EU Language Barrier – Completely Underestimated

After 2 years engagement across Europe, and helping businesses to expand within the one digital market Europe, we recognize that the language barrier is bigger than originally anticipated. The vast majority of mid market businesses in particular in Spain, Italy, France and Greece are incapable to conduct international business in Europe, let alone on a global scale, due to the lack of English language knowledge. Looking at those countries and the general language skills of their population show a striking pattern: Countries with a relatively high distribution of the English language do rather well and those with a pretty low popularity of English have some serious problems. After all we consider the language barrier the single biggest obstacle for a European success story and a healthy European Economy.

Language barrier, Europe’s single biggest business obstacle

When the European Commission in Brussels decided to support all the European languages, it actually supported the idea that EU countries maintain and continue working with their own language. However, this behavior makes it almost impossible to make any significant inroads in a Pan European trade engagement. Obviously it was important for the EC to get the ‘buy in’ from all the various countries. In addition it is certainly important to not exclude countries right from the beginning by building a language barrier, requiring everybody to speak a common language.

Also we from the DSEU decided to add a foreign language page for each country to make it easier to understand what we are doing. Yet, whether it’s easy or not – there is no effective digital single market without overcoming the language barrier and everybody speaking English.

A great example is the island of Malta. With its approximately 450,000 inhabitants, Malta makes great progress as a EU member country. Malta is able to attract businesses and also able to conduct business across all Europe. While locals still speak and practice the local language ‘Malti’, English is the primary language.

To the contrary, in Spain for example most senior business people speak only Spanish or some of the other Spanish languages like  Catalan, Basque and Galician. For quite a while French was the first foreign language and only in the more recent past English became the first foreign language at school. International information flow is not making it deep into the Spanish population and as such foreign technologies, foreign trade initiatives and global competition is just not comprehended well enough. A very similar problem is in French or Italy, where English isn’t a preferred second language. Those rather large European nations are dependent on their inner economic stability. France is even actively trying to promote the idea of focusing on french products to their citizens – not understanding that this suggestion is weakening the French economy even further.

 

Our Suggestion for the European Commission

After all, we still recommend to support all the currently supported languages in order to make it easy to get access to European Commission initiated programs. However we strongly recommend the EC is undertaking three major efforts to increase the inter European trade and stimulate more business, resulting in more jobs:

1) English Language Stimulation Program

We recommend putting some significant pressure on countries with rather large business population between 35 and 50 not speaking English and create highly motivating programs to motivate those to learn English even at an age of 35 plus.

2) Language controlled funding and grants

We recommend the EC is no longer funding any program or company that is not able to introduce or sell there products in countries outside their own and have product or service descriptions available in English language. While there maybe a need to support some of those businesses, the funds however should not come from the EC but from local governments if at all.

3) Joint Government Engagement

We recommend that the EC is closely collaborating with all European government officials and helping the various country representatives understand the importance of speaking English in order to be able to compete on a global scale and at least within the European Union.

Summary

Without a common business language, a European Economy will remain to be in danger and further weaken the already weak countries.  The EC must find a way to close the economic chasm between those healthy countries that are easily able to conduct trade with other countries such as Germany, Sweden, Denmark, Austria, Netherlands, Belgium, Malta…. and those with major language issues such as France, Italy, Span, Portugal, Greece…

 

Economy Differences In Europe

Looking at Europe as a whole we obviously know about all the economic differences. We know that the average income in Romania with roughly  350 Euro is about 20% of the European average. This maybe an advantage to bring production to some of the low cost countries in Europe, but often times work ethics and education is below equivalent countries in other low cost countries in Asia or Latin America. From a pure business point of view we may not care – but from a pan European perspective we need to care. We need to care – meaning help those countries – if we want the European Nation become a leading nation in the world. {EAV:7057dd17e15ae45a}

DSEU Situation

The Digital Sunrise Europe project is about stimulating the small medium businesses across the EU. And that includes all the 27 member states. We are currently offering education and see the roadblocks already. Despite the general heavy discount, it is still too much of a burden for people from the “Yellow Zone” so we need to invest – that they can invest in the future. We basically need to create those markets so that they will become attractive markets in the future.

Suggestion

We may actually create three pricing zones for our professional services offering. The “Growth Starter Kit” which starts at roughly Euro 10,000 may cost only Euro 7,000 in countries from the “Green Zone” and Euro 2,000 in countries from the “Yellow Zones”.

Since there is directly associated cost to all our services, we may actually structure our cost level accordingly. That means for every Euro we pay to people in the “Blue Zone” we only pay 70 Cent in the “Green Zone” and 20 Cent in the “Yellow Zone”

That way we would be able to heavily discount services in the low income countries, but also only pay the low income.

Macroeconomic Development

The downside of the above is obviously that those countries would theoretically never pick up. However if we help to grow then that growth would feed also the increase in income and that is how most healthy economies grew over all.

Education

The only area where this model is not working too well is when education from Blue zone countries need to be made in yellow zone countries. There is nothing to discount and therefor an uneven play – but that must be considered an investment and maybe one that can be sponsored by the yellow country governments?

Love to get your thoughts

Unique economic development programme from a private initiative – planning to create 2 Million jobs

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European business owners and managers build economy stimulation programme

Unique economic development programme from a private initiative – planning to create 2 Million jobs

Private economic initiative aims to help 100,000 European companies to expand across Europe

Continue reading “Unique economic development programme from a private initiative – planning to create 2 Million jobs”

How the alternative growth model works

Small and medium size businesses with more than 25 Employees have an enormous opportunity to expand across Europe. There are probably more high quality product producers in Europe than anywhere else in the world. We aim to help be known in a world that is more and more entering their markets and competing with them.

Business expansion was risky and very expensive.

Business owners who left “the old world” as Europe is often times called know and learned how to compete on a global scale. I am one of them. While that experience is certainly helpful it is actually not what it takes to make a big move. Modern technology, a hyper connected business world, experience with globalization and modern marketing techniques – all together – allow to make a significant change, drastically reduce expansion cost and decrease the potential failure rate. Continue reading “How the alternative growth model works”

Privacy Problem Social Media

Privacy is a big challenge when it comes to Social Media. The privacy policies seem to be difficult and actually not helping a lot to protect the privacy of the individual participants in those networks. In particular those who just now get on the band wagon of social networking often times hear about privacy issues of Facebook or Google and other platforms.

 

5 concepts to eradicate privacy issues Continue reading “Privacy Problem Social Media”

Global 500 insights

Things go well in Europe.

The fastest growing business in the world: Baden Wuertembergische Landesbank. The bank in Stuttgart in southern Germany jumped from position 128 straight to no.1 in the Global 500. And right after an Arabian and a Chinese company Spanish Construction company ACS is the No.4 in the world and the fastest growing construction business world wide!!! International Airline Group in the UK, a newcomer to the global 500, is the fastest growing Airline business in the world and No.7 in the Global 500 growth leaders. OMV Austria is one of the fastest growing gas station businesses and No.19 in the Global 500 growth list! On the global 500 list of most profitable companies, Dutch Shell made it to No.4 and to No.1 in the Global 500 biggest Companies!!! VW boost profits to staggering $21 Billion and makes it the most profitable automobile manufacturer in the world and No. 13 in the most profitable businesses of all.

Both, the biggest and the fastest growing business in the world are from Europe. Congratulations Europe.

Now – not all is that well. Over 50% of the “exits” – meaning companies that were kicked out of the top 500 – were European companies. One reason is that Chinese companies move fast into the top 500 and only 7% of the newcomer are from Europe. In other words European businesses need to prepare themselves better than ever to keep up with global competition.

The DSEU will keep providing global and European business updates from a Pan European perspective. Flexing the European strength is one of the many tasks we see ahead of us.