Business Dynamics: France

January 2022

France ranked among the top 35 countries in the Ease of Doing Business Index 2020, with quality infrastructure, strong innovation capabilities and trading conditions. Nevertheless, the country struggles with a heavy tax burden and rigid labour market, being reluctant to flex hiring and firing practices. In 2020, annual lending rates in the country stood among the highest regionally, yet France was among global leaders in ICT adoption and R&D investments, providing a competitive edge.

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The Country Briefings series examine market potential, economic and consumer trends impacting each country and how they are set to change.

Each Country Briefing covers one of these topics:

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Business Dynamics: A stable and competitive business environment is vital to operate efficiently and attract inward investment. Businesses can assess these factors alongside challenges such as corruption, political instability and terrorism, also gain insight into business operating environment and make strategic investment decisions. Transport infrastructure, ICT readiness and labour force dynamics will also identify potential issues with a supply chain and the level of workforce skills.

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The briefings cover 103 countries and identify topics of crucial interest to planners, marketers and researchers.

Business Dynamics: France


State measures to reduce the tax burden to improve France’s competitive stance
France maintains its attractiveness for foreign investments
Despite rather complex procedures for obtaining credit, French businesses enjoy good access to financing
France benefits from well-educated and skilled workforce, yet persisting labour market rigidities hinder the business environment
Sound logistics infrastructure and cross-border trading conditions continue to benefit the country
France maintains strong position in terms of ICT adoption and development
Chart 1 Operational and Legal Environment Key Indicators
Chart 2 Index of Economic Freedom Ranking by Pillar in France and Regional Comparison 2021
Chart 3 Index of Economic Freedom Ranking 2016-2021
Chart 4 Index of Economic Freedom: Judicial Effectiveness Pillar Rank in France and Regional Comparison 2017-2021
Chart 5 Index of Economic Freedom: Government Integrity Pillar Rank in France and Regional Comparison 2016-2021
Chart 6 Corruption Perceptions Ranking: France and Regional Comparison 2015-2020
Chart 7 Key Financial and Investment Indicators
Chart 8 Index of Economic Freedom: Property Rights Pillar Rank in France and Regional Comparison 2016-2021
Chart 9 Bank Claims on the Private Sector as % of GDP 2016-2021
Chart 10 Bank Nonperforming Loans to Total Gross Loans 2016-2021
Chart 11 Key Skills and Labour Indicators
Chart 12 Population Aged 15+ with Higher Education 2016-2021
Chart 13 Education Indicators 2021
Chart 14 Number of University Graduates by Programme 2021
Chart 15 Employment by Age 2021
Chart 16 Employment by Gender 2021
Chart 17 Youth Unemployment Rate 2016-2021
Chart 18 Labour Structure Change 2016-2021
Chart 19 Labour Structure Comparison 2021
Chart 20 Self Employed as % of Total Employed Population 2021
Chart 21 Index of Economic Freedom: Labour Pillar Rank in France and Regional Comparison 2016-2021
Chart 22 Wage per Hour in Manufacturing Sector 2016-2021
Chart 23 Labour Market Regulations in France and Regional Comparison 2021
Chart 24 Key Infrastructure Indicators
Chart 25 Logistics Performance Index Scores by Pillar in France and Regional Comparison 2021
Chart 26 Logistics Performance Index Ranking for France and Regional Comparison 2016-2021
Chart 27 Transportation Mode Indicators in France and Regional Comparison
Chart 28 Road Infrastructure 2021
Chart 29 Innovation and Digitalisation Key Indicators
Chart 30 Network Readiness Ranking by Pillar in France and Regional Comparison 2021
Chart 31 Network Readiness Ranking for France and Regional Comparison 2019-2021
Chart 32 Network Readiness Ranking: Technology Pillar for France and Regional Comparison 2019-2021
Chart 33 Intellectual Property: France Compared to Selected Regional Peers 2021
Index of Economic Freedom 2021
Logistics Performance Index (LPI) 2021
Network Readiness Index (NRI) 2021

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