Germany is the largest economy in Europe and the fifth largest economy on the globe. This alone makes Germany an attractive destination when it comes to starting up a business. Three times the size of Pennsylvania, it is the part of the European Union which makes it easier for businesses to easily transport goods across borders.
Most of its industrial activities are concentrated in Cologne, Ruhr, Frankfurt, Wiesbaden, Dusseldorf, and Berlin. Its primary export businesses are related to motor vehicles, chemicals, computers, machinery and equipment, pharmaceuticals, and optical products.
Let’s check out more reasons why Germany makes an attractive business destination for entrepreneurs and investors around the world.
Desired Talent and Skilled Workforce
The best part about doing business in Germany is that people are highly educated here as the median population enjoys 17 years of schooling. Besides academic knowledge, the workforce here is also lauded for excellent manufacturing skills because more than 24% of the population is involved in the industry. However, much of its workforce is clustered in a few key industries, such as automotive, med-tech, and pharma. The rest of the workforce is outspread across energy, consumer goods, technology, communications, and food and beverage.
Ease of Import and Export
Germany is the third-largest global exporter and importer globally. It exported goods and services worth $1448.17 billion in 2017. Moreover, when most parts of the world are struggling hard to recover from the drastic impact of COVID-19 pandemic, exports in Germany is quickly surging up after a significant drop and forecasted to reach or exceed the post-pandemic level sooner.
Most of the exports goods include automobiles and parts, pharmaceuticals, machinery, chemicals, metals, transportation equipment, textiles, food, rubber, and plastic. On the other hand, Germany also imports chemicals, oil and gas, food, agriculture products, machinery, computers, and electrical products.
Usually, businesses in Germany trade with the Netherlands, China, France, Belgium, Italy, Poland, and the US. Thus, Germany opens up a vast number of avenues for entrepreneurs who want to set up a company in Germany.
83 Million Potential Buyers
Germany is the biggest and most lucrative market in the European Union. With nearly 83 million of the world’s wealthiest consumers, Germany is an attractive, cost-efficient, and the most important market for foreign businesses. While many consumers are price-sensitive, Germany is blessed with many wealthy consumers who focus on value-for-money concepts. They are willing to give a higher price in exchange for premium products and services. Therefore, setting up a business in Germany means your brand will get wider exposure to 83 million potential wealthy buyers.
Technically Advanced Infrastructure
Germany is equipped with a robust and advanced telephone infrastructure that employs fiber optic technology. More than half of the population has landline phones there and the number of mobile lines exceeds the number of inhabitants. About 90% of the population has access to the Internet. Centrally positioned in Europe, Germany is considered the transport hub as its road network is the densest in Europe and it also has more than 300 airports.
CompyCo Can Help You Set up a Company in Germany
If the process of setting up a company in Germany seems daunting and complicated to you, or you have little knowledge about doing business in Germany, just relax because CompyCo is here to help you at every single step. We help you right from registration to visa processing and getting approvals.
Whether you need help with the selection of the best city in Germany based on your business activity or want to understand the business rules and regulations required to be followed there, our experts will consult you and eliminate your doubts and answer your queries. Get in touch with us whenever you are ready to do business in Germany.