Germany economy is ranked third largest in the world after U. S and Japan. It is the best in Europe and accounts for more than 20 percent of EU's Gross Domestic Product. Being one of the most industrialized nations in the world, its market is highly favorable for both local and foreign trade and investments. Strong health labor relations, a good fiscal policy and increased FDI investments are the major contributors to the strong economic drive over the years. Germany's federal government has implemented major reforms and funding programs in order to facilitate a friendly business environment.
The German market is open to foreign investors who wish to trade in all its business and industrial sectors since no any particular sector is solely monopolized by the state. The federal government and legislation does not impose any restrictions upon foreign companies as long as the company follows the rules and regulations which have been set for all businesses. With a population of more than 80 million people, Germany is the largest country in the effects of technology on the accounting profession. It boasts a healthy working population of around 40 million people with more than 4 million entrepreneurs.
Germany is known to be a working nation which explains its high GDP of around EUR 2. 4 trillion according to 2007 economic statistics. Moreover, the country is located at the heart of the European continent and it has the highest number of neighbors more than any other country in the world. This gives its market a wide and easy access to all the EU countries which a great advantage of having the largest economic area in the world. In addition, its location allows it to enjoy the long established traditional and robust markets of Western Europe and also the burgeoning markets of Eastern and Central parts of Europe.
Germany is a multicultural and multilingual community which accommodates foreigners from all parts of the world. German is its official and the most dominantly spoken language. Other immigrant languages which are popular in the region include Russian, Turkish, Polish and Balkan languages. For any business to do well in Germany, it is advisable for the investor to learn how to speak German which is the most common language among both native and non-native speakers. The use of Euro currency which is shared by 15 EU member states has helped to remove currency exchange problems thus enhancing trade across trans-national borders.
In addition, Germany is known to be a source of both science and technological innovations which are aimed at environmentally friendly industrial productions. Extensive scientific research is carried out in its close to 400 universities and many more research institutes located all over the country to facilitate the production of quality goods and services in its industries. German schools and universities offer internationally recognized professional training to students who later transfer the relevant skills to the commercial and industrial sectors to provide high quality goods which are competitive in the global market.
It is thus clear that the German market is flexible, competitive, vibrant and open for both local and international investments. This essay provides more insight into the cultural and economic status of this market and how favorable it is to foreign investment. Introduction. The clothing and textile industry are among the oldest sectors in the German economy. This were also the first industries to internationalize their operations in the early 1960s (Bertham & Schamp, 2006).
Market changes which occurred in the 1960s adversely affected these two sectors in terms of increased costs of production and stiff competition from other price competitive producers in the world which led to collapse of many industries in the region. However, the situation of the clothing industry has since improved and many flexible investment opportunities are currently available in this sector. Moreover, many regional structures have been put in place to increase the industry's competitiveness thus encouraging more foreign investments. Cultural analysis. History.
Germany was first inhabited by the Celts who were later joined by many German tribes at the close of the 2nd century B. C. During the 4th and the 5th century A. D, the Roman Empire which was previously dominant was destroyed by German invasions in the region. The German tribes attained authority over many territories between 800 and 936 A. D and the German rulers took over the leadership of the Holy Roman Empire. In 1438, Albert of Hapsburg's was elected as the emperor of the Roman empire and he ruled till 1806 when the Empire's power declined completely (Fulbrook, 2001).
The country's first major unification was witnessed in 1871 amidst the Franco-Prussian war. In 1949, the end of world war II saw Germany divide along political lines into two different states, East and West Germany. In 1957, West Germany founded the European Community which is now known as the European Union. The two states were later reunited in 1990 following a defeat of the Soviet Union dominion over East Germany. Since reunification, Germany has become a key player in the EU and NATO (Lee, 2003).
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