A trade house with a French spirit

The Lambis.G.Constantinides Ltd trading house has been operating under its current structure since 1966, when Lambis.G.Constandinides, today’s CEO, took over the company of his father Yiorgos Constantinides and his uncle Mattheos Constantinides. He gave it new drive, dynamism and unprecedented growth into the very different and strong position it enjoys today.

The trading family roots of Lambis.G.Constantinides go back centuries. A business presence that harks backs to the 1850s and his great grandfather Mattheos Loukaides, who was a prominent tradesman in Nicosia. The next step forward was taken by the father and two uncles of Lambis.G.Constantinides, when they founded the partnership ‘Stavros.S.Loukaides and Co’.

But the big break was in 1968 when the family’s business activities become clearly separated and Lambis.G.Constantinides Ltd is established.

Landmarks

• 1850 Mattheos Loukaides, the great grandfather of Lambis Constantinides, goes into the fabrics trade. He was one of the biggest at the time.
• 1900 Yiorgos Constantinides along with his brother Mattheos and his brother in law Stavros Loukaides, forge the partnership ‘Stavros.S.Loukaides and Co’.
• 1908 Michail Papapetrou (the father of Maria, wife of Yiorgos Constantinides), a doctor by trade, forged in a collective initiative, the first Cooperative in Cyprus, at the village of Lefkonikon, now occupied by Turkish troops. He was elected the first president of the cooperative.

Pre and post WW2

-The ‘Stavros.S.Loukaides and Co’ partnership grows into the largest leather importer in Cyprus.

-Τhe company expands its trading activities, importing more products.

-These include ROYAL car tyres (1936) and the Studebaker American cars (1960).

Post WW2

-Following the creation of the first shoe factories in Cyprus, the company starts operating as a purchasing officer, particularly in the leather import business.

-Five family members become involved in the company: brothers Yiorgos and Mattheos, the son of Yiorgos Loukaides, Doros, and Yiorgos’ children Feidias and Lambis.

– The company begins importing products from French house PYREX under the trading name Solidex (1953).

– The company secures exclusive representation of SEB (1957).

– Zenith radio and television sets are imported from the United States (1960).

– The company imports and distributes Hotpoint products, a brand name of American industry General Electric.

– New products are added to the range, such as good quality foodstuffs, chocolates, biscuits and French wine. They were the first to import bottled mineral water right after WW2.

Some of the American factories that produced these imported products have unfortunately closed down since then. They were either integrated into other companies or switched their production to other sectors. ‘Stavros.S.Loukaides and Co’ also closed down.

The 60s onwards

-‘Stavros.S.Loukaides and Co’ is separated for the first time in 1966 into M&L Constantinides Ltd and in 1968 Lambis.G.Constantinides Ltd, a company that became the foundation stone of today’s corporate structure.

-The import of Solidex is replaced by the exclusive distribution of PYREX ovenproof glassware (1976).

-The 2nd generation joins the company; Lambis Constantinides’ daughter Maria-Christina and her husband Christodoulos Pierides. They hold degrees in finance and commerce.

Privately owned offices

Lambis.G.Constantinides Ltd started out of a store on central Makarios avenue in Nicosia, moved to Orpheos street and then Timocharous road in the Ayios Andreas area.

In 1998 the company built its own central offices and showrooms on Andreas Avraamides 7 in Strovolos, where it’s housed today.

Basic supplier

Beyond its own store, company products are available at supermarkets, home appliances stores and multi stores, through a distribution network.

Products-distributors

Lambis.G.Constantinides is the authorised representative and distributor of the following international products:

• TEFAL home and electrical appliances.
• Oven proof ware PYREX, CORNINGWARE and CORELLE.
• Belgian DEMEYRE home appliances.
• ST.MICHEL biscuits from France.
• High quality French wines and champagne.
• ESQUISE CREMA coffee products from France.
• A range of other products.

Lambis.G.Constantinides

He was born in Nicosia in 1935. Following his graduation from the Pancyprian Gymnasium, he studied Commerce at the American University of Beirut and then went on to study Economics at Handelshochschule University of Saint Gallen in German speaking Switzerland.

He then joined the family business founded by his parents and uncles and in 1968 made his own move, establishing Lambis.G.Constantinides Ltd. He remains the company’s CEO.

He is married to Elena Constantinidou and has two children-Maria Christina and Giorgos.

Integrity should be a pillar of trade

The house of Lambis.G.Constantinides Ltd has been operating since 1966 when Lambis.G.Constantinides took over from his father Giorgos Constantinides and his uncle Mattheos Constantinides. But the family’s business history goes back centuries to 1850 when Mattheos Loukaides went into fabrics trading. The next step was in 1900 when the first partnership was founded.
Mr.Constantinides, today’s CEO, spoke to us about history, present times and the future.

What’s it like heading out a family business with more than 150 years of history?

It is a weight on one’s shoulders and a huge responsibility towards the family and this long standing business tradition. We feel this tradition responsibility very heavily. So we always take well thought out steps forward. Trade does involve risks, it’s only natural, but we make sure we carefully consider such dangers every step of the way.

What are the landmarks of this long standing business history?

First of all, Matthaios Loukaides, my great grandfather from my mother’s side. He was one of the largest tradesmen of his time, in the 1850s. He was also one of the founders of the bank of Cyprus. His fabric business was essentially the first step of the family’s trade history. That was carried forward by my grandfather from my mother’s side, Michail Papapetrou from Lefkonikon. Though a doctor by trade, graduating from a medical school in Greece, he was one of the founders of the first cooperative in Cyprus, established in Lefkonikon.

And despite his young age, he was elected as first president of this first cooperative in Cyprus. This might not be directly connected with trade, but is yet another element of our long standing family tradition towards the country’s economic progress.

The next major step was taken by my parents Giorgos Constantinides and Maria Papapetrou, my uncle Mattheos Constantinides, from my father’s side and their brother in law Stavros.S.Loukaides. At the turn of the 20^th century, they established their first company under the name of their brother in law, ‘Stavros.S.Loukaides and Co’. The business quickly grew into one of the largest leather importing company in Cyprus.

I do recall an incident that confirms the company’s dominance on the Cyprus leather market as well as the professional and personal quality of its people.

There was a ceiling on leather imports during WW2 and leather imports were limited, so companies had to file reports to the British colonial government on their turnover, so a decision could be made on the maximum percentage of leather that each company would be allowed to import. When the British established that ‘Stavros.S.Loukaides and Co’ had an 80% share of leather imports and sales in Cyprus, they asked our family to take a smaller amount in order for other merchants to benefit too, as it was a matter of survival. They wanted to give everyone the chance to survive during tough times.

And then what happened?

The company kept growing, with Stavros Loukaides’ son, Doros, also joining the business. Stavros had passed away in 1933. My brother Feidias then got involved after completing his studies and then I followed. I graduated with a degree in Commerce from the American University in Beirut and followed that up with finance studies in Switzerland, following the persistence of Mr.Shukuroglu, the consul of Switzerland in Cyprus. I studied at Handelschochschule university of Saint Gallen in German speaking Switzerland.

Any other landmarks?

‘Stavros.S.Loukaides and Co’ had significantly developed its activities, with my uncle Mattheos Constantinides adapting to the internal differentiations of the leather market and diversified by importing other products.

The first shoe factories in Cyprus changed the leather market, as cobblers now did all the processing themselves and the sector gradually became industrialised. Mind you we still remained in the leather business, but changed our operational methods. We no longer imported leather and distributed directly to the market but began to take orders, as commission agents. The house become a sort of commercial go between, executing orders from shoe making factories.

Meanwhile, five family members were already being involved in the business; my uncle Matthaios, my cousin Doros, my brother and myself. So we had to expand our range of products and activities as it didn’t take many people to take leather orders from the three to four shoe making factories operating in Cyprus. So, among other initiatives, we started importing in 1936, the well known car tyres Royal, one of the most successful at the time. We then added American cars Studebaker which were also hugely popular and also imported home appliances and many other kinds of products, mainly from France and the United States.

Which home appliances did you introduce?

We imported Hotpoint and that’s where my own career and professional intervention begins in the company’s growth.  And note that it was virgin territory back then. But we had good knowledge of many American companies and started importing their good quality products. The independence of Cyprus in 1960 facilitated the process, allowing for the unhindered import of products beyond the UK and its colonies. That’s when we utilised the opportunity and secured the Hotpoint representation. Hotpoint was a General Electric brand. Beyond that we introduced the Zenith radio and TV sets from the US and SEB products from France, the country that invented the pressure cooker. We also expanded to chemicals for paint shops and so on.

We secured the SEB representation in 1957, which coincided with my return to Cyprus from studying abroad. PYREX was added to our range, back then known as Solidex. The French did not have the right to send PYREX products directly to Cyprus at that time. They came through the UK, which had secured the right to import them to the island. PYREX were then made in England and France under US license, as the original maker was American firm Corning.

PYREX and the Greek language

PYREX were invented by American scientist Thomas Edison, right?

Yes, indeed. The scientific discovery which led to PYREX was made by Thomas Edison in 1913, when he was approached by US railroad companies and asked him to invent a heat resistant glass. Τhe lamps they used worked with acetylene and their glass broke due to high temperatures. So Edison invented a resistant glass which he named PYREX, out of two words; the Greek Pyr, which means fire and the Latin Rex, meaning king. So PYREX means ‘King of Fire’.

We began importing PYREX products in 1953, then known as Solidex. We owe that success to my uncle Mattheos who spoke French. We’ve now been cooperating for seven decades.

How did SEB come about?

Well, that’s a very interesting story. In 1957, during the EOKA struggle, Frederic Lescure, one of the two French inventors of the pressure cooker, visited Cyprus as part of a working tour in the region to promote SEB steam cooker. He was arrested by the British when he disembarked at the port, under suspicion that the steam cooker was some kind of new bomb meant to arm the EOKA fighters. The British insisted and Lescure was forced to actually cook something to convince them, as the French embassy intervened to settle the matter. When Lescure was finally released, he asked officials at the French embassy for possible contacts, such as a French friendly, French speaking company. The Embassy was very quick to suggest our company and we’ve been cooperating ever since. It’s been exactly 65 years since SEB was introduced to Cyprus. Quite a special time for me too, as it coincided with the start of my own career at the company.

Our range grew in the following decades, with quality foodstuffs, chocolates, biscuits, French wines and mineral water. We were the first importers of bottled mineral water post WW2.

Separation

Was there a separation of activities and companies?

We separated from ‘Stavros.S.Loukaides and Co’ when we begun growing…

When did this happen?

1966, when M&L Constantinides Ltd was created; My uncle Mattheos also had shares in the company and we agreed that we wanted to expand. My father was more in sales, at the store and gradually withdrew due to age. I was young, had the stamina to take things on; it was only natural to forge ahead with new openings. It was decided that my uncle Mattheos would become more involved with our existing products, already established on the market. My brother Feidias and I took on the fast paced expansion challenge. Feidias was in charge of the large home appliances and the drink sections. In 1968, there was more separation. My uncle established Mattheos Constantinides Ltd and I founded Lambis.G.Constantinides Ltd for the rest of the products, so we went our separate ways.

Any landmarks following the separation, that might have actually determined its growth?

One of them was when we stopped importing Solidex and moved to the authorised distribution of PYREX in 1976. The landmark about this was the corporate decision by American firm Corning that it was commercially wrong to have under license companies competing with each other, one in France and one in Britain. They achieved this by acquiring both companies. Following this development, Solidex was withdrawn and PYREX stayed on the market both in Europe and the US.

It was also agreed that the Solidex and Pyrex sales would be compared in each country. When it came to Cyprus, it was established that our company had much higher sales so they gave us the exclusive representation of Pyrex.

SEB & TEFAL

When were SEB and TEFAL added to your line?

Following its huge global success, SEB began expanding. Its first move was to buy TEFAL for their anti-stick cookware, in their early stages back in 1959. They also bought Calor, the inventor of the first electric iron in 1917 and the first steam iron in 1953. That’s how a giant was forged; SEB-TEFAL-Calor. At some point the company decided to reduce three brands into one; TEFAL, which we continued to represent.

Any advice from your father and uncle?

Their advice was not to meddle in other people’s business. In other words ‘don’t do to others, what you don’t want them to do to you’.

Be hard working and remain honest in all our transactions. Someone who tries to grab representations from others does not conduct trade with integrity. It’s like taking away someone else’s living. The ability in trade is to take an unknown company and build it up methodically and honourably, creating a successful business.

What would you say to your own children?

The same. Be hard working, progressive and honest in all their transactions and relationships.

French State decorations

The Constantinides family was honoured four times by the state of France.

• Μattheos Constantinides was decorated in 1960 with the Knight of the Legion d’Honneur by the De Gaul government for his contribution in the reintroduction of French in Cyprus secondary schools. Mattheos Constantinides served as treasurer of the Nicosia Schools Board and then succeeded Dervis as President of the Nicosia School Board.
• Lambis.G.Constantinides was decorated three times by the state of France. Two of them concerned his contribution in promoting bilateral trade between Cyprus and France and French products on the Cyprus market:

• He was decorated in 1993 by the Francois Mitterrand government with the Knight of the Legion d’Honneur for promoting French products in Cyprus.
• In 1999 he was decorated by the Jacques Chirac government with the Knight of the Legion d’Honneur.
• In 2007, Constantinides was decorated by the Nicholas Sarkozy government with the Palmes Academiques for his contribution to Letters.

My principle is ‘Always fly high’

Mr.Constantinides, even trade used to be romantic in the old days. Today that romanticism is replaced by cold transactions…

You’re right. I do not like working with people that don’t feel even the slightest emotional connection, as one person appreciating the other. I pick and choose my associates. Let’s say they need to have certain credentials, principles. I am completely against that cold trade relationship which only involves profit and interest. And unfortunately commerce has become exactly that. I want my client to be an associate, a friend, not just an object that I will exploit as much as possible.

We’re going through tough times. Before the country had a chance to recover from the 2013 financial crisis, covid was upon us. How do you see things post-pandemic?

We’ll make an effort to return to previous economic levels. Stability in operations and action will hopefully take us forward. I will make full use of the past and all that experience I have accumulated over the years. I am 86 now, so that rich past shows me the way to the future. I only look back to compare notes, consider things and put all that experience to good use. My principles are ‘Always Fly High’ and ‘One should always strive forward’.