about world business environment of france..

1. Presented by:
Group 4

3.  Political system – republic
 Capital city – Paris
 Total area – 550,000 KM2
 Population – 60.4 Million
 Literacy Rate – 99%
 Life Expectancy – 79.05 Years

4. Economy of France:
 The share of France in world export and imports has been in
the range of 4.7% to 4.9% and 4.6% to 4.8% respectively
during 2002-04.
 While countries like Greece Spain and Portugal have trade
deficit, France has been on the side with trade with trade
surplus trade balance of 11.2 billion in 2004 in the recent
years.
 Although France economy has performed well in the past,
the country faces a daunting task in meeting with the fiscal
challenge posted by the ratio of people retired to those
employed doubling by 2030.
 This has obvious implications for the sustainability of the
countries pension scheme.

7. International mobility for foreign company directors and employees
France has implemented international mobility measures designed to
help bring in skilled employees and facilitate intra-group employee
mobility. As such, multi-year residence permits have also been
introduced that provide foreign nationals and their families with a
complete legal framework. A ‘one-stop shop’ has been introduced in
selected departments at the French Immigration and Citizenship
Office (OFII) to improve the quality of service to companies.
Expatriate personnel in France also benefit from tax and social
security measures specifically designed to offset the costs of
expatriation.

8. Flexible conditions for nationals from the European union (EU) and the European economic area
(EEA)
EU, EEA and Swiss nationals are free to travel and work in France
without a visa, residence permit or work permit. They must simply
register with the mairie (municipal offices) of their commune within
three months of their arrival. Following the admission of Croatia to
the EU on July 1, 2013, only Croatian nationals are subject to
specific rules during a transition period expected to end by 2020.
During this time, Croatian nationals must obtain a work permit for
any work performed as an employee. There are no restrictions on
them finding work in one of the 291 sectors listed by the Ministerial
Order of October 1, 2012. With the exception of regulated
professions, commercial and industrial professions are not subject
to any restrictions.

9. Applying for a work permit for a short -term stay in France
The originating company sends a completed temporary work
permit application to the French local employment authorities
(Unité territoriale) at least three weeks before the arrival of
the foreign employee to obtain a temporary work permit.
The temporary work permit is valid for up to 90 days; the
short-stay visa cannot be renewed and the company must
ensure that the validity periods for the work permit and the
visa correspond. For foreign companies that regularly send
employees to their subsidiaries in France for assignments shorter
than 90 days, a government memorandum on November 12,
2010 allows them to apply for an annual work permit. Employees
can use this work permit to obtain a multiple-entry short-term visa
from their local Consulate which is valid for 12 months.

10. Government support for business
>>Subsidized or interest-free loans
>>Grants for physical investment projects and R&D
>>Reduced real estate costs
>>Tax exemptions
>>Exemptions from employer social security contributions
>>Tax credits
>>Covering certain expenses (e.g. training costs for new employees,
etc.)
>>Government guarantees
>>Equity investments

11. Problems in the France Business Environment
 The Income tax burden in France is already high in
international comparison.
 Water is a limited resource so it can be a major problems
for the Industrialist sector in the France economy.
 France is ranked in the top 25 countries (on the corruption
perception Index of government organizations) in the world
for being perceived as least corrupt compared to 176 other
countries. There are laws, regulations and penalties to
reduce and prevent corruption in France. As a
consequence, the French legal system has witnessed
numerous investigations and successful convictions of
corrupt public officials and businessmen.

12. Conclusion
 France is the logical choice, with its location at the heart
of the EU.
 Second Highest in FDI inflow.
 23,000 foreign companies already in France.
 Qualified and highly productive labor force, unparalleled
infrastructure, and low business setup, real estate and
electricity costs.
 No. 1 in Nuclear Energy Production
 Although France economy has performed well in the past,
the country faces a daunting task in meeting the fiscal
challenge posted by the ratio of people retired to those
employed doubling by 2030.
 This has obvious implications for the sustainability of the
country's pension scheme.