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    ITALY

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    INTRODUCTION

    .taly became a nation state in 1861.orld's most celebrated tourist destination

    .orld's greatest hoard of art treasures.delicious and authentic national cuisine

    .et Italy is not perfect Corruption still.eaches to the highest levels

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    GEOGRAPHY

    , ,taly is a peninsula shaped rather like a boot.utting out into the Mediterranean Sea.uch of Italy is covered by mountains

    :taly includes two large islands Sicily and.ardinia

    :here are also a few active volcanoes in Italy, ;tna the largest active volcano in Europe; ,tromboli and Vesuvius the only active volcano on

    .he mainland of Europe

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    GEOGRAPHY :

    STATISTICS

    : , , , ,atural resources Mercury potash marble sulfur, , ,windling natural gas and crude oil reserves fish coalrable landand use

    : %rable land 31: %ermanent crops 10

    : %ermanent pastures 15: %orests and woodland 23

    : %ther 21 ,rrigated land 27 100 km,atural hazards Regional risks include landslides, , , ,udflows avalanches earthquakes volcanic eruptions;looding land subsidence in Venice

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    DIVIDE

    .orth Italy is close to the rest of Europe It can selloods to these countries whereas South Italy is far away

    .rom the rest of Europeorth Italy has lots of people a large population.hereas South Italy is less densely populated

    orth Italy has very warm weather with some rain whereas.n South Italy is hot and dry

    any farmers in South Italy cannot afford to borrowoney to improve their farms but whereas in farmers in

    .orth Italy can afford the best machinery

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    .oads in North Italy are very good They can easily get. .o other areas But Roads in South Italy are very poor

    he North has lots of flat land available for factories.ut most of the land in the South is hilly

    eople in South Italy are not well educated as compare.o North Italy

    ampant unemployment and presence of Mafia and slowrowth in South Italy are the major problem faced by the

    .ntire Italy as whole

    NORTH SOUTH ITALY

    DIVIDE

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    LANGUAGE

    , %talian is the official language of Italy and 93 of.opulation are native Italian speakers

    %round 50 of population speak a regional dialect as.other tongue

    . % ,lbanian is spoken by 0 2 of the population mainly in, .he southern part of Italy as too are Croatian and Greek

    , ,atalan is spoken in one city Alghero on the island of, . % .ardinia by around 0 07 of the population On the rest, ,f the island Sardinian is spoken by over 1m which comes

    . % .o 1 7 of the Italian population

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    ECONOMY

    -t ranks as the world's sixth largest industrial( - )conomy and belongs to the Group of Eight G 8;ndustrialized nations it is a member of the.uropean Union and the OECDajor Industries: ,extile production clothing and, , ,ashion chemicals cars iron

    Trade : , ,taly exports metals textiles and clothing, ,roduction machinery motor vehicles, , .ransportation equipment chemicals wines and oil, ,mports include industrial machinery chemicals, ,etals food and agricultural products and.r an sp or ta ti on e qu ip me nt

    ivision of Labor: here is a great hierarchy of.restige according to one's occupation

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    ECONOMY

    uality of life index : taly has a very high,tandard of living world 8 th ighest quality of life.ndexourism : taly is the fifth major touristestination and the fourth highest tourist earner in.he world

    DP growth rate : - %he cities of Milan nd Rome ajor European.inancial and political centers

    Naples s characterized by high levels of.nemployment and organized crime

    CULTURE ITALIAN FAMILY

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    CULTURE : ITALIAN FAMILY

    VALUES

    .he family as epicenteroint and Nuclear family

    he family as support system

    CULTURE ITALIAN

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    CULTURE: ITALIAN

    STYLE

    .ppearances matter in Italyhe concept of 'bella figura' or good image is

    .mportant to Italians.lothes are important to Italians

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    CULTURE: CATHOLICISM

    .he primary religion in Italy is Roman Catholic. % , . %atholics make up 87 8 of the population with 36 8

    . %onsidering themselves practicing Catholics and 30 8.ttending Church every Sunday

    ccording to the most recent urobaro meter Poll 2008 :%4 of Italian citizens responded that he y beli ev e ther e i s

    God

    %6 answered that he y b elie ve th ere is some sort of sp iritr li fe fo rc e

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    he following demographic statistics are from the CIA, .orld Fact book unless otherwise indicated

    o pu la ti on e st im at e, , ( , )1 020 000 I stat January 1st 2009

    ge structure- :1 4 y ears . % ( , , ; , , )4 03 male 4 302 487 female 4 064 556

    ( )008- :5 64 years . % ( , , ; , , )5 93 male 19 647 451 female 19 658 810

    ( )008:5 years a nd ov er . % ( , , ;0 04 male 4 999 809 female

    DEMOGRAPHICS

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    opulation growth rate- . % ( .)047 2009 est

    irth rate. / , ( .)18 births 1 000 population 2009 est

    eath rate. / , ( .)0 72 deaths 1 000 population July 2009 est

    DEMOGRAPHICS

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    ender ratio:t bi rt h . ( )/07 male s female

    :n d er 15 ye a rs . ( )/06 male s female- :5 64 ye ar s . ( )/02 male s female

    :5 ye ar s a nd ov e r . ( )/72 male s female o t a l:o p u l a t i o n . ( )/ ( .)96 male s female 2007est

    DEMOGRAPHICS

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    DEMOGRAPHICS

    his is a scheme of the religious composition of( , ):talian population 2008 estimatedChristians : , , ( . %)3 550 000 91 2

    Catholics : , , ( . %)1 600 000 87 8o ma n Catho lics: , , ( . %)1 500 000 87 6

    astern Rite Catholics : , ( . %)00 000 0 2- : , ( . %)talo Albanians 60 000 0 1

    Others( - , ,omanian Catholics Ukrainian Greek Catholics, .) : , ( . %)rmenian Catholics etc 40 000 0 07

    CUSTOMS MEETING

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    CUSTOMS:MEETING

    ETIQUETTES

    Greetings

    .talians are guided by first impressionsany Italians use calling cards in social

    .ituations

    CUSTOMS GIFT GIVING

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    CUSTOMS: GIFT GIVING

    ETIQUETTES

    .o not give chrysanthemums .o not give red flowers

    .o not give yellow flowers ,f you bring wine make sure it is a good.intage .o not wrap gifts in black .o not wrap gifts in purple

    .ifts are usually opened when received

    CUSTOMS DININNG

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    CUSTOMS: DININNG

    ETIQUETTE

    :f invited to an Italian house ,f an invitation says the dress is informal wear, . . ,tylish clothes that are still rather formal i e

    acket and tie for men and an elegant dress for.omen .unctuality is not mandatory , -f you are invited to a meal bring gift wrapped.uch as wine or chocolates

    f you are invited for dinner and want to send, .lowers have them delivered that day

    :

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    :MANNERS

    .emain standing until invited to sit down You may be.hown to a particular seat.able manners are Continental

    .ollow the lead of the hostess;o not keep your hands in your lap during the meal

    , .owever do not rest your elbows on the table eithert is acceptable to leave a small amount of food on your.late

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    FOODS OF ITALIANS

    talians are known throughout the world for, , .izza pasta and tomato sauce

    talians are known for their use of herbs in.ooking

    heese also plays an important role in Italian.uisine

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    LABOUR LAWS

    . Is it a legal requirement thatmployees must receive an employmentontract ? ,o a contract can be oral or in.riting

    . What factors constitute a fair. .ismissal i e legally justifiableeasons to terminate employmentithout the need to pay compensation?substantial reason or breach oferms that prevents the continuance of.he contract The reason has to be,elated to personal facts whichreaches the trust of the employment.elationship

    . What is good practice with regard toismissal procedures to minimize theisk of claims for unfair dismissal?-otice must be provided employee has-5 days to ask for a reason employerust reply in 7 days or the notice is.oid. If an employee is dismissed unfairly

    hat is the financial range ofompensation that can be made toemployees?f a dismissal is judged as unlawful

    (n employer of more than 15 employeesust reinstate an employee within.hree days Alternatively the employeean choose compensation equal to 15.onth's wages If the employer has les,han 16 employees reinstatement or.ompensation of between 2 5 to 6.onth's wages is possible

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    LABOUR LAWS

    . Do employees have the right to beembers of a trade union? Yes

    . Is there any legal requirement forn employer to contribute to a pensiono r em plo ye es ?,es to the national pension system( % )0 financial responsibility

    . What are standard maternity rights? pregnant employee cannot beismissed in the year after the birth. :f the child Maternity leave from twoonths before the expected birth to- %hree months after the birth 80 of.alary paid by the employer

    . What are parental leave rights( )ncluding paternity leave ? ,ntil the child is one year old theother has the right to two daily-est periods of one hour each fully.aid Until the child is eight year,old the parents can take up to 10,onths leave each of them not more,han six months but if the father,akes at least three months 11 months.eave is possible Until the child is, % ,hree eligible to 30 salary up to

    .ix months maximum

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    LABOUR LAWS

    . When are employees eligible fore du nd an cy p ay me nt s? hen employment is terminated as a, - ,esult of crisis re organizationonversion or reconstruction of a .usiness with more than 15 employees.0 What are the statutory redundancya ym en t l im it s? % ,0 of the monthly salary but not .xceeding 880 per month.1 Can existing employees beismissed if you buy a business withemployees?

    , .o not within EU law

    .2 Any other general legislation? ( ),he 'Employees' Statute' 1970egulations rights of the employees. . ,g trade union activity right of .e in st ate me nt if un la wfu ll y d ism is se dther legislation concerns sexual,i sc ri mi na ti on e mp lo ym en t p ro ce du re sn relation to strikes and redundancy.unds

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    POLITICAL LIFE

    Government

    eadership and political officialocial problems and control

    ilitary a ctivi ty

    HUMAN RESOURCE

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    HUMAN RESOURCE

    POLICIES

    .he average employee in the Italy works for 38 5 hours, % er week 18 of the Italy s working population works- .art time

    . % . %4 8 are on temporary contracts and 5 1 of employees.tarted their job in the last 3 months

    . % -2 9 of the population aged 15 64 have undergone%ertiary education and almost 10 of the Italy population

    - .ged 25 64 take part in lifelong learning activities. %taly citizens spend 12 2 of GDP on pensions and their

    . .verage retirement age is 59 9 years

    STRATEGIES CHECKLIST

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    STRATEGIES CHECKLIST:

    FIAT

    :OST SAVINGeduction of operational costs

    ontrol of overheadsimitation of future liabilities

    ain sharing

    STRATEGIES CHECKLIST

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    STRATEGIES CHECKLIST:

    FIAT

    :P ER AT IO NA L F LE XI BI LI TYob flexibilityay and benefit flexibility

    p er at io na l f le xi bi li ty

    HR POLICIES AND

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    :UMAN CAPITALncouragement of lifelong learning

    -etention of know howromotion of equal opportunitiesromotion of health and fitness

    HR POLICIES AND

    STRATEGIES CHECKLIST

    STRATEGIES CHECKLIST

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    :E RF OR MA NC E E FF EC TI VE NE SSse of performance management methods

    mprovement of recruitment processeduction of absenteeismrevention of fraud and theft

    STRATEGIES CHECKLIST:

    FIAT

    STRATEGIES CHECKLIST:

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    STRATEGIES CHECKLIST:

    FIAT

    :ORPO RA TE CU LTURE-amily friendly workplace

    o rp or at e g ov er na nc eLocalization

    m plo yee w el fa re

    STRATEGIES CHECKLIST:

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    STRATEGIES CHECKLIST:

    FIAT

    :EGAL AND ETHICAL COMPLIANCESafety

    Employmentrivacy and security

    e rs on ne l a cc ou nt in gCommunity

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    LABOUR UNION

    ( )talian General Confederation of Labour CGIL( )onfederation of Trade Unions in Italy CISL

    ( )talian Workers Union UIL

    COMPENSATION AND

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    COMPENSATION AND

    REWARDS

    :ERFO RM ANCE RELATED COMPE NS ATIONase Salary-hort Term Incentive

    -ong Term Incentive

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    :ARGET DIALOUGEo strengthen personal performance through targets which

    .an be individually influenced and measured in numbersargets for the Target Dialogue are set using a,ascading approach of corporate team and individual.argets

    ll targets in the Target Dialogue should be consistent.rom Group to Team to Individual

    ll targets in the Target Dialogue should be consistent.rom Group to Team to Individual

    REWARDS

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    BUSINESS ETIQUETTES

    :ELATIONSHIP AND COMMUNICATIONtalians prefer to do business with people they know and.rust

    - - ,talians much prefer face to face contact so it is important.o spend time in Italy developing the relationship.talians are intuitive

    - .etworking can be an almost full time occupation in Italy.ersonal contacts allow people to get ahead

    .talians are extremely expressive communicators They tend to, , , ,e wordy eloquent emotional and demonstrative often using.acial and hand gestures to prove their point

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    BUSINESS ETIQUETTES

    :USINESS MEETING ETIQUETTESppointments are mandatory and should be made in

    ( ) .riting in Italian 2 to 3 weeks in advance(econfirm the meeting by telephone or fax again in

    )talian,any companies are closed in August and if they are

    ,pen many Italians take vacations at this time so it

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    BUSINESS ETIQUETTES

    :USINESS MEETING ETIQUETTES,n the north punctuality is viewed as a virtue and

    .our business associates will most likely be on timehe goal of the initial meeting is to develop aense of respect and trust with your Italian.u si ne ss c ol le ag ue save all your printed material available in both

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    BUSINESS ETIQUETTES

    :U SIN ES S N EG OT IA TI ON, , ,n the north people are direct see time as money and get

    .own to business after only a brief period of social talk ,n the south people take a more leisurely approach to life

    nd want to get to know the people with whom they do.usiness

    llow your Italian business colleagues to set the pace for.our negotiations Follow their lead as to when it is

    .ppropriate to move from social to business discussions

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    :U SIN ES S N EG OT IA TI ON- .talians prefer to do business with high ranking people

    .egotiations are often protracted- .ever use high pressure sales tactics

    ecisions are often based more on how you are viewed by.he other party than on concrete business objectives

    BUSINESS ETIQUETTES

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    BUSINESS CARD

    usiness cards are exchanged after the formal.ntroduction,o demonstrate proper respect for the other personook closely at their business card before putting it.n your card holder

    t is a good idea to have one side of your business.ard translated into Italian,f you have a graduate degree include it on your.usiness card

    .ake sure your title is on your card Italians like.nowing how you fit within your organization

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    :RESENTED BY

    , , ,IVYA ARYA GARGI RAPARIA GAURAV DHANANJAY GINCY VERGHESEND NEHA JHA