ly's unstable government and its European Community status. We feel that the threat of the government is canceled out by the opportunity provided by the EC. LEGALItaly and the rest of the world still seem to be letting the USA develop legislation to protect the people who access the Internet. Like the U.S., Italy's constitution guarantees the freedom of speech and art. We have rated this factor an 8 (favorable). The reason for this rating is the freedom that the Internet and Web TV are guaranteed by Italy's constitution. The overall political and legal structure rates a 7.2.ECONOMIC The GDP for Italy was $998.9 billion dollars and its growth was 2.2% in 1998. Inflation fell to 3.9% in 1996 after rising to 5.4% in 1995, and is continuing its downward trend in 1997. Through June of 1997, inflation was running at a 1.4% year-on-year rate. Also, the national debt is expected to slowly decline. Its weak consumption in 1997 has hurt its imports. Unemployment is extremely high at 12.25% although 40% of Italians are part of the labor force. Research has shown the household’s propensity to save is on a steady decline. In 1997, 85.6% of disposable income was spent. This lack of saving is a result of the lowering interest rates and increasing taxes (+6.2% in 1997), after the 8% increase in 1996. As mentioned in the political structure, Italy is a member of the European Community. In order for this to have happened they had to possess a high standard of economic stability. The overall economic aspect would rate an 8 (favorable). This is because inflation rates are low, interest rates are falling, and they are adopting the EURO dollar (a stable currency). WEIGHTS AND MEASURES (ADD CHART AND REASON FOR WEIGHT)EnablersFactorsRating MultiplierWeightWeighted AverageSocial Culturepenetration80.32.4demographics60.21.2internet access80.10.8safety60.10.6segments80.21.6total6.6Tech. Infrastructurefeasibility80.32.4cable and satell...
