(May 9, 2012)Outline IntroductionBusiness environmentCultureGovernment interventionConclusionReferences. IntroductionItaly is positioned in Southern Europe. It has a population of approximately 58.2 million. Italy has much to offer to its visitors as well as its citizens. Italy is surrounded by the four seas of Mediterranean. It is well known for its coastline activities (Howkins 2001 p. 158). Political environmentItaly is a nation that is divided into provinces, municipalities and regions. The legislative body of Italy is parliament which comprises of a chamber of delegates and a senate. Its members serve for five years in office.
They are elected by voting. Ministers hold administrative power. Parliament delegates power to ministers for various matters in the defined limit. Regional administrations have governmental powers in some areas for instance local taxes, health services, hospital services, transportation and urban planning. Italy consists of a large population. It has roughly 57million inhabitants. A large population in Italy is Roman Catholics. The capital city of Italy is Rome which is the industrial center in the country. Alongside this city, there are Milan, Turin, Genoa and Naples which are large cities. Turin, Veneto, and Milan are the core business centers of Italy Economic environmentThe economy of Italy is built primarily on the conversion of raw materials.
The raw materials are imported into refined products to fulfill foreign and domestic demand. Regions, provinces and government offer enticements that embolden industrialization in Italy (“Economist” 2005 par 3). The economy of Italy fluctuates from region to region. The North part of Italy is vastly industrialized. It has virtuous infrastructures and trained labor force that facilitating industrialization. The South part is still under development. It lacks the quality environment for industrialization.
Italian economy consists of three main sectors. These sectors are small businesses, large private companies and public segments. Italy is among the seven most developed nations in the diaspora The Italian business industry entails many small and medium enterprises and few large industries that specialize in various activities. 60% of domestic product represents service activities. The service activities include transportation, property rental, commerce, communications, insurance and banking. 30% of gross domestic products represent manufacturing industries. These industries include chemicals, machinery, pharmaceuticals, textile and construction. The transportation of vehicles and non-metal minerals are also in the manufacturing industries brackets.
4% of the gross domestic products signify agricultural industry. The main crops grown Italy are cereals, vegetables, olive oil, fruits and in addition, dairy produce (Mallory & Adams P. 27). Moreover, Italy Is filled with a quality employment environment. However, employment environment lacks skills and unemployment for others especially in the south Italy. Social environmentThe social business environment of Italy is their living, education background, working conditions, income level and their community at large. There is a wide gap between the poor and the rich, educated and not educated, professionals and workers.
Italy is divided in to the South and the North. The North part is highly developed while the South part is not developed. The North part has a strong business environment for instance employment, decent salaries and in addition, a pleasant working environment. The North is also highly industrialized hence the living condition of the people are conducive. This boosts business. This is because people focus on making additional funds than they already have. Good infrastructures facilitate the transportation of raw materials.
Good communication network is also in the North part of Italy. The availability of health centers in the North of Italy facilitates the health of the society. The social environment in the North Italy is highly conducive for entrepreneurship.