Question

The European Union is home to more than 500 million (mostly well-heeled) consumers, making it one of the largest and most attractive markets worldwide. As firms contemplate selling goods in the EU, they conduct market research using secondary data. An excellent source of secondary data and site for learn- ing about the EU is http://europa.eu, the official website of the EU. Visit the various links at this site and develop a profile of consumers in the EU.

Answer 1

DENMARK:

Denmark or officially the Kingdom of Denmark is a Scandinavian country in Europe and is a Member of European Union since 1973. Danes(People of Denmark) enjoy a high standard of living and the country ranks highly in some metrics of national performance, including education, care, protection of civil liberties, democratic governance, prosperity and human development.

Consumer Profile: Denmark

Growing Sectors

The turnover on advertising and communication in Denmark increased to reach DKK4.4 billion today. This trend is expected to continue.

Consumer Behaviour

The Danish population has one of the highest income levels in the European Union. The Danish consumer, therefore, has some of the highest product expectations in Europe. While the Danish are early-adopters of hi-tech products, they are usually quite conservative in their purchases. As such, Danish consumers are more likely to purchase products from companies that have been established for a long time in the country and are hesitant to purchase from companies that may appear only interested in making a quick profit.

Consumer Profile and Purchasing Power

The average Danish consumer is relatively well-off. Denmark has a high GDP and low population. Like other Scandinavian countries, Denmark enjoys high connectivity with modern infrastructure and a highly-skilled labour force. And, although income tax is quite high, the Danish generally enjoy one of the best qualities of life.

Consumption Expenditure

Purchasing Power Parity	2012	2013	2014	2015	2016
Purchasing Power Parity (Local Currency Unit per USD)	7.74	7.73	7.67	7.63	7.68

Source: IMF – World Economic Outlook Database, 2015

Household Final Consumption Expenditure	2013	2014	2015
Household Final Consumption Expenditure (Million USD, Constant Price 2000)	154,951	155,800	158,705
Consumption Expenditure By Product Category as % of Total Expenditure 2011 Housing, water, electricity, gas and other fuels 29.0% Transport 12.2% Food and non-alcoholic beverages 11.4% Recreation and culture 10.9% Restaurants and hotels 5.2% Furnishings, household equipment and routine maintenance of the house 5.0% Clothing and footwear 4.6% Alcoholic beverages, tobacco and narcotics 3.5% Health 2.8% Communication 1.7% Education 0.8% Household Final Consumption Expenditure (Annual Growth, %)	0.3	0.5	1.9
Household Final Consumption Expenditure per Capita (USD, Constant Price 2000)	27,596	27,607	27,924
Household Final Consumption Expenditure (% of GDP)	47.7	47.2	47.2

Source: World Bank, 2015

Information Technology and Communication Equipment, per 100 Inhabitants	2012
Telephone Subscribers	126.5
Main Telephone Lines	43.5
Cellular mobile subscribers	126.5
Internet Users	93.0
PCs	54.9

Source: International Telecommunication Union, Latest available data