Introduction
France is one of the nations of the world which are known to have a rich history in the socio-economic sector. The last 30 years have seen the nation stabilize in its economic structures to become one of the major world economies. The success of the nation’s economy is based on the four factors which determine the current world economy which include the business strategies, government policies, economic theories and the organizational structures (Hill, 2008). These factors have affected the economic development in the nation as described below.
Analysis
The government has played a major role to propel France to the current levels of economic success (Economy Watch, 2010). The Sarkozy government put in place measures and policies which aimed at privatizing firms that were under the state’s control. This ensured the stability of the industrial sector, which played a major role in ensuring that France withstood the financial crisis of 2008 which affected most of the economies in Europe.
The business strategies in the country are also quite sound. As noted by Hephaestus (2011), France has one of the largest trading activities in the world. It provides a good trade environment which favors the import and export of numerous raw materials such as electronics and automobiles. For instance, the exports in 2010 were about $456.8 billion dollars while the imports added up to $532.2 billion (Economy Watch, 2010). These figures are enough evidence that the country has the right infrastructure to succeed in the current economic times.
The organizational structures in the country also play a vital role to the success of the country’s economy. According to the Economy Watch (2010), the country is streamlined to take advantage of every available opportunity at making economic progress, no matter the magnitude. This has made the nation to be leading in the WTO ratings, standing at number 6 in terms of exporting and number 5 in terms of exportation of manufactured goods. This means that the structures are organized in such a manner that the country does not lose out on any chance of getting advancement in the economic sense.
The economies theories are, by far, the major determinant of how well a country does in terms of economy (Hill, 2008). In this arena, France still does a commendable job. The country has, over the years, been trying ways and means of making sure that the economic infrastructure is sound and streamlined for development. This has bore fruit since the nation was ranked as the 3rd country in the 2008 OECD (Organization for Economic Co-operation and development) rating for countries. The economy of the country has also grown over the years to become the 5th largest in the world after the US, China, Japan and Germany (Economy Watch, 2010). This shows that the country is doing well economically, given that it had outdone almost all European nations except Germany.
Conclusion
This essay has looked at the economic development of France for the last 30 years. It has been observed that the nation has observed sound economic structures and theories, has had good governance, structural organization and sound trade strategies. It is, therefore, not a wonder that it has emerged among the best economies in the world. This is enough evidence that a country’s economic development is a function of the four main factors determining current modern economy as discussed above.
References
Economy Watch Content. (2008). France Economy. Retrieved on 25th Oct. 2012 from http://www.economywatch.com/world_economy/france/
Hephaestus. (2011). Articles on Economy of France. Thousand Oaks, NJ: Hephaestus Books.
Hill, C. W. (2008). Global Business Today (7th Ed). New York, NY: McGraw-Hill.
