Business in Germany
Europe is big. But Germany is at the center of Europe. Germany is the powerhouse of Europe. It has the most dynamic and diverse economy. Investing in Germany brings many advantages.
Germany is, and has long been, a pioneering country with great international influence and great economic power. The country has a large social market economy that is filled with a highly skilled labour force, a large capital stock and high levels of innovation. In addition, Germany is known to have very low levels of corruption ensuring citizens with high quality of life. As a global leader, Germany not only is the world’s third largest exporter of goods, but also has the largest national economy in Europe. Germany’s ever-growing power and growth in the economy has impressively resulted it to have the world’s fourth largest economy by nominal GDP.
The reasons why you should invest in Germany - ACE
Within Europe, Germany is the best location to invest in as stated in several studies such as the World Investment Prospect Survey. In the whole world, Germany is under the top 10 best countries doing business with. Especially investments deriving from Asia are fast growing.
One of the main benefits of Germany for foreign investors is the economic stability, the size of the German market and the embedment of the country in the world economy, enabling businesses to benefit from the continuous knowledge, manpower and product exchange. Additionally, Germany is a global player with strong and steadily increasing exports. Especially the chemical industries, automotive sector and the machine and plant engineering are highly demanded sectors.
Germany has a strong infrastructure showing an effective road, rail and communication network making it easy to reach the European capital cities by sea, land or air. An additional advantage of the location is the strong relation among member countries of the European Union. A lot of the countries implemented the Euro as their currency facilitating bilateral trade by mitigating the risk of foreign exchange losses.
Germany follows a social market economy. In that construct, the government develops a legal framework for the economy which implies the tasks of securing personal freedom. Furthermore, the government ensures an effective competition regime to avoid restrictive movements. The social market economy also implies the strong social safety network monitored by the government to protect the respective parties. Part of the market economy is the possibility to set individual prices and discuss working conditions without governmental interference. Besides of the legal framework, Germany has one of the lowest corruption perception indexes in Europe and high protection by law of Intellectual Property ensuring a safe environment for foreign business.
Germany has the largest pool of highly skilled and trained workforces in Europe due to the excellent education system. Besides of universities there is the duale vocation education system offering a state-approved training. The respective trainees learn the theoretical foundation in vocational schools and internalize their knowledge through working in companies. This offers a larger range of highly skilled labor to the German industry. Moreover, Germany is one of the strongest European countries in the manufacturing sector. Thus, foreign companies benefit from the excellent business environment and high production being profitable to set up production sites.
Economic Powerhouse in the EU
Germany is the largest and most powerful market in Europe and accounts for most of the European Union’s economic growth. The economy is highly developed and diversified. Especially the services sector and the manufacturing industries are the main drivers in Germany. The country is one of the most attractive business locations in the world. Germany is situated in the center of Europe, surrounded by other members of the European Union making it easy to reach every capital city within short time.
Bundeszentrale für politische Bildung