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A crisis such as the one the world is currently facing is nothing new for a long-established, export-oriented small business, Torsten Oestergaard, the Swabian globe manufacturer, told the German Chancellor. His father, grandfather and great-grandfather before him had already faced the challenges of global economic slumps with great resolve.

A globe "Made in Germany"

Oestergaard spoke to the Chancellor about what had made his business strong: long-term investments in staff, products and technologies, and in quality beyond compare.

Photo: REGIERUNGonline/Kugler Motivated staff - a mainstay of small businesses

Oestergaard's grandfather developed the first globe that depicts two views of the world. His grandchild believes it is important that the products his company delivers to customers around the world are still 100 per cent "Made in Germany".

"All our suppliers are based here in Germany," Torsten Oestergaard emphasised during the tour of his premises. And family-owned businesses tended to plan long term, the Swabian businessman added: "In the back of my mind I am already planning for the fifth generation."

Overcoming the crisis with new products and technologies

Another topic that was addressed during the visit was the problems SMEs are currently facing. Managers from across the federal state of Baden-Württemberg were invited to Krauchenwies to share their views with the German Chancellor.

Angela Merkel paid tribute to the fact that not only big businesses but also many SMEs were taking advantage of what was on available in the economic stimulus packages. Short-time work and government guarantees could help to weather the crisis, she said.

She appealed to banks to demonstrate their willingness to cooperate through their lending policy. All the state could do was to help take away some of the risk to which the credit institutions were exposed.

Now was the time, the Chancellor said, when businesses needed to develop new technologies and new products so that they would be in a strong position once the crisis was over. Angela Merkel was very pleased to say: "I have found that there is great scope for innovation in small- and medium-sized enterprises." She promised that the Federal Government would do all it could to strengthen "the backbone of our economy".

Columbus was one of the German Chancellor Angela Merkel's ports of call on her tour of SMEs. The Chancellor plans to stop off at various places around Germany to get an idea of the overall economic situation and the situation employees find themselves in. She wants to get an impression of the way things stand by talking directly to the affected people: in large and small businesses, in various branches of industry and in various regions of eastern and western Germany.

The Chancellor also wants to honour the efforts made by businesses and their employees during the crisis. Thanks to support from the German Government's economic stimulus package, many businesses are still in a strong position in growth industries despite the crisis - and are thereby safeguarding jobs.