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Business Business Profile The public sector is still a dominant force in the Greek economy, accounting for about half GDP, despite increasing deregulation and privatisation. GDP increased by 4.0% in 2001, compared to a 4.3% increase in 2000. Unemployment in Greece stood at 10.3% (2001), showing a reasonable decrease on the 2000 figure of 11.1%, while unemployment in Athens remained the same at around 10%. The country receives substantial funding from the European Union (equivalent to more than 4% GDP per annum). Greece is a key link to the emerging markets in the Balkans and the eastern Mediterranean. As the only EU state in this part of Europe, the country is regarded as a zone of relative economic and political stability within a particularly volatile region. Greece has the largest merchant marine fleet in the world, with an 18% share of international commercial tonnage. Greater Athens, including the port of Piraeus, is a major hub for international transport and trade – a role that has been enhanced by the opening of Eleftherios Venizelo, the new international airport. The metropolitan area also accounts for most of the country’s industry: tourism, textiles, machine tools and shipping are among the key sectors. Outside Athens, the agricultural sector continues to be a major employer (20% – Eurostat), although its contribution to national GDP is declining. Tourism is the country’s largest industry, with turnover estimated at $10 billion, accounting for about 8.5% of GDP. Since 1987, the Athens Stock Exchange (website: www.ase.gr) has become one of the largest of 25 emerging stock exchanges. The ‘Top 5’ companies in 2000 were Hellenic Telecommunications Organisation, National Bank of Greece, EFG Eurobank Ergasias, Coca-Cola HBC and Cosmote Mobile Telecommunications. The award of the 2004 Olympic Games has prompted a surge of investment. Athens is experiencing a building boom and the construction industry is projected to be producing annual revenues of nine billion Euros (or 20% of GDP) by 2004. Major projects include the Athens metro extension, the building of new sports venues around town and the creation of a further 4000 hotel rooms to accommodate the influx of visitors. Greece’s admission to the single European currency in January 2002 was another boost to the country’s economy. Austerity measures introduced to meet the EMU's (European Monetary Union) requirements have resulted in a downward rate of inflation –3.4% in 2001, compared to an average of 3.9% between 1997 and 2000. The Athens Chamber of Commerce and Industry, Akademias 7, just off Syntagma Square (tel: 210 360 2411), gives information about business opportunities in the city, while the British-Hellenic Chamber of Commerce, 25 Vassilissis Sofias (tel: 210 721 0361; website: www.bhcc.gr), can provide British people with information about doing business in Greece. Business Etiquette The working day in Athens is fairly flexible. In general, offices are open 0830-1630, although shops and banks may have different hours – smaller organisations still close for a siesta in the afternoon during summer. Punctuality is expected for meetings, although a Greek host may keep a business visitor waiting for a short time. It is usual to shake hands to greet a business contact but embracing and kissing colleagues is not uncommon, although not upon first acquaintance. Business cards are exchanged after introductions have been made. Business attire is relatively formal – men are expected to wear suits and ties and women should wear suits. More casual wear is sometimes acceptable during the summer but local businesspeople tend to dress conservatively. Hospitality is an important part of Greek culture and visiting businesspeople may well be taken to lunch. Greeks do not drink excessively but they will appreciate it if foreigners show enthusiasm to sample Greek wines and spirits. Almost everyone smokes, so visitors should not be surprised by endless offers of cigarettes. Gifts from abroad are well received but not expected, unless a visitor is invited to a colleague’s home, in which case a gift of wine, sweets or flowers is usual. |
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