Romania, located in the South-East European region and bordering the Black Sea, is ranked 53rd in terms of population. The nation entered into a pact with the European Union on January 1, 2007, since when its journey towards being a capitalist society gained pace. However, it has not yet adopted the Euro as its domestic currency unlike every other member-nations of the Euro. The nation had frequently been victim to financial instability phases, though each time it had been bailed out either due to strong export demands within the EU or high consumer demands. In fact, the steady demand traits that the nation had faced over the years had been instigation towards its fast-paced economic growth as well as an answer to the nation’s widespread poverty. However, the global financial meltdown in 2007-08, adversely affected the economy with a fast depreciating growth rate (-7%), sharply rising rate of unemployment (7.8% from 4.4%) and appreciating rate of exchange (CIA, 2010).Building business contact anywhere outside domestic premises requires the presence of some agreements at the political stratum. Similar had been the case with that of Romania that took its first step in the business community once after entering the European Union in 2007.Moreover, it is essential to remove barriers to entry prior to building healthy international trade terms. Fortunately, Romania is already in its way towards liberalisation in the true sense of the term as the nation initiates its efforts to bring down import taxes on industrial goods from 35% to 16% and that on non-agricultural commodities to 33.9% (Hagiu amp. Neacsu, 2008, p. 281).Romania had popularly been known as the iron country mainly due to the stringencies with which it implements its excise duties. The economy maintains an import surcharge of 4% added with a customs commission of 0.5%. It also maintains a VAT amounting to 22% on an average.
The Overall Attractiveness of Countries as Potential Markets and Investment Sites