Doing business in Italy is very different from doing business in the United States. “Ready to embark on a path of slow but steady economic growth; » Italy, at first glance, appears to be a promising business environment with projected increases in GDP per capita in the coming years, according to Business Monitor International (“Italy Autos Report” 30). However, there are many cultural, administrative, geographic and economic differences that make the business environment very different from that of the United States. Typically dominated by domestic automakers, primarily Fiat SpA, the Italian auto industry does not appear very attractive to new businesses due to high barriers to entry. However, foreign automakers like Ford have managed to enter the Italian market, with vehicles like the Fiesta, focusing on small, fuel-efficient cars. In addition, Italy faces many problems that make it a less attractive place for businesses; such as “low business productivity, insufficient investment in high-tech industries, disadvantageous demographics and labor market. (“Italy Automobile Report” 31) “Although the automobile market in Italy does not show much room for sales growth, as evidenced by a high rate of motorization per capita. In 2009, mainly due to government incentives, the automobile market experienced a more moderate decline in sales than the previous year (fig. 1). According to Business Monitor International, total automobile sales are expected to exceed 2.58 million units by 2014 (“Italy Autos Report” 27). Taking into account Ghemawat's four dimensions: distance; Culture, administration, geography and economics show that while doing business in Italy has costs and risks, it also has benefits. English is taught very early as a secondary language...... middle of article...... both advantages and disadvantages. The current automobile market, mainly dominated by national players due to consumer loyalty towards national brands, shows very little attraction for new entrants. Some foreign automakers, Ford for example, are showing signs of growth in this market. Ford managed to do this by appealing to consumers' desire for small, affordable cars. Works cited: "Italy Autos Report - Q1 2010". Italy Autos Report January 1, 2010: ABI/INFORM Trade & Industry, ProQuest. Internet. February 28, 2014. Italy - Work. Encyclopedia of Nations. February 28, 2014. .Potesta, Sandra. How to do business in Italy. February 2007. February 28, 2014. .Welcome to Italy. February 28. 2014..