Secure power supply, but poor cell phone network: Despite the infrastructure that can be expanded in some areas, Bavaria’s companies are satisfied with the economic framework in the Free State. This is the result of a current study by the Association of Bavarian Economy (VBW). 95 percent of the companies surveyed would therefore relocate in this country. A survey in the previous year showed an almost equally high loyalty to the location of 94.2 percent. “The good result shows that companies feel that they are in good hands even during the Corona crisis in Bavaria,” said VBW General Manager Bertram Brossardt.
For the study, representatives from 840 companies were asked about 60 location factors. They rated the socio-cultural infrastructure, the educational infrastructure and the security of supply with electricity and raw materials as positive. Bad grades were given for the availability of skilled workers and the high electricity prices from the respondents’ point of view. A need for action was also attested to the infrastructure, especially in terms of communication. 93 percent of the companies supported a continuation of the broadband initiative and 85 percent a further expansion of the mobile network. Behind this are well-known problems: Bavaria and Germany have been lagging behind in terms of fiber optics and cell phone reception for years. Many companies also wanted to ensure comprehensive health care, schools and day-care centers close to their home, and affordable housing. Such “soft” location factors are becoming increasingly important in the competition for skilled workers.
Overall, the differences between the administrative districts are rather small. Loyalty to the location was highest in Upper Palatinate at 97.5 percent. Among other things, the innovation environment was rated better there: While in Bavaria 70.6 percent of the companies surveyed called for greater financial support from universities and research institutions, the figure was only 58.1 percent in the Upper Palatinate.
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