA. His composed demeanour belies his passion for adventure, be it skiing annually with his close-knit family or indulging in sports like soccer, mountain biking, and surfing.
Within the family business, candid conversations are held, knowing that family bonds always take precedence. We wish him the best as he will be taking his first step into the family business soon after completion of the MBA.
Stay tuned for more inspiring stories and insights from our vibrant community of family business enthusiasts.
This story was written exclusively for the Babson Family Business Club by Dheeraj Ramesh Pherwani, Member of the Babson Family Business Club & Vice President of Operations.