European Business Environment - Gms 692

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Introduction:

Yes the European Business Environment is still a good place to invest and conduct

business today. The European Union Economy is the world’s largest region as measured by

assets managed, with $US 32.7 trillion vs. 27.1 trillion in North America.1 The European market,

especially of England, Germany, and France is a highly profitable opportunity for many

businesses to conduct business, and many companies strive to break into their market. The

European Economy is dominated by the big economies of the “Big Three” countries which

includes Germany, France, and UK.2 The total GDP of EU is 16 trillion; Germany with 3.2

trillion, France with 2.6 trillion, and UK with 2.2 trillion.3 This means that half of the EU

economy is represented by these three nations. When it comes to business, each of these countries

have confirming status as leading economic players in the world. They have a great impact in

Europe and in the entire world.

Market Attractiveness:

One of the main reasons for businesses to invest in these European countries is because of

their attractive markets. UK for example has the third largest economy in the European Union,

and the sixth largest in the world with a GDP of $2.3 trillion (Appendix 1).4 They have a highly

developed, diversified, and market-based economy (Appendix 2).5 Services, particularly banking,

insurance, and business services, account by far for the largest proportion of GDP (Appendix 3).6

Even though their service sector is quite dominating, Britain’s industrial output is also very

1

Manjuris, M. (2011). Economies of Europe: An Overview. [Slide 10]

2

Manjuris, M. (2011). Economies of Europe: An Overview. [Slide 13]

2

Manjuris, M. (2011). Economies of Europe: An Overview. [Slide 13]

3

Manjuris, M.