The Automotive Sector in Italy

3371 WordsJan 27, 201814 Pages
The Automotive Sector in Italy I. Introduction: Sector Analysis Part A: Out of all the countries I have visited in my life, Italy is definitely my favorite. Italy is located in southern Europe bordering countries such as France, Switzerland, Austria, and Slovenia. With a population of over sixty million people, Italy has a capitalist market with high GDP per capita and a well-developed infrastructure. According to the International Monetary Fund, it is the eighth largest economy in the entire world and third biggest in Europe. After analyzing the National Institute of Statistics (ISTAT), the GDP of Italy expanded by 10% in the fourth quarter of last year. From 1960-2013, the GDP growth rate averaged 63% per year. Their main industrial base is driven by producing high-quality consumer goods. The main sectors in Italy are tourism, iron and steel, machinery, textiles, food processing, shoes, clothing (fashion), and one of the biggest being the auto sector. Italy joined the European Union in 1952, and between then and now, their country has gone through growth rates well above 4%. However, after 1992, Italy’s expansion rates fell below the European Union average. Ever since then, Italy’s government has been trying to revive their economy by increasing the amount of public spending. In result, the public debt and budget deficit have attained unsustainable levels and the country has recently gone through a tough recession. Now in 2014, Italy has actually returned to growth after
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