Location : Central EuropeArea: 357,104 Sq . Km

Capital City: BerlinInhabitants:83 .3 BillionAdministration: Democratic- Parliamentary SystemState system: 16Gross national income: Eur.3529.98 Billion

Language: GermanNational Currency :EuroPopulation Growth rate:0.44%

This is what I am !

Religions

History

Germany is a part of G-7,G-8,G-20 Highest state authority is federal

government Strict taxation laws Strict hiring and firing protocols Starting of business will take at least 5

months Welcomes foreign direct investment Free trade zones

POLITICAL

4th in terms of GDP 5th in terms of purchasing power World’s second largest trader both in terms

of imports and exports Managed to stay stable in the periods of

recession 40 fortune 500 companies are

headquartered in Germany

Economy

German economy –world’s 4th largest one Allows free market principles with some

government regulations Largest consumer market in European union World’s largest trade events-MEDICA,

Hannover Fair, Automechanika Attractive points-Volume of trade, number

of consumers, location

Market overview

Innovative high quality and stylish products Products of multimedia, healthcare, electronic

and computer components Price is not a determining factor Regional difference among consumers across

the country High-quality products, services at competitive

prices, and locally based after-sales support Deductions, allowances and write-offs help to

move effective tax rates

Market opportunities

GDP declined significantly Slow economic growth Increase in wages, flexibility of bargaining

power of employees Declining workforce Barriers for biotech agricultural products Complicated procedures of bureaucracy and its

cost Relatively high marginal tax rates and

complicated tax laws More protection to Local suppliers

Market challenges

Labour restrictions Fiscal austerity programmes Business starting and ending-a tedious process Higher power for trade unions Import and export control laws Environment friendly manufacturing units Joint ventures and strategic alliances is difficult Separate law for EU countries and Non-EU

countries

Legal

30 procedures

and 394 days

World class manufacturing facilities Quality enhancing process Well connected communication network Technically skilled workforce and training

institutes Best of the raw materials available Best of the automobile giants 2nd in terms of technology,15.6 % of

research in world Better media and advertisement

Technological

Workplace in Germany Work day-Fairly short ,Morning 7.00 or 8.00 to 3.00. 4:00 is often considered pushing the feasible limit Getting fired from work is tough. It should go through company council Established unions Quick decision makers Minimum 6 weeks of paid vacation

Investment areas Iron

Vehicles Electronics Food and beverages Coal Steel Textiles Shipbuilding Machine tools

German consumer behaviour

Power in the hands of a few managers Larger companies (AG & GmbH) have a Supervisory Board

(Aufsichtsrat) which appoints the Management Board (Vorstand)

Management board is the final decision-maker Individual's specific roles and responsibilities are tightly

defined and compartmentalized. Slow to change to new situations Methodical approach Chairman of a company has considerably less personal power

than in certain other countries

Business structures

Encourage foreign investment in Germany Gmbh (limited liability company) or an AG (joint stock

company) are treated no differently from German-owned companies

No special nationality requirements on directors or shareholders

Five free trade zones in Germany z established and operated under EU law: Bremerhaven, Cuxhaven, Deggendorf , Duisburg and Hamburg

Germany does not have a statutory minimum wage. However, binding minimum wages have been established in 16 sectors so far (e.g:, Construction, electrical trades, painting, mail, or waste management)

Political acts of violence against either foreign or domestic business enterprises are extremely rare

Investment climate

Complex safety standards Complicate access to the market Timely testing and certification Imported goods must be accompanied by a

customs declaration, which has to be submitted in writing, and an invoice in duplicate

Consumer-ready food products into Germany face many market access restrictions and very strict food laws

Administers the use of the “Green Dot,” a recycling symbol

Trade regulations

Technically capable in their respective areas Strong, clear leadership Responsibility is expected to be delegated

by the manager to the member of the team Manager-subordinate relationship as distant

and cold Subordinates tend to respect the technical

abilities of their superiors and this will impact on their willingness to implement instructions

Management style

Do not sit until invited and told where to sit. Meetings adhere to strict agendas, including starting and

ending times.  Treat the process with the formality that it deserves

Germans prefer to get down to business .They will be interested in your credentials

Make sure your printed material is available in both English and German

 Contracts are strictly followed  You must be patient and not appear ruffled by the strict

adherence to protocol. Germans are detail- oriented  Decision-making is held at the top of the company Final decisions are translated into rigorous, comprehensive

action steps that you can expect will be carried out to the letter Avoid confrontational behaviour or high- pressure tactics.

Business Negotiation

Appointments are mandatory and should be made 1 to 2 weeks in advance

Letters should be addressed to the top person in the functional area, including the person's name as well as their proper business title

If you write to schedule an appointment, the letter should be written in German

Punctuality is taken extremely seriously Maintain direct eye contact while speaking Men enter before women Germans signal their approval by rapping their knuckles on the

tabletop Eldest or highest ranking person enters the room first

Business Meeting Etiquette

Masters of planning Careful planning, in one's business and

personal life, provides a sense of security Work and personal lives are rigidly divided If you must remain after normal closing, it

indicates that you did not plan your day properly

Maintaining clear lines of demarcation between people, places, and things is the surest way to lead a structured and ordered life

Planning culture

Truth and directness before diplomacy Germans will give a factual rendition of their

own capabilities Time and a place for humour in Germany Presentations are expected to be supported

with a lot more specific detail

Communication style

Pre-planners Argue their view point thoroughly and

support it with well-researched data Designated specialist from each area Strong, debate is expected and encouraged

in order to promote the development of the 'right' answer

Expected to contribute to the debate when discussions touch their area of expertise

Meetings

 Greetings are formal A quick, firm handshake is the traditional greeting Titles are very important and denote respect. Use a

person's title and their surname until invited to use their first name. You should say Herr or Frau and the person's title and their surname

In general, wait for your host or hostess to introduce you to a group

When entering a room, shake hands with everyone individually

Meeting Etiquette

Business dress is understated, formal and conservative

Men should wear dark coloured, conservative business suits

Women should wear either business suits or conservative dresses

 Do not wear ostentatious jewellery or accessories.

Dress Etiquette

Do not need a personal relationship People often work with their office door

closed Expect a great deal of written

communication, both to back up decisions Germans are suspicious of hyperbole,

promises that sound too good to be true, or displays of emotion

They will be interested in your academic credentials and the amount of time your company has been in business

Relationships & Communications

Remain standing until invited to sit down. You may be shown to a particular seat

Do not begin eating until the hostess starts or someone says 'guten appetit‘

Do not rest your elbows on the table At a large dinner party, wait for the host to place

his/her napkin in lap before doing so yourself Send a handwritten thank you note the following

day to thank your hostess for her hospitality The host gives the first toast

Table manners

Client recommendations