10 Reasons why companies invest in Germany
Germany is one of the world's leading industrial nations. It offers a large market, a central location in Europe and a high level of innovation. Do you need more reasons to invest in Germany?
1. Large Market
With 82 million inhabitants, Germany is the European Union's most
populous country and therefore also the largest market within the EU. With a
gross domestic product of more than 2.2 trillion Euro, Germany is the largest
economy in Europe and the third strongest economy in the world.
2. Central Location
Germany's central location in Europe make it a hub for goods and services.
Germany is especially benefiting from EU enlargement. As a result, it is the
only country among the seven most important industrialized nations to increase
its share of world trade since 1995.
3. Open Market
Germany is an open market and warmly welcomes foreign investors. That is
demonstrated by the 22,000 foreign enterprises that have established businesses
in Germany and now employ more than 2.7 million people. The German market is
open to entrepreneurial investment in practically all areas. There are no
longer any state-controlled industries. Germany is receiving increasing
attention from private equity firms and hedge funds due to its highly
attractive companies legislaton and favourable investment conditions.
4. International Location
More than 7 million foreigners live in Germany. Several metropolitan
regions have prominent foreign communities with their own schools, churches,
shops and restaurants. Approximately 70% of German blue- and white-collar
workers can speak more than one language.
5. Qualified Personnel
Germany offers an exceptionally well-qualified, motivated and
conscientious workforce. German employees' high standard of knowledge and
skills is internationally recognized. The demand for professionals is met by
383 institutions of higher education. Another pillar of the German training
system is the "dual system", which combines workplace training and
school instruction and produces an acknowledged high standard of training
closely oriented towards the needs of industry.
6. High Level of Innovation
Statistically, Germany has 277 international patents per one million
inhabitants - more than anywhere else in the world. The close cooperation
between industry and world-famous research
institutions like the Max Planck and Fraunhofer Institutes, swiftly
transforms new ideas into products for the world market.
7. Highly Developed Infrastructure
Germany has a closely knit network of roads, railways and international
airports. This guarantees swift connections. The airport in Frankfurt is an
international hub. The Port of Hamburg is one of
largest container transshipment centers in Europe. Communications
infrastructure is exceptionally well-developed throughout the country.
8. Legal Security
Germany is a modern constitutional state with transparent and reasonable
laws. The advantages are internationally recognized. The German legal system
has served as a model for legal systems in many other countries. International
studies demonstrate that German legal security is highly regarded by investors.
Among all countries, Germany ranks fourth in terms of legal security.
9. Strong small and medium sized companies
The German economy is characterized by privately owned small and
medium-sized firms, the Mittelstand. 85% of all businesses are small or
medium-sized. This makes German industry very flexible, multifaceted and
competitive. Many of these highly specialized firms are world market leaders in
their field, so-called "hidden champions".
10. World Famous Trademark
Products with the "Made in Germany" seal stand for the highest
quality worldwide. This has played no small part in maintaining Germany's
position as world champion exporter for many years. The automobile, mechanical
engineering, electrical engineering and chemical sectors are particularly
strong. Industries of the future such as environmentally friendly energy
production and nanotechnology, in which the number of patent applications is
doubling every two years, are steadily gaining in importance. Foreign investors
can profit from the "Made in Germany" seal of quality.
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