BDO International Business Compass

International Location Index for the Medium-Sized Companies

Data update

The same sources as in previous years were used when selecting data in order to facilitate a reasonable comparison. The data were updated for all variables that were factored into the calculation of the rankings. This normally involves updating the 2013 values from last year’s index to the values measured in 2014. With regard to averages of variables measured over time, such as population growth, the relevant time frame was moved into the future by a period. Likewise, the market potential indicator we calculated was re-calculated using updated value-creation statistics. Finally, we replaced the often incomplete IMF variable for unemployment with a new World Bank statistic that covers considerably more countries.

As in previous years, Luxembourg has been excluded from the index: the leading position of the country as a global financial centre would otherwise greatly distort the real economic rankings of the countries based on the method used. In particular, the enormous direct investment per capita in Luxembourg is problematic for our methods as it would render the indicator for country comparisons meaningless. However, wherever relevant information is available, Luxembourg is included in this year’s comparative country comparison. Likewise, Syria remains excluded as no reasonable predictions can be made for the region in light of the ongoing civil war. Otherwise, inclusion in the IBC generally requires a minimum population of 150,000 people.