Global business 245

Grüsse Aus Deutschland

!(Greetings from Germany)By Estrella Torres

Where is Germany?

•Central Europe, between the Netherlands and Poland, and South of Denmark.

Important Facts• Capital: Berlin• Size: 356,910 square kilometers

- 137,805 square miles(about the size of Montana)

• Population: 81,305,856 (as of April 2012)• Climate: Warm summers and mild cloudy

winters

About the People• Ethnic Groups: Germans, Turks, Greeks, Poles,

Russians, Croatians, Italians, and Spaniards.• Language: German• Germany is divided into 16 states, most states

have their own dialect.• Religion: 34% Catholic 34% Protestant 3.7% Muslim

28.3% Other

Historical Dates• 1849 1st Parliament• 1863 Social Democratic Party formed• 1914 World War I (Germany’s defeat)• 1925 Germany joins League of Nations• 1933 Nazi Party, Adolf Hitler’s power, World War II- The Third Reiche and the Holocaust began• 1934 Ferdinand Porsche-Volkswagen• 1948 The Deutsch Mark currency formed• 1951 European Union• 1955 West Germany gains independence joins NATO• 1961 Berlin Wall is built• 1973 East and West join United Nations• 1990 East and West unified• 1991 Berlin named new capital of Germany• 2002 The Euro replaced Deutsche Mark• 2005 Angela Merkel elected 1st female Chancellor

Political System•Government type: Federal Republic

- proclamation of the Basic Law that supports peace, democracy, and human rights as well as environmental and climate protection worldwide in cooperation with its European allies. •Parliament: Bundestag (also know as the German legislature).

Who runs Germany?• Federal government with a parliamentary democracy• Legislature has two legislative bodies• The lower house “das Grundesetz” (Basic Law) which is Germany’s

constitution. Term is four years in popular elections.• The high house “das Budesrat” (Federal Council) members are

representatives of the 16 regions who approves any law that affects the land. (Länder)

• German’s Consitution started in 1949 became reunified in 1990 (National Holiday called “Tag der Deutsche Einheit”

Current Chancellor:Angela Merkel ( since Nov. 2005)

Current President: Joachim Gauck (since Mar. 2012)

About Germany’s Economy

• The Federal Republic of Germany is Europe’s dominant country, both economic power and population.

• Social Market Economy• Founding member of the

European Union since 1951• Full member of the United Nations since 1973• Germany’s GDP (Gross Domestic Product) is 3.1

$ Money, Money, Money $

• In 1948, Deutsche Mark (German money) was introduced.

THEN…

• In 2002, the Euro was established as the new currency along with 11 other countries

• Value of the Euro today (May20, 2012)

1 Euro = 0.786102

NOW…

• Germany has a stable and powerful financial system

Germany’s Exports• Worth 98.8 Billion Euros• Vehicles (In 2009, produced 5.2 million

automobiles, Mercedes-Benz, Porsche, Volkswagen, BMW)

• Machinery• Chemicals• Electrical Devices• Telecommunication Technology

CARS

BEER CANDY

CUCKOO CLOCKS

Germany’s Imports• Worth 81.5 Billion Euros• Vehicles• Machinery• Oil• Gas• Textiles• Metals• Computers

Ethical Issues• Emissions from coal-burning industries

contributing to pollution• Acid rain from sulfur dioxide emissions

damaging the earths eco-systems• Pollution from the Baltic Sea in the rivers• Hazardous waste disposal• Ending the use of nuclear power within 15

years

VOLKSWAGEN

• 1931 Ferdinand Porsche sketched the 1st Beetle• 1934 Hitler contracts Porches to develop the

Beetle• 1938 Laying of the cornerstone of the VW factory• 1939 Germany goes to war• 1946 1,785 cars were built by hand• 1955 VW of America• 1963 7th millionth Beetle

produced

VW the company

• Headquarters in Wolfsburg, Germany• The name means “people car” in German• 4th leading auto manufacturer• Employees 344,900• Volkswagen is part of the Volkswagen Group

along with Audi, SEAT, Bentley, Bugatti, Lamborghini, Scania, and Škoda

Other products from VW

• Large bore diesel engines• Turbo chargers• Turbo machinery• Compressors

• Chemical reactors• Vehicle transmissions

VW mission statement“To offer attractive, safe and

environmentally sound vehicles which are competitive on an increasingly tough market and which set world

standards in their respective classes.”

Some information a business owner needs to know are…

U.S. manufacturers have to consider certification for the EU market

Germans like to dress “up” more than Americans, look professional yet conservative

Avoid wearing lots of rich jewelry, especially in the former East. Sing of wealth offensive

German culture is “middle hierarchical”Respect holidays-business close a certain time

and on certain holidays.

Marketing• Web promotions• Media promotions• Customer promotions:1) College Grad Program $236/ a month on 2007 2-door Rabbit 2.5L2) V-dub Rock Promotion anyone purchasing any 2007

VW model get a custom First Act Garage Master

Electric Guitar.

Political Ramifications

• Governing issues how the automobile and or products manufactured will recycle/disposed of in 10 or more years down the road.

• Maintains social responsibility and sustainability

• Cooperates fully with the government, environmental associations, unions, academic and research institutions as well as other oil and car corporations.

Inventory Systems

• A Lifecycle Assessment (LOA) defined by the international standards

1) Inventory2) Impact3) Evaluation

Resources• Washington State: www.ofm.wa.gov/researchbriefs/200/brief008 • Washington State Census:www.census.gov/foreign-trade/statistics/state/data/wa• Germany:www.tradingeconomics.com/germany/export/importwww.export.gov/germanywww.youtube.com/watch?v=nd5WGLWNllAwww.volkswagenag.com/content/vwcorp/content/en/misc/search.html?_charset_=UTF-8&q=inventory+systemswww.volkswagenag.com/content/vwcorp/info_center/en/news/2006/10/Project_Report_on_Social_Responsibility.html