Božidar Ledinko (Galko): In the Era of Artificial Intelligence and Robots, Our Asset is Handicraft

He was born in the midst of war, in 1993, in Sveti Petar, a small place near Ludbreg. Few gave him any prospects for success. Just as then, at the beginning, so too in the global crises that have hit him in the meantime. However, the diligent hands of workers, his designers, tailors, and seamstresses have enabled him to celebrate this year as one of the few true Croatian fashion brands its jubilee, thirtieth birthday. It is, in a way, a romantic story about the company Galko, the leading domestic producer of leather bags and accessories.

All those who say that a successful business and emotions do not go together, that they cannot fit into the same story, are successfully disproved by Galko’s example. The founder and director of the company, Božidar Ledinko, is an entrepreneur as if from some manual. His perseverance on the path to success can serve as an example for many.

– My father was a shoemaker, and so am I. I started working in a factory very young, in a large OUR Peko, and in the 90s, I decided to start my own business with my brother. People from Zagreb asked me what was wrong with me because they were starting to close their businesses, while I was just starting mine. After a few years, I went independent. The story of Galko began in ten square meters, then moved to a twenty-square-meter garage. Then I moved to Mali Bukovec, where the company is today, and the story of expansion began. First a hundred square meters, then two hundred, then six hundred… and now, about seventy of our workers work in a facility of 1600 square meters. I have always gone step by step, cautiously and with a plan. I probably have never hired two people on the same day in my life – recalls Ledinko, explaining his business logic.

Expansion of the Product Range

He is a man who, when speaking about his company, and especially about the workers in it, cannot hide an almost paternal tone. His calmness gives the impression that every detail, even the smallest one, is taken care of in Galko. And how else to survive if one knows how much collapse the Croatian fashion industry has experienced; how many old and strong brands have been covered by the dust of oblivion. Surviving in a world from which textile or leather product manufacturing has long ’emigrated’ to the Far East, to countries with cheap labor, seems like an art. How did Galko succeed?

– When it comes to our recognizable products, leather bags, belts, and wallets, the Galko brand is known for high quality, handicraft, excellent design, and affordable prices. Bags, for example, range from 80 to 300 euros, and for that money, you really get a top-notch product. Customers have long recognized this and know how to appreciate it. Every person, every customer is important to us, and we treat them fairly. Therefore, quality must always be top-notch – he says.

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Galko d.o.o. proizvodnja kožne galanterije

foto Ratko Mavar

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In addition to Croatia, Galko is highly valued in neighboring Bosnia and Herzegovina and North Macedonia, but also achieves good results in the markets of Slovenia and Serbia. In 2023, he expects revenue exceeding two million euros. In sales ratios, half of that amount relates to fashion products, while the other part is reserved for specialized products for the military, police, civil protection, customs, and postal services…

– We also produce postal bags, as well as bags for motorcycles and wallets, all of which must be of the highest quality and very durable. Since 2013, we have also started working on equipment for the police, and this business further expanded in 2016. This also involves special equipment that is very demanding because it must meet the highest standards and a number of special criteria – explains Galko’s owner.

Domestic Hands, Foreign Materials

Products under the Galko brand are sold in Croatia at various locations: in his factory store as part of wholesale in Zagreb, at the intersection of Vukovarska and Heinzlova, where the company also has a showroom, then in the company’s store in Sisak, in the online store, and in 130 stores of Galko’s partners such as Tekstilpromet, Narodne novine, Alpine, Modiana, Name, Kopitarne, Srneca, Borova, and Rodee. All raw materials for his products are imported – leather from Italy, and others from the USA and other countries. There is only one condition: everything must be of top quality.

And what exactly does it mean today what Ledinko likes to emphasize – handicraft? Is it possible that in today’s age of technological wonders and machines of all kinds that replace human labor, handicraft still truly exists?

– Yes, in this regard, Galko is special. Of course, we use a number of machines, but on every production line, our workers really work by hand. This ultimately makes a difference in quality. Handcrafted products are special. Every participant in the production process, from our designers through modelers to tailors and seamstresses through whose hands every Galko product passes, leaves a mark on each product. On our products, along with nature, many valuable hands have left their mark. Few do not appreciate this – he emphasizes.

The First Thirty Years

When he speaks of ‘Galko’s first thirty years’, Ledinko recalls the difficult days that are behind him and which he survived in business with great effort. The global economic crisis, which lasted in Croatia from 2008 until actually 2015, brought a number of changes to his business.

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Galko d.o.o. Galko d.o.o. proizvodi od kože, vojna oprema

foto Ratko Mavar

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– Until 2007, almost 70 percent of our production related to business accessories; bags, suitcases, and similar items. Until then, we had been growing at an average of thirty percent per year, and then suddenly, as if someone had hit us with a hammer, all of that disappeared in an instant. We had big and long-term plans, everything was based on constant growth. Overnight, growth was replaced by a decline of 35 percent. Those were hard days for us, but also for the entire industry. However, we managed to reorganize, to organize – and here we are… We survived and learned a lot. That is why today we no longer make ten-year plans, maybe only three-year ones. We are stable and cautious, we do not rush, and we carefully weigh all our next business steps – explains Ledinko, who is also a recipient of the ‘Golden Kuna’ award and the MINGOR award for the most successful medium-sized entrepreneur.

It is probably precisely on this basis that his thinking is founded that in the future, more attention should definitely be paid to the specialized program for the military and police because these are stable projects.

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