1. Travel advice Interlaken switzerland!!

2. Places to visit Go up the mountains! Short train ride from town Recommend: Grindlewald, Wengen, Lauterbrunnen, Hikes / walks: First mountain, Schilthorn “James Bond”, Jungfrau “top of europe”

3. Take the train / cable car to here:

4. Go for a hike…

5. Go for a hike…

6. Look for these waterfalls…

7. Lauterbrunnen (view from falls)

8. Follow the path…

9. tips “gruezie” when walking Quiet Cross at cross walk “tchuss” Danke (or Merci in Interlaken) Rules

10. Welcome to Interlaken Switzerland!! Introduction to the European UnionProf. Brian Butler

11. Prof. Brian David Butler About: Brian Butler is a professor of International Finance and European Studies with Forum-Nexus Study Abroad, an academic program which is co-sponsored by the IQS Business School of the Ramon Llull University in Barcelona, and the Catholic University of Milan. Brian was previously a teacher at the Thunderbird School of Global Management, MBA program in Miami, and was a researcher at the Columbia Business School in New York. In Brazil, Brian has taught at FBV in Recife. He previously worked for Honda of America Manufacturing in Ohio, and was involved in international trade. briandbutler@gmail.com LinkedIn.com/in/briandbutler www.globotrends.com

12. my slides: www.slideshare.net/briandbutler

14. Exam questions may come from any of these sources

16. Course RULES + Expectations: Attend ALL classes, professional visits Turn in assignments before class Be prepared for class discussions – lots of small group assignments during class Contribute to group assignment (team grading / peer review)

17. Rules / Expectations: Request Closed book, open mind, Please turn off everything except your minds…I want your full attention – this is a “participatory” class No sleeping (if you feel tired, please stand up, go get some water, come back) no laptops (sorry)  No blackberries, no iPhones, no iPads, etc, etc…

18. European Culture discussion CULTURE

20. Soccer (football) Question: Are any of the big clubs (teams) in Paris? Why not?

22. Cultural pride in being “ABOVE competition”

23. Learned from history… dangers of Competition (wars)

25. Founders It could really look like this… France was the intellectual driver behind the EEC (later the EU) Jean Monnet - France Robert Schuman - France

26. Question What was their main idea about how to achieve peace in Europe?

27. Question Unity Integration Tools to limit nationalism Tools to limit competition

29. Do you expect French to rally behind a soccer team and cheer for them to beat another team?(story of Mike at bar – shots)

30. Question How does that compare with the British? (rally the troops, go abroad, and BEAT the competition!)

31. French culture – socialism vs. capitalism Attitudes toward competition Effect: Prefer “social”, sharing, equality (of results, not Anglo-Saxon version of opportunity) Lean toward Socialism “Capitalism” seen with negativity But then… Sarkozy… (who can explain why he seemed different)…. What did he do?

32. Sarkozy's France http://www.economist.com/node/16990726

33. Sarkozy's France http://www.economist.com/node/16990726

34. Schweiz Ok, now on to Switzerland…

35. Questions Is Switzerland a member of the EU? Of the Euro zone?

36. Questions SHOULD Switzerland join the EU? the Euro zone?

37. Question – who can tell where we are NOW?

39. Questions… What do you know about Switzerland? Population? Capital? Languages? Religions?

40. Q. What do you notice that is unique about Switzerland? Basic info: Helvetia, how the country was called in ancient times (CH) Population: 7.3 million. GNI per capita PPP: $ 33 168 Religions: Roman Catholic 42%, Protestant 33%, Muslim 4.3%, others 5.4%, no religion 11%. Languages: German 63.7%, French 20.4%, Italian 6.5%, Romansch 0.5%, are official languages, other 9.4%. Literacy: 100%. http://www.nationsonline.org/oneworld/switzerland.htm

41. Languages How many “official” languages are there in Switzerland? Is “Swiss German” an official language? http://www.nationsonline.org/oneworld/History/Switzerland-history.htm

42. Languages How many official languages are there in Switzerland? 4 Is “Swiss German” an official language? No! http://www.nationsonline.org/oneworld/History/Switzerland-history.htm

43. Switzerland - languages

44. Q. What do you notice that is unique about Switzerland? Multiple languages, religions Trains run on time (plan year in advance) Food is “better” Prices (currency) Locals don’t travel (perception of distance) Question: What are the major exports/ industries? http://www.nationsonline.org/oneworld/switzerland.htm

45. Q. What do you notice that is unique about Switzerland? http://www.nationsonline.org/oneworld/switzerland.htm

46. notes Ties to Germany = important Currency appreciation HURTS Swiss industry Why? Explain…

47. Challenges for Switzerland Currency Appreciation: “the Swiss franc will tend to appreciate during periods of global financial volatility” EIU, special report on Switzerland, May 2011

48. http://finance.yahoo.com/q/bc?t=5y&s=EURCHF%3DX&l=on&z=l&q=l&c=eurusd%3Dx Swiss franc appreciates during crisis Question: does Switzerland get more expensive? Or less?

49. Challenges for Switzerland Currency appreciation: “investors’ fears over the stability of the euro will periodically lead them to seek a safe haven in the Swiss franc” EIU, special report on Switzerland, May 2011

50. Challenges for Switzerland Which is more important to the swiss The SFR/ USD exchange rate? Or, the SFR/ EUR exchange rate? Why? EIU, special report on Switzerland, May 2011

51. currency During the crisis, whose exports have become more competitive…. Switzerland’s or Germanys? EIU, special report on Switzerland, May 2011

52. Euro = stronger vs. US dollar Euro = weaker vs. Swiss Franc http://finance.yahoo.com/q/bc?t=5y&s=EURCHF%3DX&l=on&z=l&q=l&c=eurusd%3Dx

53. currency So, would Switzerland benefit from being inside the Euro zone? How? EIU, special report on Switzerland, May 2011

54. How does this compare with Spain, Greece?Should Spain / Greece drop out of the Euro (to regain competitiveness)?(think about this as you answer your team projects)

55. Question – which part of Switzerland is Mountainous? Industrial?

56. Question: Other than Switzerland, which other major Western European countries are NOT part of the EU?

57. 3 important Western European countries: Switzerland Norway Iceland

58. Question – why is Switzerland not a member?

59. Neutrality Modern reasons: Banking industry (two large Swiss banks, UBS and Credit Suisse + many other private Swiss banks) Immigration Cultural preference – independence, like CONTROL (of everything) euro skepticism Tax policy (some cantons very low taxes to attract foreign direct investment)… multinationals use Switzerland as HQ Historical reasons: ….. See next slides….