Question

In: Economics

1. What are the main macroeconomic and managerial factors that make the German market attractive to...

1. What are the main macroeconomic and managerial factors that make the German market attractive to private investors? Please use theoretical concepts, key indicators

Solutions

Expert Solution

Germany is Europe's economic engine.The macroeconomic and managerial factors that make German market attractive to private investors are explained below.

  • Investors profit from the economic performance of the world's fourth largest economy.
  • Germany is the world's number three exporter at six years of top position. With EUR billion FDI, they provided to be an investment magnet for foreign investors.
  • They have high productivity rates in the world and they steadily decreasing labor costs which are the decisive factors for their competitiveness. They have Europe's most cost effective production locations.
  • They have a good wrokforce. They provided and nearly 81 percent of population have been trained to university entrance level.
  • They have good power of R&D which helps to make Germany the world's leader in innovation.
  • They have a good logistics market with sophisticated energy and communications infrastructure. They have first Class transportation networks which ensure on time delivery.
  • They provides attractive incentives to all investors. A comprehensive range of programs support the spectrum of business activities to all stages of the investment process.
  • They have reduced its corporate tax levels and reforming company taxation is helping peoples to invest and secure new business.

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