Germany, like other industrialized nations, has to address a number of fundamental challenges. Demographic change will have a particular impact on less densely populated rural regions, where it will cause considerable problems with maintaining the necessary infrastructure in sectors such as education, culture, transport, administration and medical care. Furthermore, the more aggressive market competition in the wake of globalization calls for forward-looking policies on key locations for business and industry even at regional and local level, to utilize existing strengths and innovation potential to best advantage.
