Denmark in brief
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Shared Services Centres (SSC)
• Denmark offers excellent conditions for setting up SSCs and has become a natural choice for SSCs in the Nordic Region • Competitive real estate and salary costs • Access to highly qualified human resources • One of the world’s most flexible labour markets
So do as Bayer Nordic did, choose Denmark for your shared services centre. ht tp://borsen.dk/finans/nyhed/118798/
Production
• The Danish production industry is dominated by small or medium-sized niche productions • High technical standard • The trend in the Danish production industries is an increase in the high-tech, know-how intensive sectors like bio- and medico technology, ICT and Renewable Energy
So do as DNP did, choose Denmark for your high-tech production facility. Invest in Denmark’s Benchmark Service
Invest in Denmark has developed a benchmarking tool for corporate HQ location, which in a few seconds can benchmark Denmark against a large number of countries on all criteria essential to decision makers. The benchmarking is based on a database of accessible statistics from acknowledged sources such as IMD and the World Economic Forum. The information and statistics in the database are concentrated in a spreadsheet comprising data from 37 cities in 21 countries. A large number of factors, both regarding cost and quality, can be directly compared between the countries – selected from among all the criteria that a company needs to consider when choosing a location. Benchmarking service – fast and free of charge
• Short presentation of the benchmark tool • Discussion about company objectives and needs • Input in regard to staff required, office space, priorities, etc. • Selection of locations to benchmarkResult: An overview of the best locations for your European Headquarters
Whether your company considers to relocate, consolidate, set up new production facilities, is on the lookout for new innovation partners or other strategic business solutions in Europe, Invest in Denmark is a good place to begin. We provide customised information and services free of charge and in full confidentiality.
Invest in Denmark 2, Asiatisk Plads DK-1448 Copenhagen K Tel. +45 33 92 11 16 Fax +45 33 92 07 17
The information stated in this fact sheet may contain errors or omissions. Invest in Denmark and our co-operation partners disclaim any and all liability for any loss or damage caused by such errors or omissions.
Facts... October 2007
D ENMARK i n b r i e f Looking for the best business environment in the world? Looking for a strong balance between costs and quality? Looking for the ideal European location? Have a look at Denmark!
According to the Economist Intelligence Unit 2006 & 2007, Denmark is the optimal location for business and investment activities. So as one of the most competitive countries in the world with a strong and solid economy, Denmark is the ideal environment to locate and consolidate business activities.
Top 5 Reasons for choosing Denmark
• A natural gateway to the Scandinavian countries and the Baltic area. Copenhagen Airport is the main hub in Northern Europe and Europe’s most efficient airport; a high quality motorway network means swift and easy access to all markets in the Northern European region • One of the world’s top 3 flexible labour markets (IMD 2007)
• One of the most advanced telecommuni- cation infrastructures in Europe with world leading use of PC, Internet and Broadband • A company tax rate of 25%, and expatriates can benefit from a special tax regime • A well-educated population with a high proportion of university graduates and excellent language skills
Facts about Denmark
• Area 43,095 sqkm (excl. the Faroe Islands and Greenland) • Currency 1 krone (DKK) = 100 øre • Exchange rates 537 DKK per 100 US dollar (October, 2007) • Population 5.5 million
• GDP per capita (PPP) USD 34,989 (2007) • GDP real growth rate (2007) 3.2% • Capital city Copenhagen 1.8 million inhabitants • Labour force 2.9 mio. • Unemployment rate 3.3%
Source: IMD 2007
Denmark in Brief
Infrastructure
Denmark has a well-developed network of motorways. This high-quality network means swift and easy access to all markets in the Northern European region. Through the opening of the Øresund bridge in July 2000, the only bridge in the world connecting two countries, Denmark is now the gateway to the Scandinavian countries, and the Baltic area. There is direct access from Copenhagen to the city of Malmø in Sweden, either by train or car via the Øresund bridge. The train ride takes only 20 minutes. See also the Øresund Region factsheet at www.investindk.com. A small country with four international airports…
Copenhagen Airport is the main hub in Northern Europe. It is the Scandinavian Airline System’s principal airport and it has been retained by DHL as its Northern European hub. In 2005, the Air Transport Research Society named Copenhagen Airport the best airport in Europe. The airport is located only 8 km from the city centre, and Copenhagen Central Station can be reached in 15 minutes. 57 airlines operate from the airport and serve altogether 132 destinations. Besides Copenhagen, Denmark has three other international airports, Aarhus, Aalborg, and Billund, all located in the peninsula of Jutland. Highly developed ICT infrastructure…
Denmark has one of the most advanced telecommunication infrastructures in Europe, and the network is fully digitalized. Denmark’s penetration of mobile telephone subscriptions is ahead of the average European level. Denmark is ranked on top in regard to penetration rates for PCs and household Internet (broadband) access. Denmark is in the global Top 3 when counting computers per capita, Internet users and broadband subscribers (IMD 2007). Framework Conditions
Taxation
Denmark has a favourable tax climate thanks to a corporate tax rate of 25%, an extensive network of tax treaties and attractive rules for expatriates. Taxation obligations for physical goods ordered via the Internet, as with any other transaction, require payment of VAT (25%) and, if the goods are imported into the EU, import duties. Europe’s most flexible labour market
Danish workforce is among the most productive in Europe, and no restrictions apply regarding overtime work which will allow companies to operate 24 hours a day, 365 days a year. Contrary to most European countries, basic practices in the Danish labour market are mainly founded on collective agreements between the employers’ and the employees’ representative organisations, thus ensuring a high degree of consensus in the labour market. Most of the rules for working conditions are negotiated at company level in accordance with each company’s specific needs. Together, employers and employees reach mutually binding agreements on labour issues, and as a result, Denmark has a low frequency of strikes. In Denmark, most people are insured against unemployment and thereby guaranteed a high level of social security, which results in a relatively high degree of labour market flexibility. Flexicurity
Compared to other European countries the Danish rules for termination of contracts are very liberal.
Denmark in brief
Provided that the legal and agreed notices are respected, the employer is entitled to dismiss skilled as well as unskilled workers, at any time without incurring costs. This makes it easier for an individual business to adjust the size of its workforce in Denmark, compared to other European locations. Labour qualifications & education
The excellent reputation of the Danish labour force can to a large extent be ascribed to the traditional awareness in Denmark of the importance of education. The general education system enjoys high priority and receives substantial public funding. The result is a well educated population with a high proportion of university graduates. Great emphasis is placed on lifelong access to education, and Denmark is particularly noted for producing highly skilled technicians and engineers. Today 96% of young people complete a secondary education programme, and 35% complete a higher education. In addition, great emphasis is placed on providing further education to the proportion of the current workforce who was educated only at elementary school level. This is one of the reasons why Danish businesses can maintain their competitiveness at a high level. Language skills
Denmark’s international outlook is reflected in the fact that the population commands excellent language skills, English being considered a natural second language. Cross-border communication in Scandinavia is aided by the fact that Danes, Norwegians and Swedes are highly adept at understanding each other’s languages. Among the younger generations especially, it is common to be skilled in several European languages, including German, French and Spanish. Best business solutions Headquarters
• Denmark is the world’s most advantageous country in which to locate a business seen from a five year investment perspective 2007 - 2011 (EIU 2006 & 2007) • Contributing to Denmark’s top score is the flexibility of the Danish labour market – top 3 in the world (IMD 2007) • The highly educated workforce and the transparency of framework for conducting business, makes Denmark the best choice for business activities in the Nordic region
So do as Max Mara did, choose Denmark for your regional headquarter. Contact Centres
• Cost efficient contact centre activities • A sustained high level of customer service • People with the right combination of skills
So do as Dell did, choose Denmark for your regional contact centre. Distribution Centres
• Ideal geographical location at the gateway of Northern Europe • Great opportunities for cost and quality conscious companies • Fast access to most markets in Scandinavia, the Baltic Area & Northern Europe • Cover a population of more than 100 million Europeans
So do as Sony did, choose Denmark for your distribution centre.