im cia 2
TRANSCRIPT
-
7/31/2019 IM CIA 2
1/9
-
7/31/2019 IM CIA 2
2/9
Political & Legal
Political
The Spanish Constitution was approved by the Spanish parliament on October 31, 1978, ratified
by national referendum on December 6th1978. The Constitution contains the basic principles of
the political system and it is the supreme rule of the Spanish legal system.
Spain is defined by Constitution as a social, democratic and law-abiding country whose
sovereignty belongs to the Spanish people.
The politic form of the Spanish State is the Parliamentary Monarchy. The King is the Head of
State and exercises only the functions expressly attributed to him by the Constitution and the
laws.
The Prime Minister of Spain, known in Spanish politics as the President of the Government of
Spain is the head of Government of Spain. The current office is established under
the Constitution of 1978. The King of Spain nominates a candidate for the presidency that stands
before the Congress of Deputies for a Vote of Confidence in a process known as a Congressional
Investiture, effectively an indirect election of the head of government by the elected
Congressional delegates.
The country is divided in 17 Autonomous Communities, each with its own Parliament and
Government. Even though the Constitution defines Spain as unitary and permanent it also
recognizes and guarantees the principle of autonomy of nationalities and regions. Even though,
Spain is legally a central country, the foreign investor will find the many levels of
administrations in Spain very similar to those on a federal country as the United States.
In the last twenty years Spain has adopted a three-tier government: CENTRAL, REGIONAL,
AND LOCAL. This change has helped move Spain to a more democratic government rather
than the traditional authoritarian style of government. The country of Spain is a constitutional
monarchy.
-
7/31/2019 IM CIA 2
3/9
CENTRAL GOVERNMENT
1. CONSTITUTIONAL MONARCHY Monarch is the head of the state Is the figurehead of International affairs Politically neutral and unaffiliated
2. EXECUTIVE Prime Minister appointed by Monarch with approval of Bicameral Cortes Deputy Prime Minister Cabinet Members
3. BICAMERAL CORTES Lower House
Congress of Deputies 350 Members More Power than the Upper House
Upper House The Senate 259 Members
REGIONAL GOVERNMENT
1. Autonomous Communities 17 self governed Unicameral Regional Parliaments
-
7/31/2019 IM CIA 2
4/9
LOCAL GOVERNMENT
1. Provinces 50 separate Provinces Ensure provision of Municipal Services Coordinate involvement with Local Government, Autonomous Communities and
the State
2. Municipalities
Current King
Name: Juan Carlos I
Reign: 22nd
November 1975-present
Prime Minister
Name: Maiano Rajoy Brey
Reign: 21st
December 2011-present
-
7/31/2019 IM CIA 2
5/9
Legal
Civil law system rooted in Roman Law. Kingdom of Spain is a Parliamentary Monarchy. Spanish Constitution (1978) creates three levels of government: Central, 17
Autonomous Communities and Municipal Governments.
Power is divided between the legislative branch (parliament), executive branch(government) and judicial branch.
Spanish Judicial System
Constitutional Court Supreme Court National High Court Territorial High Courts Provincial High Courts Courts of First Instance Municipal Courts Courts of Peace
Economy
Spains mixed capita list eco nomy is the 13th largest in t he wor ld, the fifth-
largest in Europe and the fourth-largest in the Euro zone, based on nominal GDP
comparisons. It is regarded as the world's 23rd most developed country, among the
countries of very high human development. Until 2008 the economy of Spain had been
regarded as one of the most dynamic within the EU, attracting significant amounts of
foreign investment.
Its per capita income roughly matches that o f Germany and France.
After almost 15 years of above average GDP growth, the Spanish economy
began to slow in late 2007 and entered into a recession in the second quarter
-
7/31/2019 IM CIA 2
6/9
of 2008. GDP contracted by 3.7% in 2009, ending a 16-year growth trend, and
by another 0.1% in 2010, before turning positive in 2011, making Spain the
last major economy to emerge from the global recession.
The reversal in Spain's economic growth reflected a significant decline inconstruction amid an oversupply of housing and falling consumer spending,
while exports actually have begun to grow. Government efforts to boost the
economy through stimulus spending, extended unemployment benefits, and
loan guarantees did not prevent a sharp rise in the unemployment rate, which
rose from a low of about 8% in 2007 to over 20% in 2011. The government
budget deficit worsened from 3.8% of GDP in 2008 to 9.2% of GDP in 2010 .
Spain's large budget deficit and poor economic growth prospects have made it
vulnerable to financial contagion from other highly-indebted euro zone
members despite the government's efforts to cut spending, privatize
industries, and boost compet itiveness through labor market reforms
GDP ( Purchasing Power Parity) : $ 1.432 trillion
GDP (Real Growth Rate): 0.7%
GDP (Per Capita): $ 31,000
GDP- Composition by Sector:
Agriculture: 3.2% Industry: 25.8% Services: 71%
Inflation Rate: 3.1%
Exports: $ 330.6 b illion
Imports: $ 384.6 billion
Reserve of Foreign exchange and Gold : $31.91 billion
-
7/31/2019 IM CIA 2
7/9
Technology
Technology is not the perceived area where Spain has a strong association but
nevertheless Spanish engineers invented the submarine, the autogiro (the precursor of the
helicopter), the cable car, and the chess player, a robot which could be defined inhistorical terms as the first computer.
Today, Spain is the world leader in wind energy production and is one of the most
advanced countries in photovoltaic solar energy.
Its leadership in the fields of air traffic control, telecommunications antennae, armed
forces and airline simulators, automatic maintenance systems, election results control,
etc.
Spanish Institute for Foreign Trade, (ICEX) the agency entrusted with fostering business
internationalization, has recently launched an international promotion campaign with the
slogan Spain, technology for life. Its aim is to link the countrys new technological
capacity to the importance of being able to take advantage of new technologies for the
purpose of improving personal quality of life, something Spain is renowned for.
Distribution System
Distribution has become a key factor in supplying the consumer market. Sales channels to
consumers have developed significantly in the last few years, ranging from traditional
distribution methods, in which wholesalers sell to traditional shops and those shops sell to
the public, to more sophisticated methods, with an increased presence of large
multinational supermarkets, retail stores and central purchasing units.
The major competitors to U.S. exporters and investors in Spain are Western European
firms, although Japanese and Chinese companies have emerged as formidable
competitors as well. Cost, financing terms, and after-sales service play important roles in
a firm's market success. Since Spain joined the EU, member states' exports to Spain have
benefited from lower tariffs than U.S. goods, which remain subject to the EU's Common
External Tariff.
-
7/31/2019 IM CIA 2
8/9
The Spanish market is made up of a number of regional markets and two major hubs,
Madrid and Barcelona. The vast majority of agents, distributors, foreign subsidiaries, and
foreign trade related entities operates in these two hubs or has some type of presence
there. In recent years, the autonomous regions have created their own investment
promotion agencies and are heavily promoting the establishment of foreign firms in their
territories. As a consequence, some foreign firms have successfully isolated their
investment from the major hubs.
Indian Spain Foreign Trade
Year
India's
Exportsto
Spain
India's
Importsfrom
Spain
Total
Trade
Balance
of
Trade
%
Growth
(in US$
mn)
(in
US$mn)
(in US
$ mn)
(in US
$ mn)
2008 3,454.03 1,136.20 4590.3 2317.7 15.2
2009 2,544.70 1136.8 3681.6 1408 -20
2010 3356.19 1570.41 4926.6 1785.8 33.81
-
7/31/2019 IM CIA 2
9/9
Bibliography
https://www.cia.gov/library/publications/the-world-factbook/geos/sp.html http://www.globaltrade.net/f/business/text/Spain/Selling-Distribution-Networks-
Distribution-and-Sales-Channels-in-Spain.html
http://www.leadingbrandsofspain.com/spain/tech/ http://en.wikipedia.org/wiki/Politics_of_Spain
https://www.cia.gov/library/publications/the-world-factbook/geos/sp.htmlhttps://www.cia.gov/library/publications/the-world-factbook/geos/sp.htmlhttp://www.globaltrade.net/f/business/text/Spain/Selling-Distribution-Networks-Distribution-and-Sales-Channels-in-Spain.htmlhttp://www.globaltrade.net/f/business/text/Spain/Selling-Distribution-Networks-Distribution-and-Sales-Channels-in-Spain.htmlhttp://www.globaltrade.net/f/business/text/Spain/Selling-Distribution-Networks-Distribution-and-Sales-Channels-in-Spain.htmlhttp://www.globaltrade.net/f/business/text/Spain/Selling-Distribution-Networks-Distribution-and-Sales-Channels-in-Spain.htmlhttp://www.globaltrade.net/f/business/text/Spain/Selling-Distribution-Networks-Distribution-and-Sales-Channels-in-Spain.htmlhttp://www.leadingbrandsofspain.com/spain/tech/http://www.leadingbrandsofspain.com/spain/tech/http://en.wikipedia.org/wiki/Politics_of_Spainhttp://en.wikipedia.org/wiki/Politics_of_Spainhttp://en.wikipedia.org/wiki/Politics_of_Spainhttp://www.leadingbrandsofspain.com/spain/tech/http://www.globaltrade.net/f/business/text/Spain/Selling-Distribution-Networks-Distribution-and-Sales-Channels-in-Spain.htmlhttp://www.globaltrade.net/f/business/text/Spain/Selling-Distribution-Networks-Distribution-and-Sales-Channels-in-Spain.htmlhttps://www.cia.gov/library/publications/the-world-factbook/geos/sp.html