ANALYSIS OF THE EXTERNAL ENVIRONMENT IN LITHUANIA
In this research paper will be analyzed three of the external environment factors which create challenges and opportunities for business in Lithuania. It is demographic, economic, and technological factors. There will be discussed what is situation now, what causes that, and what are the possibilities for business in that kind of environment.
Lithuania is one of the Baltic countries which is by the Baltic Sea and has borders with Latvia, Belarus, Poland and Russia. One of the most important factors of the external environment in Lithuania is demography. During the Soviet Union times, a lot of Lithuanians emigrated to the west. It caused a great loss of talented and intelligent people such as writers. By that time in Lithuania were living over three million people which are incredible at this time. According Indexmundi.com at 2011 Lithuania’s population was over three million. Now, when migration in Lithuania is one of the biggest problems, population is decreasing rapidly. Lithuania’s department of Statistics says that “during the first eight months of 2004, the country's population decreased by 11.8 thousand, largely due to continuing high rate of emigration. During this period 8,668 persons left for other countries, 1,769 more than during the same period last year”. It caused crisis which has started in 2009. A lot of Lithuania’s citizens are moving to other countries to get better life. This country is losing the best workers because here they cannot get good job even they graduated university. Employers want workers with experience, but they do not give a chance for students to practice. They want employees with two or more years experience in job they are offering. So this is one of the reasons why young people are emigrating. Other cause is that because of high taxes and low wages people cannot pay for services such as heating or hot water. So they are forced to leave their home country...
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