Together, Germany and France are the key market when aiming for a solid basis “at home” before considering conquering more distant markets like the United States and China. However, German and French markets are not easy to enter for non-local actors. Therefore, German companies concentrate on German-speaking Switzerland, Scandinavia, Benelux and Eastern Europe, while French firms focus on Southern Europe. Even the United States are often on the top of the list in which European start-ups want to settle, because of the myth, despite high-level risks and costs. Therefore, most German and French start-ups and SMEs are still absent in their own largest neighboring market.

Germany and France are similar countries and markets, but they differ on many aspects. They are close geographically, got the same European legal and regulatory framework, similar technical standards, communication infrastructures, and professional know how. But they clearly differ when it comes to language, culture, financial system, management style and even consumer behaviors. As start-ups and scale-ups need rapid growth, their development in these neighboring countries is a logical challenge, but it is not enough to simply duplicate the business model and the strategy of their homeland.