France Political Environemnt

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Political Environment

Frances political environment varied from a socialist supported government in the past with policies of nationalization and control of the economy through to a more capitalistic government that encourages a free market based system.. The major aims of the French government policies are; Growth in competitiveness within industries, Adaptation and integration to the European markets, a preparation to confront increased competition, prioritization of education and employee training and research and development (Waterhouse, 1997).

French law of 26 July 1996 opened up the telecommunications sector to full competition from 1 January 1998. This law provides for telecommunication activities to be carried out freely. Regulation by an independent administrative authority (Telecommunication Regulatory Authority) insures the application of all legal, economic and technical arrangements (Bonnet, 2001).

Government initiative in 1998 launched to increase the adoption of ICT as a government priority. The (PAGSI) initiative," to prepare the entry of France into the Information Society" (Stephanie Hutchison, 2002), the program consisted of 218 measures that addressed six key areas of ICT development – education, culture, business, local technological innovation, government services and regulation.

Over the years France has recognized the importance of economic integration with Europe and at present is part of the European Union. The French government still has considerable control in the economy, especially within industries such as aeronautics, defence, automobiles, and telecommunication, ‘Currently the government's role in the economic sphere is much less than before, especially because of the requirements of the European Union (EU)' (In, 2007).

Prime Minister jean-Pierre Raffarin ‘the champion of free enterprise and decentralization' (Khon, 2003), a popular government figure head among business owners and managers, Raffarin's government had...
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