German economy driving European growth in business services
BERLIN and AMSTERDAM - The global market for business services dropped over 20 percent year over year in the first quarter of 2012, but German-speaking markets still grew slightly, according to industry reports. Germany is a key destination for localized service providers seeking well-trained, multilingual staff.
"Germany's economy is performing well despite uncertainty in Europe. Companies are looking to us as a safe haven for their investments," said Dr. Josefine Dutschmann, business services expert at Germany Trade & Invest in Berlin.
Germany's key industries, machinery and equipment or automotive manufacturing, are demand drivers for business services. Analyzed by sector, contract values for manufacturing in the EMEA region increased significantly in the previous quarter. Germany's massive Mittelstand, its core of small and medium enterprises, are increasingly seeking onshore services to streamline business processes. This opens new windows of opportunity for investors to serve clients in Germany.
"Germany has the largest language market in the EU and business conditions are excellent. Our dual education system sets Germany apart. Well-trained, loyal employees can be found at competitive costs, ultimately reducing costs to providers," continued Dutschmann.
In the business services sector, labor turnover rates are only five to ten percent, lower than in many other European markets.