Entrepreneurship is an activity increasingly sought after by Romanians who want to be financially independent and become their own bosses. However, success cannot be guaranteed only by this position, many of the debutant companies failing to make a profit or survive for a significant period. Increasing the chances of success depends on many aspects, some of the most important being the choice of the right field of activity and taking protective measures against specific risks, to which employers will certainly be exposed in the future.

By choosing the right field of activity, entrepreneurs can benefit from numerous advantages and, at the same time, have the chance to precisely identify the categories of risks to which they are exposed. Thus, preventive measures can be taken to help them if these risks make their presence felt.

The article below offers valuable information to people who are just starting out in the business world, but also to experienced people who want to develop their entrepreneurial spirit. Thus, you can find out what a field of activity means, why it is important that the choice be made knowing the cause, which are the most profitable fields of professional activity in Romania and which types of insurance are suitable for each individual. In addition, you will have the opportunity to consult a list of useful tips for choosing the most suitable field of activity and appropriate insurance policies.

1. What are the fields of activity

The term field of activity is specific to the business environment, referring to that economic sector in which a company carries out its current activities. There are a variety of such fields, such as trade, industrial production, services, agriculture, health or construction, each of them having its own characteristics and challenges, and choosing the right option will greatly influence the chances of success of a business. Understanding these characteristics and challenges is essential for entrepreneurs who want to organize their own company, but also for managers in the situation of making strategic decisions.

1.1. Examples of fields of activity for companies – which are the most sought-after sectors of professional activity

Knowing some key information about the different fields of activity through which a business can be started is essential for entrepreneurs and managers, because they can identify the areas with maximum chances of success and profitable growth opportunities. Among the fields that offer major possibilities for success are:

• Field of information technology. This part of the economy activates companies that provide clients with computer software, hardware, internet services and communication solutions, dynamic technological elements and important innovators for other fields in which the automation of various processes ensures long-term success;
• Financial services. Entities in this field (banks, investment companies, consulting and insurance companies) offer essential services for managing the finances of individuals and legal entities, contributing to economic stability and to the facilitation of investments in other areas of the economy;
• Health. Companies in this field (hospitals, clinics, companies producing medical and pharmaceutical equipment) can take advantage of the increasing concern of people and the numerous innovations introduced by modern medical technologies and biotechnologies to increase their marketability;
• Industrial production. The manufacture of various goods is considered the basis of the economy because it helps the development of technology and offers an appreciable number of jobs;
• Agriculture. A traditional field, but currently in a stage of sharp changes, agriculture ensures the food of the population by cultivating plants and raising animals;
• Retail trade. The retail domain includes physical and online stores that sell products and services directly to customers;
• Construction sector. Activities of this type are important for the development of urban life and for the expansion of infrastructure elements;
• Transports and logistics. This field includes the activities of moving goods and people, as well as goods storage services;
• Tourism and hospitality. The HoReCa domain deals with the provision of travel and recreation services, being important in the local development of important tourist areas.

1.2. Fields of professional activity – the importance of choosing a suitable field of activity for the activity of a company

The decision to choose a certain field of activity is fundamental for an entrepreneur at the beginning of the journey. A suitable option can increase the chances of success, while one that does not take certain elements into account is most often doomed to failure. Among the important elements resulting from the informed choice of the right field of activity are:

• Determining the company’s strategic direction and short- and long-term objectives;
• Establishing precisely the need for financial and material resources;
• Recognizing the competition and positioning your business on the market;
• Identifying the risks associated with a certain field and establishing the ways of managing them;
• Realization of an internal organizational culture that is suitable for the chosen field;
• Contribution to the economy and society;
• The level of communication and relations with clients that must be implemented during normal activity.

All these criteria, as well as others identified by each individual entrepreneur, help to choose the right field, which contributes in a major way to building a sustainable business that builds on the knowledge and skills of the entrepreneur.

2. Top fields of activity – examples and recommendations of types of professional fields for protection that can be accessed through insurance policies

The economic system in Romania is a dynamic and complex one, characterized by numerous challenges that are present in all fields of activity. Choosing the right direction for establishing a company is necessary, as well as identifying those problematic situations, specific to each sector of activity.

Among the recommended methods of adequate long-term protection of investments are also insurance policies, tools that are useful in the continuity and success of a long-term business. The insurance companies active in Romania have created policies specific to each field of activity, created precisely to successfully manage the risks of the respective sector.

2.1. List of profitable fields of activity in Romania – which are the most profitable fields of activity in Romania

The Romanian economy is currently in a period of growth and diversification, with multiple business opportunities. However, among the fields available to entrepreneurs who want to develop a sustainable and profitable business, there are several areas where the potential for generating income is high, and the chances of attracting investments are significant.

Among the main fields of activity in our country with future development prospects are those listed below:

• The field of IT&C (information and communication technology) is one of the most dynamic and profitable sectors. The companies that develop IT&C solutions are grouped in several important hubs, such as Bucharest, Cluj, Iasi and Timisoara. These modern urban centers take advantage of the many available talents and investors willing to use their own money to build a successful business. Among the elements that contribute to the development of the IT sector are a well-trained workforce, government support and access to international markets;
• The car industry is another successful field in Romania, due to the presence of major international car manufacturers. Therefore, Romanian entrepreneurs can take advantage of the needs of foreign companies to develop their business in the automotive industry. Among the successful directions of these businesses are the introduction of technological innovations and the development of electric and hybrid automobile technology;
• Agriculture and the food industry are basic economic fields that have evolved significantly in recent years. Thanks to the fertile soil and favorable conditions, Romania is one of the major agricultural producers of the European Union, success being almost guaranteed thanks to the financing programs and subsidies from the European Union;
• Construction and real estate are sectors in full expansion, which are developing due to economic growth and the significant demand for production, commercial and residential spaces. The opportunities in this field are numerous, and companies operating in the construction sector can register high chances of success;
• Tourism and hospitality is a profitable field due to the numerous tourist attractions and the growing appetite of Romanians for vacations within the borders of the country;
• Energy and natural resources are fields in which profitable businesses can be developed due to the many national opportunities, such as those in the field of renewable energy.

2.2. Types of insurance recommended for the various fields of professional activity

Insurances are extremely important financial instruments in terms of business protection, because they offer financial security in case risks and uncertainties make their presence felt. Each field of activity faces specific threats and, for this reason, it is recommended that the choice of the right policy takes these aspects into account. Depending on the development field of your business, the help insurances can be the following:

• To protect companies active in the field of information and communication technology, the most useful option is IT professional liability insurance that protects the company in case there are complaints regarding negligence or professional errors. At the same time, cyber insurance can be used in case of security breaches or cyber attacks;
• In the field of liberal professions (architects, notaries, doctors, consultants, etc.), a real help is professional liability insurance – this can be used to avoid significant financial losses, in case that certain problems arise related to the practice of the profession;
• Companies active in the field of production have at their disposal several types of policies, among which the insurance of withdrawal of products from the market stands out, which can be used in the event that one or more of the products made must be withdrawn due to various problems;
• The field of agriculture can take advantage of special insurances that can be used in case crops are destroyed due to unfavorable weather conditions or the presence of diseases and pests;
• The field of construction can be affected by the risk of accidents at the workplace, in this case, general civil liability insurance and construction work insurance are recommended;
• The health industry is exposed to problems, such as medical errors or malpractice, which can have serious consequences for patients due to very high compensations. Businesses in the field can be legally protected by malpractice insurance, which offers financial compensation in case of human errors.

3. Useful tips for choosing a field of activity and for the most suitable insurance + how many fields of activity can a PFA have?

According to the information present in the CAEN Nomenclature in art. 16 para. (1) “PFA can have in its object of activity no more than 5 classes of activities provided by the CAEN code”, while art. 24 para. (1) tells us that “individual enterprise can have in its object of activity at most 10 classes of activities provided by the CAEN code”.

The success or failure of an entrepreneurial initiative, whether PFA, SRL or SA, depends, among other things, on choosing the right field of activity and the recommended insurance policy. These decisions must be made in an informed way, based on a detailed analysis and by taking into account elements such as:

• The personal interests and skills of the entrepreneur must have an important weight in making the decision. A pleasant field, in which there are skills or experience, increases the chances of success and provides motivation in case of challenges;
• An element that should not be lost sight of is the market and competition analysis. The most suitable fields are those where the competition is little present or its offer is insufficient/of poor quality;
• Organizing a business requires an initial investment, which can be smaller or larger, depending on the chosen field. In order to establish the correct initial budget, all necessary costs will be included, such as those for equipment, work space and marketing investments;
• Identifying the risks specific to each business is important, because this gives the possibility of choosing suitable insurances. Among the recommended policies are goods insurance, civil and professional liability insurance and cyber insurance. All contribute to the stability of the business and to the elimination of financial and legal risks;

In conclusion, choosing the right field of activity and insurance policies is an essential step, which can directly influence the success of the business in the long term. Through the careful evaluation of all the elements characteristic of each field of activity, the most suitable direction can be decided which will offer chances of success and profitability to a business from the HoReCa, medical, construction or IT sectors of activity.