The city at the heart of Germany’s economy
In Stuttgart, there’s a mix of global players, booming SMEs and a highly qualified workforce
Few cities across the globe can boast the breadth of industry and diversity that Germany’s sixth largest metropolis offers . It attracts throngs of business travellers year round, whether jetting in for a trade fair featuring the world’s biggest car makers or visiting one of the global corporate giants which call Stuttgart home.
The south-western city, which is the capital of the Baden-Württemberg state, plays host to the likes of Bosch, HP, IBM and Porsche – international companies attracted to Stuttgart by its first-class transport links and reputation for attracting talent. These corporate heavyweights are complemented by a host of smaller, innovative firms including automotive specialist Behr Hella Services, automation engineer Festo and equipment manufacturer Stihl. The specialised nature of these rapidly growing companies is seen as key in Stuttgart’s economic prosperity, drawing the cream of the world’s manufacturing industry to the southern city. Swabia, the linguistic region in which it sits, boasts some of the most innovative and lasting inventions including the photocopier, electric drill and even toilet paper.
“Stuttgart’s strengths as a business location come from the variety of its business structure,” says Colliers International research analyst Alexander Rutsch. “Business in Stuttgart is characterised by a mix of global players such as Daimler and Porsche, booming SMEs including many global market leaders, a highly-qualified workforce and one of the leading research and development landscapes.”
Stuttgart’s prosperity comes against the backdrop of a strengthening German economy. Europe’s largest economy outpaced eurozone growth – up 0.7 per cent in GDP terms in the final quarter of 2014, against 0.3 per cent growth across the entire euro area. The Economist forecasts that, despite being exposed to a reliance on trade with Russia (currently facing western import sanctions due to the conflict with Ukraine), Germany will grow by 1.8 per cent this year with average 1.7 per cent growth in 2016 through to 2019. With its beloved national football team currently world champions after last year’s victory in Brazil and Chancellor Angela Merkel leading the tough negotiations with troubled Greece, there is an increasing sense Germany is Europe’s stronghold on the global stage.
Despite its gritty reputation as the ‘cradle of the automobile industry’, Stuttgart itself boasts a plethora of parks, valleys and even vineyards at the city’s edge. The city, which underwent significant rebuilding work following damage during the Second World War, draws thousands of visitors to sample its fine art and famous Württemberg wines. The Stuttgart Opera House, completed in 1912, offers a grandiose experience for those traversing its marble interior and vast staircases.
Tourists visiting Stuttgart, home to more than 600,000 residents, congregate in Schlossplatz, its vast main square, and seek retail therapy on Konigstrasse, one of the longest pedestrianised streets in Germany. The best views of the city are found 217 metres up its majestic Television Tower, which opened in 1956.
Ludwigsburg Palace draws crowds marvelling at the Swabian Versailles complex. Its Baroque architecture houses 452 rooms, including gilt-clad halls and the former private apartments of kings and dukes. Its football team, VfB Stuttgart – who regularly face off against the likes of Bayern Munich and Borussia Dortmund in the Bundesliga – offers excellent, affordable down time for business and pleasure trips alike.
But it is Stuttgart’s industry which provides some of the city ’s most interesting attractions for business travellers. The Porsche Museum on the edge of Zuffenhausen shows new and older, rare vehicles; in fact, the Porsche logo carries part of the Stuttgart coat of arms within it. Meanwhile, the Mercedes Benz Museum, a tribute to the famous firm established 125 years ago, is a gleaming, space age construction home to more than 160 vehicles.
Domestic companies looking to tap Stuttgart’s extensive tourism industry are attracted by the city’s traditional festivities. Its wine and beer festivals offer a typical German experience for visitors while its Christmas markets are among the country’s biggest, offering a tasty gluehwein (mulled wine) and gift-buying opportunities.
This year’s calendar offers up a host of options. A trip to Stuttgart could take you to the imposing Messe Stuttgart exhibition centre in the south of the city. Unsurprisingly it hosts a slew of auto industry related shows, from the Automotive Testing Expo-Europe next week (16-18 June), which runs alongside car interiors, component and engine events, to the TU-Automotive Europe show in November, which focuses on new regulation around safety and technology in the sector.
A city synonymous with industry, Stuttgart boasts many attractions for those doing business, and its status as a hub for making smart deals is secure.