Germany is the industrial powerhouse and one of the largest exporter in Europe. It is the country whose economy alone has stopped the European countries to fall in recession. It is the only nation that has enough funds to save Europe.
- The Important Role of Industry
German Industry plays an important role to make it’s economy strong. In gross value added, the share of industry is 22.9 percent. Therefore, Germany is the highest country in the G7 countries. Vehicle construction, engineering industry, electrical industry, and chemical industry are the strongest sectors in Germany.
Germany is the 3rd largest exporting country Along with China and the USA. According to the data recorded goods worth 1,278.9 billion Euros were exported by Germany. Shipping from Germany is quite easy and affordable. Almost 40% was the export quota from over 50% in industry.
Among all the G7 countries, Germany is the most open economy. This is concluded with the importance of foreign trade of the gross domestic product. In relation to the gross domestic product, 84.4 percent is foreign trade quota which you can say is the sum of imports and exports. If we start comparing it with the USA, then their quota is 26.7 percent.
- High Performing Medium Scale Industries
The German economy is built with the high performance of medium-sized enterprises. Medium-scale enterprises mean the company with an annual turnover of fewer than 50 million euros and employees less than 500. This economic sector holds 99.6 percent of German companies. Over 1000 companies in this sector are called hidden conquerors. It means they are publically less popular in international markets.
International trade fairs are organized in Germany. It is the world’s primary location for trade fairs. Over two-thirds of the major international industrial events take place in Germany. Every year around 10 million visitors attend about 150 global trade fairs and exhibitions.
Germany’s most important and strong economic centers are metropolitan areas of Stuttgart (vehicle construction), Frankfurt is Main (finance), Munich (high tech), Rhine-Neckar (chemicals, IT) and Hamburg (port, aircraft construction, media). The strong startup regions are Berlin/Brandenburg.
Germany is on its way to achieve full employment targets. In 2018, people who were unemployed were 2.2 million. Germany’s largest employers are Robert Bosch (402000), Deutsche Post (519,000), Siemens (372,000), Schwarz-Gruppe (retail, 400,000) and Volkswagen is the one to generate maximum employment opportunities. Around 642,000 employees worldwide.
Labor reforms are another factor that helps the German economy to get stronger. To make Germany a strong economy, employment protection legislation and a degree of trust took an initiative to build a close relationship with labor unions so that they can push them for moderation in wage inflation. These reforms lead to the formation of a stable and flexible labor market.
- Relationship With Education
The German education system is the major reason behind the strength of the German economy. Mr. Woergoetter calls a societal preference in which they allow children to spend time with their families that’s why they finish school before lunchtime.
With all of these important factors, one another factor that can be included is German shipping companies like myGermany.com. This company delivers products to your doorstep worldwide from Germany. All that you need to do is order your product at the German shipping address and they will provide your package to you at affordable prices.