With a population of over 25.89 million people living over 7.7 million square kilometers, Australia is the sixth largest country in the world. The population continues to grow every year, suggesting that more and more people are moving to Australia. Since last year, the population has already grown by 0.9%.
Which brings out the question: what makes Australia such a hot spot? Is it just boredom and adventure, or does this country have business potential? Turns out, people are not moving to Australia just to live among the koalas and kangaroos. Here are some of the reasons why business in Australia is so advantageous.
1. The market Is Culturally Diverse
Australia has a diversified culture, with people coming from all over the place. This offers you multiple options when it comes to doing business. After all, when you have a diverse market, you get a wider audience that can be interested in your product.
Aside from its cultural diversity, Australia also has a high purchasing power. They want to help every business be successful, so they support the local market a lot. Australia is known as a country that gives an “honest shot” to every business owner.
2. Multiple Industries
Regardless of the industry, there are multiple business opportunities in Australia. Cryptocurrencies are becoming particularly notorious, as about one in five people owns some sort of cryptocurrency. Forex brokers in Australia are very popular as well since most people want to make the most of their investments.
Other than financial services, you can also benefit from the tourist, resources, education, and agricultural industries. As a business owner, you will not run out of areas to offer services.
3. Strong Intellectual Property Protection
As mentioned, Australia cares a lot about the business owner. This is why they put a lot of focus on protecting your intellectual property. This is especially important if you already have your own business and are planning to expand it into other countries.
Australia offers strong IP protection that covers multiple areas such as patents, designs, copyright, or plant breeder rights. This protects you against people who take your ideas or services unlawfully, wanting to sell them as their own.
4. Ties to the Asian-Pacific Markets
Due to its geographic location, Australia is very close to the Asian-Pacific markets. The investment, trade, and culture links are strong, allowing you to conduct international business transactions with countries that would otherwise be unattainable. You can easily trade with countries such as Japan, China, New Zealand, South Korea, Thailand, Singapore, and more.
Australia enjoys full coverage under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). This treaty aligns with 11 countries, which means that your business may reach more than 495 million clients. At the same time, the market of Australia is fully independent, so you may obtain a lot of profit from potential trades.
5. The Market Is Politically and Economically Stable
Australia’s budget deficit is very low, which means that its economy is quite resilient. If we look at the numbers, the economy has only grown. In the past two decades, the economy went up by 3.3%. Considering that the inflation is only at around 2.5% within the same time frame, this allowed Australia to grow stronger than ever.
One more important thing to note is that while China’s economy dipped down, Australia stayed the way that it was. The entire world had to suffer from China’s bubble burst, yet Australia seemed to be the only one that was unaffected.
6. It’s a Boom of Innovations
From back in the past, Australia knew how to take care of itself. In fact, all of its resources were built on property and mining resources. While this area is no longer as pronounced, the country continues to make use of excess talent. This way, it can fuel innovation and bring their country into the future.
To make this happen, the government offers grants to every small business in need of them. Various benefits are also provided, such as tax incentives. This innovation boom was so successful that Australia rose to the top of technology sciences. As proof, STEM-related fields have been highly successful.
7. The Market Is Affluent
We hear stories fro0m countries where the average income can barely support a comfortable life. In Australia, this is not the case. The country is in fifth place when it comes to disposable income. This means that people have more money to spend, which creates a great business opportunity.
This market affluence also allows for a great investment capacity. The R&D tax incentive is particularly generous, which allows business owners to save even more money in the long run. Tax rates at a corporate level are also reasonable, making Australia a great place for investments.
8. Workforce Is Well-Educated
Australia has one of the world’s best education systems, ranking within the top 10. This means that everyone is prepared to take on different jobs with a high difficulty rate. If you are planning to start a business and are looking for productive employees, then Australia has a lot to offer.
The country itself has a literacy rate of an impressive 99% and more than half of them have some form of tertiary education. Since it’s a diverse culture, a fair amount of people can speak languages other than English.
This allows you to set up a skilled workforce that can approach a variety of issues. Employee retention will improve, allowing you to set the basis for a successful corporation.
The Bottom Line
Australia may not strike you as the first place to do business in. You might think of places such as the U.S., the U.K., Italy, or Germany, but Australia is a hidden gem.
However, there is enough proof that shows Australia can make your business grow. There are multiple options for business, along with international ties and a strong community. No matter if you are planning to set up a business or just expand, Australia’s affluent market can lead to profit.