PrefaceAccess of Italy, and 93% of the population

PrefaceAccess to the Heart of Italy Italy’s territory mostly borders the Adriatic and Mediterranean seas, Italy shares its frontiers with fellow EU members France, Austria and Slovenia, as well as with Switzerland. In the future, a project of rail and motorway creation is linking the west side of Europe with Italy to increase business opportunities. A diversified EconomyItaly has an outstanding geographical position which offers international businesses and organizations doing business in Italy access to both its own market and that of its bordering countries. Italy exhibits a strong and diversified economy. Successful sectors in Italy include tourism, car production and fashion senses. Government InitiativesItaly can rely on large companies that rely on support from the Italian government – such as the car manufacturers FIAT and telecommunications group Telecom Italia – and a large number of SMEs, usually run by families, that manufacture high-quality consumer goods. Local businesses and government-run businesses have given rise to a unique economic landscape. Trading HistoryItaly’s Trading HistoryCanada and Italy have a strong commercial relationship. The two-way trade between Canada and Italy increased 36% to a total value of nearly $10.5 billion in 2013, making Italy Canada’s 8th largest global merchandise trading partner. In 2013, Canadian merchandise exports to Italy increased by 14.3% to almost $2 billion. In 2014, Canadian exports have raised by more than 113%, making Italy Canada’s 7th largest export market in 2014.Italy’s 2 top trading partners:Germany: $58.1 billion (12.6% of total Italian exports)France: $48.3 billion (10.5%)Resources:https://www.thelocal.it/galleries/culture/10-things-the-italians-invented/6https://www.ukessays.com/essays/economics/the-competitive-advantage-of-italy-economics-essay.phpAn Overview Of ItalyPopulation Statistics: The current population of Italy is 59,325,131 as of Monday, January 1, 2018, based on the latest United Nations estimates.Capital City: Rome Currency: Italian Euro  Language Spoken:  Italian is the official language of Italy, and 93% of the population are native Italian speakers. GDP per capita: $38328.21Time difference: Rome (Italy) vs Ontario (Canada): Italy is 6 hours ahead of CanadaClimate: With its hot, dry summers and cool, wet winters, Italy experiences a mediterranean climate. Labour force: Around 22.76 million people.Government System: Italy is governed by a President who is responsible for appointing the Prime Minister. The President sits in the Palazzo del Quirinale, and the senate resides the Palazzo Madama. Italian politics are conducted through a Parliamentary Republic system.Exports & Imports:Labor force: 25.54 million (2015 est.)Labor force by occupation:Agriculture: 3.9%Industry: 28.3%Services: 67.8% (2011)Exports:Export Commodities: Engineering products, textiles and clothing, production, machinery, motor vehicles, transport equipment, chemicals; food, beverages and tobacco; minerals, and nonferrous metals.Imports: $389.2 billion (2015 est.)Import commodities: Engineering products, chemicals, transport equipment, energy products, minerals and nonferrous metals, textiles and clothing; food, beverages, and tobacco.Company Origin: Gucci, Prada Post-Secondary Institutions: Scuola Primaria (Primary School), Scuola Media (Middle School), Scuola Superiore (High School): Liceo Classico (Classical High School), Liceo Scientifico (Scientific High School), and Istituti Professionali (Professional Institutes), Scuola Secondaria di Secondo Grado (Second Grade Secondary School)Italy’s Competitive and Absolute Advantage Unique resources (High Quality Resources found in Italy):Luxury cars, such as Ferrari, LamborghiniPasta Gucci, Prada, Dolce and GabbanaAdvantages over other countries: Italy which is the seventh largest economy of the world has been a democratic nation for almost six decades.Italy along with Germany is considered to be one of the strongest and most active members in the European Union. Italy is considered to be moderately inclined towards R&D and innovation but has a strong comparative advantage with respect to the garment, textiles and the fashion industries.4 Major Innovations:Telephone: Italian Antonio Meucci is often credited as the true inventor of the phone. The Italian immigrant to the US began developing a voice communication device – called the “teletrofono” – in 1849.Newspapers: The newspaper can be traced back to Venice in 1556 when the government published monthly handwritten news-sheets, called “avvisi”Jeans: Usually identified with American culture, but their origins are Italian. Radio: Guglielmo Marconi is one of the great minds in the invention of radio. Italy’s International AgreementsWorld Trade Organization:  Italy is a funding Member of the WTO and the eighth contributor to the Organization. As Member of the European Union, it actively participates to the definition of the common position of its 28 Members with regard to the WTO subject. In particular, Italy focuses on the protection of specific interests related to industrial products, agriculture, services and intellectual property rights.Organization For Economic Cooperation and Development: Like all the member countries, the Italian government maintains a permanent delegation to the OECD, composed of an ambassador and diplomats. As a member of the Council, Italy’s ambassador, in consultation with his peers, agrees the programme of work which is described in the annual report and establishes the volume of the annual budget, contributions being assessed according to the relative size of each country’s economy. World Bank Group: Italy became a member of the World Bank in 1947. Italy is a member of the five institutions that form the World Bank Group. Together, they finance projects, design policies and introduce programs to eradicate poverty in the developing world.Trade Manual Avoiding and Managing Common Mistakes CostingEuro (EUR)1 Euro = 1.51 Canadian DollarsHard Currency Tariff status: The standard rates for Italy is 22%.According to the Italian Stability law of 2016, the standard VAT may increase to 25% in 2018. The imposition of the VAT rate increase will be dependant on the performance of the Italian economy.Infrastructure Transportation systems:BusEach part of the country is served by various independent bus carriers. For example, a choice for visitors to central Italy is the Lazzi Bus ServiceRecommended for local and short-distance trips2.        Car and City TransportationsThe transportation systems in Italian cities are very well-developed, although in rush hours, their capacity seems insufficient just like other developed countries 3.         TrainThe Italian railway features 16,000 kilometres of tracks serviced by national operator Trenitalia. Many train categories are available, including local, interregional, express, InterCity and the exclusive Eurostar Italia and Tbiz trains. International trains run to Spain, France, Czech Republic, Croatia, Slovenia, Hungary, Austria, Switzerland and Germany.4.         AirItaly is the home of Alitalia, the flagship carrier, as well as a number of smaller airlines such as Meridiana, Air Dolomiti, Air One, Alpi Eagles, Club Air, Eurofly and many others. The largest airports are located in Milan (Malpensa, Linate and Bergamo), Rome (Fiumicino and Ciampino), Bologna, Turin, Naples, Pisa, Venice and Palermo. Domestic flights exhibit a very easy way of travelling around the country.5.         FerryViewing Italy from the sea provides a truly breathtaking perspective on the unique beauty of the country.Communication systems: Italy is the 5th largest market in the world for communication services and television. Italy has a good communication network that provides information and signals to all Italian regions. The main Italian media is RAI (Television and Radio) and Telecom Italia. Mediaset is constituted of 3 national television networks, which includes a major daily newspaper, a leading news magazine, and is one of the largest media buyers in the country. Accommodation Foreign Embassies: Present for all countries that migrants have immigrated from such as Canada, Taiwan. Food Communication Etiquette: “Always arrive a few minutes after the appointed time – never before,” advises Presutti. “Take for granted that your host will still be preparing the food.Health Care Safety: Italy has a national health plan (Servizio Sanitario Nazionale), which provides for hospital and medical benefits. The plan is designed to provide health and safety for all Italian citizens and residents, including U.S. and Canadian citizens who are legal residents of Italy as healthcare is considered a human right. A guideline to Business Protocols of Italy Negotiation Styles:Negotiations are done slowly, Italians tend to evaluate benefits and risks.During the negotiations, you might be contacting and/or providing information to different people with specific roles (technical, financial, market-oriented). During negotiations, Italians give importance to verbal commitments and the final contract is certainly based on previous informal agreements.Be patient, it is important to give time to your Italian partners. A sense of urgency is taken as an attempt to weaken your negotiating position. Language:In order to overcome possible language barriers, written forms of communication are preferred for a first approach. Whenever possible, an introduction by someone who is already with the company would be beneficial Forms of Greetings:Handshaking is common in all business and social occasions. When introducing and leaving, shake hands individually with all members of a group.When being introduced you can simply say “piacere” (i.e. it is a pleasure) and pronounce your name clearly while shaking hands.A greeting such as “Buongiorno” or “Buona sera” (i.e. good morning, good evening) is normally expected upon arrival. Before leaving you can say “arrivederci” (“see you”) or “a presto” (“see you soon”).Style of Dress:Dress and presentation are important in the Italian culture. Well-fashioned clothes are considered a sign of wealthy social status and success.Formal attire is generally expected for business meetings, for the most part, dark colours for businessmenBusinesswomen tend to wear elegant and modest pant or skirt suits, accessorized with simple jewellery and makeupGift giving:In Italian business culture, gift giving is done only after a tried and trusted familiar relationship has been established, might it appear natural to give a small gift as a sign of friendship.Punctuality:Punctuality is not a priority for Italians. Do not take a bit of a delay as a sign of lack of respect.Business plans are often not taken too strictly, so that some flexibility can be built into a deadline. Scheduling of meetings:Meetings are often organized in the company offices after 10.00 am or in the early afternoon, i.e. 3.00 pmTo plan a meeting, start by writing to the participants in Italian, and follow up with a phone call and email in the language you plan to use to communicateAugust is the month of rest, and many employees take time off work for the holidays, as is the case in many other countries in Europe Business entertaining:Hospitality plays a key role in Italian business culture. Invitations to lunch and dinner are to be expected when doing business there. Each attendee will have a particular interest in your visit.Dining does have a certain protocol in Italy. Major etiquette tips are that the most honoured guest sits at the middle of the table or on the right of the host; the host always pays; pass dishes to the left; do not answer phone calls in this duration. Marketing Information for Italy Per capita income of families: 1347937.94 CADAverage income: $32330.11 CAD Literacy rate: 98.0%Population in Figures:Total Population: 60,600,590Urban Population: 69.1%Rural Population: 30.9%Density of Population: 206 Inhab./km²Men (in %): 48.6%Women (in %): 51.3%Natural increase: -0.21%Medium Age: 42.0Ethnic Origins: Majority of the population is of Italian ethnic origin. Of the remainder, many are of German, French, Slovenian, Catalan, Albanian, Greek or Croatian ethnic origin. Media Opportunities: Radio stations: 1. Radio Italia 2. Radio 24 Television stations: 1. Cielo 2. Radio Italia TV Magazines: 1. Focus 2. Donna ModernaRetailing: Gucci, Dolce & Gabbana Advertising Laws and Regulations: The EU’s Audiovisual Media Services Directive (AMSD) lays down legislation on broadcasting activities allowed within the EU.Advertising: Different techniques are used: Colours, texts, humour, words (bolded and italicized). Advertisements are similar to Canadian advertisements, they use the same advertising techniques, such as the one below has used humour content and colourful words to advertise the ice cream.   Logistics and Distribution Information to Italy  Overview: Logistics is an industry and a vital part of any business model; it is the control of the flow and storage of goods into and out of a business and it is responsible for satisfying customer demands. MethodDurationCostMost Economical Surface4-6 weeks$159.77Air2-3 weeksN/AExpress Post4-7 days$295.01Purolator Courier2-3 days$397.34 Freight Forwarding:  Goeldlin International Movers Srl Via Danilo Stiepovich 18000121 RomeTel.: +39 06 65771661Fax: +39 06 65.77.14.93 Email: [email protected] Activities: Provides logistical services for importation and exportation, storage of household and personal goods, special packing of goods, construction and supply of containers, shipment of works of art for exhibitions, storage and management of paper archives, office relocation services. Logistical Company:  Made In Italy Shipment Logistic And Communication Di Alfredo Croci Software company in Rome, ItalyAddress: /32, Via Tolemaide, 30, 00192 Roma RM, ItalyPhone: +39 06 3972 3907