Denmark shares its borders with Sweden, Norway, and Germany. This makes the country very possess both manufacturing and production capabilities.
Choosing Denmark as the home base of your new business is one of the best business strategies you could ever make even if you have never visited this country.
Denmark is the land of golden opportunities. It is among the best places for individuals to start a small business and for large firms to expand their operations.
There are a lot of reasons why you need to consider exploring the treasures hidden in Denmark especially if you are starting a new business.
In this guide, we will be walking you through the business opportunities in Denmark. You’ll also get to see the economic overview and the best businesses to start in the country.
Country overview and economy
Denmark operates a diverse, mixed economy. It relies on human and natural resources. The service sector is the most productive economic area in this EU state while its industrialized market economy relies on imported raw materials and foreign trade.
It advocates a liberal trade policy in the EU. Its main exports include industrial products, manufactured goods, agricultural products, chemical products, furniture, pharmaceuticals, and Lego.
Denmark is a net exporter of food, energy, and had a balance of payments surplus for more than 30 years. It also produces oil, natural gas, wind energy, and bioenergy. The United States of America is Denmark’s largest non-European trading partner.
Top sectors and business opportunities in Denmark
A lot of sectors and industries across the nation are booming and present easy investment opportunities to both residents and foreigners. These are the top sectors in the country and the business opportunities they offer.
Agriculture
Denmark is the leading producer of grass, clover, horticultural seeds, and other types of agricultural products. This sector operates a modern market economy with the high-tech agriculture revolution, small-scale & corporate industries, and extensive government welfare measures.
The value of Danish agricultural export has gradually risen in recent years and now accounts for €16 billion of the country’s revenue. The agriculture and food sector make up 20% of its total exports.
Animal husbandry for example outputs a variety of products including beef, fur, dairy, pigs, poultry, manure… There are a lot of business opportunities available in these sectors that are open to residents and foreigners.
Tourism
Tourism in Denmark is a mega-industry and major economic contributor. This industry has created almost DKK 82 billion in revenue and 120,000 full-time jobs annually for both Danes and expats.
The tourism sector is another profitable area in the state that offers massive potentials to both residents and foreign investors. The Danish tourism sector is an evergreen niche that offers a variety of business opportunities.
Tourists that visit the country are usually people from neighboring countries like Germany, Sweden, Norway, and the Netherlands. According to data from the UNWTO’s World Tourism rankings, This EU country welcomes nearly 15 million visitors every year.
Since the country is one of Europe’s oldest kingdoms and the home of Hans Christian Andersen, Denmark is often described as a “fairytale country”. It also has a lot of long sandy beaches and resorts that attract millions of tourists.
Transport
Local transport in this Scandinavian country is super advanced. There are excellent trains, metros, and buses available throughout the country. Transportation offers one of the biggest and lucrative business opportunities in the world and Denmark happen to use an advanced transport system. All transport medium in the country uses an electronic ticketing system.
Denmark’s card is known as the Rejsekort. It is used for traveling by bus, train, and metro. You simply load up your card with money, then “check-in” and “check out” at the card-reading device when you enter and exit the bus.
Since Denmark uses a very simple system finding a business that you can monetize in this sector is super easy. Businesses like car rentals, booking, and carpooling are simple startups with enormous opportunities.
Energy and natural gas
Denmark has a lot of crude oil deposits. Esbjerg has the biggest oil and gas industries in Denmark. It is geographically positioned close to the North Sea, which holds most of Denmark’s oil and gas deposits.
Denmark is the 32nd largest exporter of crude oil on Earth. Denmark has changed its energy consumption from fossil fuels to renewable energy. One of the main goals of the government is to attain full independence of fossil fuels by 2050.
This sector is one of the biggest and most profitable in the state. Denmark is an expert in integrating fluctuating & unpredictable energy sources into the grid and distributing for public use. If you can start a business in the power sector today, your investment will pay off before the end of 2023.