MARKETING AND MANAGEMENT
In 1995 Austria joined the European Union (EU), and in 1999 they joined the European Monetary Union. The use of a common currency the "Euro" has facilitated trade and promoted economic stability for U.S. companies to manage pricing, balance accounts, and move products into Austria and throughout the EU member nations ("globaledge", 2003). An unfavorable exchange rate for U.S. exporters turned positive in 2003 making the U.S. able to compete on more favorable terms in the near future.
Current economic reforms in Austria are increasing the attractiveness of foreign investment. There are several advantages to conducting business in Austria that will be particularly relevant in the year 2004. Austria is an international crossroads bordering on eight European countries which include Germany, Italy, Switzerland, Slovenia, Hungary, Slovakia, Czech Republic, and Liechtenstein. Austria's eastern neighbors, Czech Republic, Slovakia, Slovenia, and Hungary will join the EU in May of 2004. The impact of this is that Austria will become more centrally located.
Austria's market is well diversified and resilient. Government is seeking to remain competitive by pursuing investment in high potential industries such as telecommunications and electronics ("globaledge", 2003). United States companies that are in the telecommunications and electronics industries have a great opportunity for exporting, joint venturing, and investment in Austria.
The U.S. is Austria's 3rd largest supplier of imports and largest trade partner outside of Europe ("CIA", 2003). U.S. companies entering the market for the first time can benefit from the already established trade lines between the two countries. Austria's market is highly competitive with high ...