The Seven Secrets of Germany ─ Economic Resilience in an Era of Global Turbulence

German economic performance has astonished the world. At the turn of the century, Germany had been written off as the sick man of Europe. No more. Even as most of its European neighbors and OECD trading partners have struggled in the face of a turbulent global economy, the German economy has thrived.

How does Germany do it? What is the secret? In The Seven Secrets of Germany, authors David Audretsch and Erik Lehmann answer these very questions. This book reveals, explains, and analyzes seven key aspects of Germany, its economy, and its society that have provided the nation with considerable buoyance in an era of global turbulence. These seven features range from the key and strategic role played by small firms to world leadership in its skilled and trained labor force, an ability to harness global opportunities through leveraging local resources, public infrastructure, the capacity to deal with change and confront challenges in a flexible manner, and the emergence of a remarkably positive identity and image.

The Seven Secrets of Germany have insulated the country from long-term economic deterioration and enabled it to take advantage of the opportunities afforded from globalization rather than succumbing as a victim to globalization. This insights can be instructive to other countries and refute the defeatist view that globalization leads to an inevitable deterioration of the standard of living, quality of life, and degree of economic prosperity.

David Audretsch is a Distinguished Professor and Ameritech Chair of Economic Development at Indiana University, where he is also serves as Director of the Institute for Development Strategies. He also is an Honorary Professor of Industrial Economics and Entrepreneurship at the WHU-Otto Beisheim School of Management in Germany and a Research Fellow of the Centre for Economic Policy Research in London. Audretsch's research is focused on the links between entrepreneurship, government policy, innovation, economic development and global competitiveness. He is co-founder and co-editor of Small Business Economics: An Entrepreneurship Journal. He is a member of the Advisory Board to a number of international research and policy institutes, including Chair of the the Deutsches Institut fuer Wirtschaftsforschung Berlin (German Institute for Economic Analysis Berlin), Chair of the Stifterverband fuer die Deutsche Wissenschaft (Foundation for the Promotion of German Science), New York Academy of Sciences, the Swedish Entrepreneurship Forum, and the Jackstadt Centre for Entrepreneurship in Wuppertal, Germany.

Erik E. Lehmann is a Full Professor of Management and Organization at Augsburg University, Germany and Director of the Program Global Business Managemen and Dean of Student Affairs. He received his doctoral degree 1999 from Rostock University and his habilitation (venia legendi) from Konstanz University in 2005. From 2004-2005 he joined the Max Planck Institute (Jena) as an assistant director. Together with Silvio Vismara (University of Bergamo/Italy) he directs the CISAlpino Institute for Comparative Studies in Europe (CCSE). Lehmann's research is focused on the links between corporate governance in family and entrepreneurial firms, innovation, public policy, education and innovation systems, financial constraints and regional and global competition.