Establishing Business in Germany, Research Paper Example

Executive Summary

International business operations often present different types of situations that practically require organizations to readjust their systems of existence in the market. The truth is, when an organization aims to expand towards a new market, the risks are high. Nevertheless, most business owners, operators and supervisors see through the benefits of the said adjustments therefore aiming to create a definite turn on how modern options of business operations and management could be applied to embrace the growth and expansion that the modern world provides.

In this presentation, the focus of the discussion would be on the manner by which the German market could be targeted as the point of extension of a particular business organization. Relatively, this consideration requires in depth attention on the overall being and structure of the German market and how well an organization could penetrate the system through the application of effective business strategies. With the use of evidence-based data, the possibility of expanding to Germany shall be scaled through in this discussion, thus pointing out how good managerial skills and strategic business developments could be embraced to improve the condition of business growth that the organizations aim to embrace.

The Pros and Cons of Operating in the International Market

Introduction

In considering the option of operating outside the local market, all business entities tend to become more concerned on how they are going to be able to penetrate the new market. The assumption of such condition calls for a distinct insistence on how issues of asset management to the point of marketing the products to the public fall into place. What does the new market hold for the organization? What risks should be considered? What particular adjustments should be done on the culture of the people working in both the local branch and the one that is to be established abroad?

Organizations, large or small scaled, are all dedicated towards mandating a better course of distinction on how businesses ought to give attention to the manners of changes and transformations that the whole entity is expected to go through. This is what good business management is about. In the case that is to be settled in this documentation, the focal point would be on developing distinct operations that would help organizations become more capable of handling conditions of development in the field of international trade and operations relating to penetrating the German market. As mentioned, there are risks to take and issues to mandate; good business managers are able to realize this fact and work around such challenges as mere opportunities of growth and expansion which further strengthens the capacity of the organization to gain profit from the new market they aim to influence.

The German Field for Business Development

Germany is dubbed to be one of the countries in the greater regions of Europe that is able to give distinct insistence on how modern living does go in par with the massive developments in business as embraced by modern business operators around the globe. In clearer and more concise terms, it could be said that the German market does have a distinct sense of marketability especially for upcoming organizations aiming to expand outside their local base operations. Having a strong and growing economy, Germany’s current status in the business industry remains feasible especially for those aiming to grow their operations outside their own country; making it the perfect destination for organizations aiming to embrace modern options of development and expansion accordingly.

One of the more important things that need to be given attention to is the relationship of Germany with other nations that are considered to be among the top performers in the market as well. Among the said nations include USA and Japan. These two huge international names in the field of international trade and business operations create a distinct impact on how any particular business entity could help in a definite turn on the field of international connections. This is the reason why between the years 1994 and 2003, before the emergence of the global financial breakdown, direct investors were attracted to establish connections in Germany, and those who did found it beneficial to stick with the German market even through the unbalanced condition of situations that governed the country during the emergence of the global financial breakdown that started in 1997 stretching out to the mid parts of 2007.

English is also one of the languages clearly spoken in Germany making communication easier to manage especially for new international entrants in the local market of the country. This means that settling within the region with a business-defined thinking in mind shall allow for the emergence of good international connection to be established with the thinking process that the world itself imposes especially in empowering emerging businesses to grow even further.  However, although it is presented herein that there are several positive points to the idea of developing business branches in Germany, there are also some issues that need to be given attention to so as to weigh down the risks that the business might get involved with along the way.

Issues to Consider

This section shall provide vital information that needs to be given attention to by any particular business owner as he tries to expand his operations in Germany. These issues hold strong with regards the possible risks that might need to be strictly managed once the entity enters to exist in the nation thus aiming to make a distinct connection n how the organization would be able to relate to the market locally and internationally at the same time.

The Economy

First to note in such adjustment is the emergence of the need to know more about the structure of the country’s economy. The two graphed data sheets shall present a summary of the current standing of Germany’s economy especially in relation to how it handles the emergence of extensive implications of economic growth and development: based on this image, the presentation of facts with regards Germany’s current economic status holds strong on how the total GDP could be accounted for the total government and household spending that he country engages in. The inventories, which account for materials kept within storage for future utilization aims to provide a definite picture that correlatively imposes on how future investments are protected by the government for the sake of giving high value to the position that their investors are expected to take into account as partnership with the nation’s biggest business names are established. The net trade also accounts to a high 2% increase based on how the country is able to protect its options of development especially in relation to how much the nation aims to embrace a more distinct option of inviting more investors into their economic systems.

Meanwhile, in this graphical presentation, the comparison between Germany’s performance with that of its other national-counterparts in the international market could be distinctively noticed to have a determinable position that allows it to engage in competitive international trading culture.

Going head-to-head against the international giants such as Britain, Japan, USA and Canada, the economic concentration that Germany has towards specific industries they are known for and are good at makes the nation a definite epitome of national success; one that investors would love to know and engage with.

Germany is currently engaging in industries most likely related to modern technology and advancements. Relatively, these industries include mechanical engineering, metal industry, chemical industry, electrical engineering industry, car industry, medical engineering, recycling technology, logistics, IT, and consulting services [most likely related to improved technology]. These industries are chosen by the nation to be among their top performing sources of economic dependability especially that these industries have a distinct sense of investing among the people, the human force that further improves the concept of development that the country hopes to embrace accordingly.

The Culture

It has been a common notion that the German seal for quality is a commonly noted presentation of real high quality product created in the country. The high-end training that is received by the people receive from training institutions in the country serve to be among the highest level of dependability, especially in relation to how final products are given high regard as presentation of such excellence. In relation to this mark, the culture of excellence remains strongly connected to the being of the new organizations that are strongly determined to establish connections with Germany.

The culture of professionalism in Germany became a directive that helps individuals become more assistive on the manner by which they handle the expectations that are placed upon their shoulders. It could be realized that when it comes to excellence, the workforce in Germany (which consists of at least 45% immigrants from other nations around the globe) are noted for their established culture dependent on the desire to become excellent in anything they do.

The Business Market

Engaging in business operations in Germany accounts for the willingness of the organizations to embrace two particular types of business entities in the nation which includes two types of limited liability forms of business distinction. Relatively, the limited liability type of business engagement entitles modern organizations to engage in a much intensive option of embracing the concept of improvement under the determinable course of presenting limited risks that could protect the overall values aimed to be kept at bay by foreign investors and local workers and industries all at the same time.

Other forms of organizational types that could be established in the country include incorporation which takes a much larger form of operation and distinctively a much higher rate of risk that distinctively insists on how Civil Law Notary legalities apply to the operation of the said forms of business development. Commercial partnerships and branches are also considered as a feasible form of business engagement as organizations are established in the country. The presentation of these types of business operations provide a definite pattern of protection that is given to the values of concern for business owners [both the international investors and the local operators in the country] as they desire to benefit well from the market’s performance accordingly.

Implicative Learning

Legal functions and considerations are very important aspects of business operation. Relatively, it could be realized that Germany gives high regard to the willingness of the organizations to engage in legal considerations that would directly protect the financial and other immaterial assets of the business as it engages in international operations that are basically understood as the source of international strength that the business needs to basically function along with.

Along with the legal matters, the German market gives high intentional attention towards the seriousness of the new investors as the entrants to the local market. The partnership that investors are supposed to form with the people living in the country and the industries existing within its economy are empowered to give high attention towards the local development of people and businesses in the nation. This form of consideration entails to develop a better sense of improvement especially in consideration with the assumption of advancement that the world is ready to provide for the organizations aiming to engage in extensive trade and commercial growth and expansion.

More than the economic status that the country is embracing currently, it is also essential to take note of the overall culture that the nation recognizes especially in relation to the option of presenting excellence as the basic source of competence that local organizations and industries are strongly dependent upon. What makes the value for excellence extensively important is the fact that it could become the basic foundation of business operation and product manufacturing in the country. When it comes to the investment and relationship that organizations form with other business entities already established in the country, it is expected that excellence becomes a definite source of competence that all related organizations could best be noted for as their function in the international market would definitely create a distinct relation to how the “made-in-Germany” as a form of brand reputation is established accordingly.

Growth is always a good option for development, especially for organizations aiming to expand to larger markets and benefit well from the said engagement accordingly. Noticeably, it could be realized that with the new implicative existence of international competence and the internet as the most effective portal for communication, the need to connect between existing organizations is made to be much easier to accomplish.

Conclusion

In the field of engaging in international ventures of business operations, competition is an inevitable element of existence. In the documentation presented herein, Germany is considered as one of the most feasible sources of market competence and business development among organizations that desire to expand their operations abroad. The performance of the country in the face of international trade challenges create a distinct sense on how the nation and its people are capable enough in boosting the power and the capacity of modern organizations to grow according to their desire of expansion.

Considerably, any organization that desires to engage in international options of development need to understand that risks would always be a part of the situation. The growth that one hopes to embrace is one that would best insist on the indication of how the organization itself would embrace excellent performance as part of its basic organizational culture. Relative assumptions of development are often required to be undergone by organizations as they grow into a much larger option of growth. Noticeably, manning the risks and taking strategic options of managing the assets of business investors as they come into the local market of Germany is often protected by the application of legal sanctions and guidelines that are most often than not considered as the most effective sense of  improvement that is accompanied by distinct protection coming from the government and the agencies dedicated to providing protection to the different business organizations that are established in the country.

The culture of the people, the culture of the government and the business developments embraced by Germany as it hopes to engage in larger international connections through accepting international investors and business partners provide a large arena for development especially dedicated to empowering small and large scaled organizations as they entail to create investment connections with the company. Establishing a feasible sense of understanding Germany’s system of development will continue to provide international organizations a sense of competence as they enter the German market.

The new world of business development entails that organizations coming from different backgrounds and different foundations be more open to realizing the option of growth that is opened for them due to the emergence of international trade industries. Being open to this option helps even smaller organizations to engage in larger operations. Most often than not, people are becoming more open to the idea of creating a business that is fully functional. Considerably, it could be realized that with the existence of the internet, making international business communications with countries like Germany has become even more feasible to consider. People today are more concerned on how international connections could be established; in business, this is an important form of growth that operators, owners and managers are strongly interested in. This is especially true due to the fact that extensive growth entails a larger chance towards gaining more from what the international market offers accordingly.

Works Cited

Investment in Europe. Setting Up A Business In Germany:Key Issues To Consider. http://c.ymcdn.com/sites/www.globalaw.net/resource/resmgr/Publications/Germany.pdf. (Retrieved on January 22, 2015)

Kreston International. Setting up your Business in Germany Issues to consider. file:///C:/Users/HP/Downloads/Kreston-Doing-Business-Germany%20(1).pdf. (Retrieved on January 22, 2015)