Businesses in Greece essay

There are many opportunities present when investing in Greece. The Greek economy boasts its stable and efficient economy that can cater investors that are willing to open up businesses and create jobs in the country. With this, there are many advantages of investing and opening businesses in Greece. Reasons for investing Before elaborating in the different sectors that are feasible to invest into, it is important to distinguish several important reasons why putting in money in Greece is a good thing to do.

As we know, Greece is part of the European Union and it creates a diversified area for the economy and at the same time intensifying trade. “Today, Greece has become the economic hub of Southeast Europe and offers a stable and healthy economic environment, that is supportive to the needs of businesses and investors. ” (ELKE, ‘Economic Stability’, p. 1) Looking at Greece GDP, it can be seen that they are among the highest in the EU. (Refer to table 1) In addition, Greece has also been forecasted to have a positive GDP growth in the next two years. (Refer to table 2)

Another reason that Greece is better in terms of its economic status in the EU is its relatively competitive labor force. “Greece combines a reasonable pool of skilled workers and a good supply of unskilled labour and has one of the lowest labour costs in the European Union. ” (ELKE, ‘Competitive Labour, p. 1) The monthly wages in Greece are comparatively lower than in other countries which make it a good venue for starters who want to put up a business. (Refer to table 3) In terms of productivity, Greece boasts to be the top performers in that category.

“In the period 2000-2005, labour productivity annual average growth rate reached 3. 9% placing Greece into a competitive position amongst EU countries. ” (ELKE, ‘Competitive Labour, p. 1) This can be seen in the reports given in terms of labour productivity of Greeks. (Refer to table 4) With this, investors are assured that their money are given to people with the expertise and capability to handle the job. Another important reason to look into is the way Greece has the access to both local and foreign markets.

Its proximity to other Balkan and EU member states makes it an accessible entry for goods that shall be or will be shipped from other countries. “Greece’s advantageous location provides access and opportunity to the neighbouring regional markets while Thessaloniki, the capital of northern Greece, offers the financial and trading services needed in order to conduct business in the regional markets. ” (ELKE, ‘Access to Markets, p. 1) With the increasing amount of trade happening in the country, Greece must be able to provide sufficient structures that can be able to enhance and facilitate these changes.

It is through Greece application of the 3rd Community Support Framework agreed upon with the European Union. “That means that every level of transport and communications is being upgraded on a profound scale. In parallel, the liberalisation of the energy and telecoms market leads to the modernization of the existing network and provide new opportunities for development. ” (ELKE, ‘Infrastructure’, p. 1) The last important reason to invest in Greece is the quality of life among citizens. Here, investors can be catered to the mixture of cultures and the relatively normal environment.

Greece can contribute for an easier adapting among foreigners especially children. “Adaptation is made easier for school-age children with various foreign schools to accommodate them, while for adults the many foreign institutes, clubs and associations help pave the way to integration. ” (ELKE, ‘Quality of life, p. 1) Opportunities for Investment There are many industries where investors can take part and start their businesses. Greece has certain sectors in the economy that are performing above par compared to their counterparts in the European Union.

Among these competitive industries include (1) tourism, (2) energy, (3) technology and (4) food & beverages. The Energy Industry With the increasing demand for consumable energy, it is often viewed by investors as an important industry to place their money on. In terms of the Energy industry, Greece has constantly made efforts to revitalize this sector to improve as well as create new mechanisms that can enhance the sector. “Alliances with major European, American and Japanese companies and oil and gas agreements have positioned Greece as the country to do business in energy.

” (ELKE, Energy, p. 1) With these the energy industry has positioned itself to be one of the best producers and generators of income in the economy. “Since 2002, annual growth rate of RES is 30-50% and will continue at this rate for 3-5 years. ” (ELKE, Energy, p. 1) Many companies have tried investing in this sector and were comparatively successful in expanding their businesses in the country. “Numerous international energy companies have invested successfully in Greece and have already expanded and diversified their operations to meet the next wave of demand.

” (ELKE, Energy, p. 1) Technology The continuous expansion of technology has paved the way for Greece to revitalize its efforts in creating mechanisms that can enhance this sector of the economy. With more and more countries, organizations, and industries demanding for such innovations, Greece has been expansive in certain areas such as microchip design and software development. “The main software centres are located in Athens and Thessaloniki, while Athens, Patras and Iraklion are focal points for microchip design. ” (ELKE, ‘Technology’, p. 1)

There are other technology sectors that can also cater investor preferences. “Furthermore, the Greek government provides significant investment incentives to telecommunication companies and service providers for modernisation of telecommunication infrastructure and other major projects. ” (ELKE, ‘Technology’, p. 1) To further enhance this, the Greek government provided major changes in this area to facilitate the increasing demand. “The new broadband infrastructure paves the way for a new generation of value added services.

” (ELKE, ‘Technology’, p. 1) The Tourism Sector Greece is considered one of the most beautiful places in the world with its wonderful scenario and mixture of past and present cultural heritage. With this, investing in the tourism sector can be another industry that investors can look into. Economically speaking, Greek tourism can facilitate huge return in profits among investors. “The Greek tourism sector is a continuous growth market and represents 18% of the country’s GDP. ” (ELKE, ‘Tourism’, p.1)

Many investors are using the richness of Greece natural resources to facilitate avenues for business gains and profits. “At present, international investors from Europe, USA, South Africa and Australia are developing integrated resorts which include golf courses, conference centres, spas and marinas. ” (ELKE, ‘Tourism’, p. 1) With these scenarios and possibilities available, Greece can cater to investors who seek to focus on tourism. “Greece is the solution for international investors seeking business opportunities in one of the finest tourism destinations in the world. ” (ELKE, ‘Tourism’, p. 1)