Economy:
Prague is the principle centre of business in the Czech Republic and according to the development agency, Czech Invest, accounts for a approximately a fifth of the country's GDP.

The city has long been home to a well-developed industrial sector, although its share of the city's economy is decreasing with the expansion of the service sector. Some of the most prominent industries in the city include chemical production, electrical engineering and electronics, food processing and general engineering.

Dominant industries within the service sector include financial services, retail, telecommunications, trade and tourism. Numerous foreign companies such as Ericsson, Philips and Sun Microsystems have chosen to establish regional headquarters and research and development centres in Prague.

Local Infrastructure:
Prague is major transport hub within the Czech Republic. Prague's Ruzyne airport, located approximately 10 kilometres outside of the city, is the main international and domestic air-transit junction for the entire country. The airport offers flights to and from over 100 destinations in Europe, the US, Canada and the Near East and catered for approximately 5.6 million passengers in 2000.

The city is also situated on the crossroads of the countries main road and railway networks, providing excellent access to the rest of Europe. Vienna can be reached by road in approximately 4 hours, while Warsaw and Bruges are approximately 10 hours and 12.5 hours away respectively. Restructuring work currently being conducted on the transit rail corridors will improve links to cities in Austria, Germany, Poland and Slovakia.

Within the city there is an extensive public transport system comprised of underground and regional rail networks, buses and trams.

Local Workforce:
Unemployment in Prague is well below the national unemployment level. Figures for April 2003, put unemployment in the city at just 2.8 per cent compared to a national average of 9.6 per cent.

The city provides a very well educated workforce. With 8 universities, the Academy of Sciences and numerous independent research centres located in Prague, there is no shortage of highly skilled labour.

Standard of Living:
Prague is a beautiful city boasting quality housing, international schools and universities, numerous sports facilities and world-class cultural opportunities. A multitude of new shops and restaurants have opened in the city in recent years and there is plenty of entertainment on offer in the form of music, theatre, museums and art galleries. Indeed, Prague is fast becoming one of Europe's most popular tourist destinations.

According to UN Human Development Report for 2003, the Czech Republic was placed 32nd out of 175 countries from around the world for the quality of life of its citizens. Out of the10 European Union candidate countries, only Slovenia, placed 29th, is ahead of the Czech Republic.

Business Costs:
Office occupancy costs in Prague are competitive. According to a report published by the commercial real estate services firm, CB Richard Ellis, in 2002, the total average occupation cost for offices in Prague is $28.77 US per square foot per annum. In Warsaw the figure is $38.40 US, while in Budapest and Vienna it is $24.85 US and $27.63 US respectively.