Cait Nolan

FRANCE: Economy With a GDP of $2.7 trillion, France is the world’s fifth-largest economy. It has substantial agricultural resources, a large industrial base, and a highly skilled work force. France is the second-largest trading nation in Western Europe (after Germany). Principal French exports to the United States are aircraft and engines, beverages, electrical equipment, chemicals, cosmetics, and luxury products. France is the eighth-largest trading partner of the United States. Current State of Industry The French textiles, apparel and accessory industry produces billions of dollars annually. Hermes alone did over 4 billion dollars in sales last year. Its retail market does over 100 billion annually. Significant Cultural Issues 100% of Frances population speaks French. This means that any correspondence will need to be translated or workforce will need to be bilingual.

FRANCE: Currency Exchange The Euro is the currency in which France deals with and exchange rates will have to be calculated within the terms of trade. Taxes “Corporate tax rates are high compared to those in other leading industrial countries. Foreign investors most often cite high wages, including a minimum wage of $1,859 per month, payroll taxes and complicated labor regulation as the greatest disincentives to investing in France. Labor Costs Foreign investors say that they find France’s skilled and productive labor force, good infrastructure, technology, and central location in Europe attractive. However, notwithstanding French efforts at economic reform, market liberalization, and attracting foreign investment, U.S. and foreign companies often point to the high cost of labor as disincentives to investing in France.

FRANCE: Risk Strengths -The world’s first tourist destination and second agricultural power -Competitive international groups (energy, aeronautics and space, environment, pharmaceuticals, luxury goods, food products, distribution) -Quality of infrastructures and public services -Dynamic demographics, skilled labor and high productivity -High level of savings and contained household indebtedness Weaknesses -Insufficient export corporate turnover, loss of market share -Weakness of SMEs -Insufficient effort to innovate -Low youth and senior employment, high youth unemployment -Banks’ high exposure to the sovereign debt of the weakest eurozone countries -High level of public debt

ITALY: Economy Its major industries are precision machinery, motor vehicles, tourism, fashion, and clothing. Italy’s largest European Union trade partners, are Germany, France, Spain, and the United Kingdom. Italy continues to grapple with the effects of globalization, where certain countries (notably China) have eroded the Italian lower-end industrial product sector . The Italian economy is also affected by a large underground economy. The Italian statistical institute (Istat) estimates that untaxed transactions may amount to €275 billion (about $363 billion), or 18% of GDP, per year. Current State of Industry Every year, the U.S. Commercial Service helps thousands of companies export goods and services worth billions of dollars. Significant Cultural Issues Language; The official language of Italy is Italian, however people of that country may also speak German and French. All correspondence with these vendors will have to be translated or employees will need to be bilingual.

ITALY: Currency Exchange The Euro is the currency in which Italy deals with and exchange rates will have to be calculated within the terms of trade. Labor Cost There is no real downward trend in unit labor cost, which will not help the economy to regain ground in terms of competitiveness.Italy’s unemployment rate in 2011 was over 8% and is getting closer to 11% in recent times. Chronic problems of inadequate infrastructure, corruption, and organized crime act as disincentives to investment and job creation in Southern Italy. A significant underground economy absorbs substantial numbers of people who work for low wages and without standard social benefits and protections.

ITALY: Risk Strengths -Relatively important role of industry and stability of family businesses -Up-market move of production and highly profitable niche products (luxury clothes, household equipment, food products, mechanical engineering) -Low household debt and high savings capacity -Wealth of tourism assets Weaknesses -High national debt, tax evasion -Price rigidity, falling productivity in recent years -Inadequacy of research and higher education -Backwardness of the south

SINGAPORE: Economy The country has a high income level with an economy that continues to develop. Its major industries are Electronics; Chemicals; Financial Services; Oil Drilling Equipment and the top 3 exports are Electrical Machinery, Oil & Mineral Fuels, and Industrial Machinery. Its closest trade ties are with Malaysia, China, and Indonesia. 2013 showed a GDP growth rate of 3.851% and a GDP of $425 billion. Current State of Industry Singapore has been ranked as having the most open, least corrupt, and most pro-business economy in the world. Significant Cultural Issues Languages spoken are Mandarin (official) 36.3%, English (official) 29.8%, Malay (official) 11.9%, Hokkien 8.1%, Tamil (official) 4.4%, Cantonese 4.1%, Teochew 3.2%, other Indian languages 1.2%, other Chinese dialects 1.1%, other 1.1% All correspondence with these vendors will most likely be in English otherwise correspondence will have to be translated or employees will need to be bilingual.

SINGAPORE: Currency Exchange The Singapore Dollar is the currency in which Singapore deals with and exchange rates will have to be calculated within the terms of trade. Labor Cost Labor costs in Singapore are high, about that of the United States. Amid the tight labour market, the labour force participation rate rose to a new high in 2013, driven by women and older residents. A record proportion of residents aged 25 to 64 were in employment. Real income growth strengthened, as nominal income gains remained high and inflation eased. Rising labor costs will keep weighing on Singapore’s economic growth this year even as the city-state benefits from expansion of its domestic-oriented industries and stronger demand from developed countries

SINGAPORE: Risk Strengths -Very high quality-competitiveness -Development of high value-added sectors (chemicals, pharmaceuticals, finance) -Substantial foreign direct investment inflows thanks to a favourable tax system, political stability and an excellent business environment -Major exporter of capital in Asia through the Temasek and Government of -Singapore Investment Corporation (GIC) sovereign funds Weaknesses -Economy dependent on exports -Shortages of skilled labour -Aging population