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Student name: Marek Richter

Student number: S3556646

Study programme: M.A. in International Political Economy Placement provider: Chamber of Industry and Commerce for

Munich and Upper Bavaria

Department: Foreign Trade Affairs with focus on Asian

region and Commonwealth of Independent States including Russia

Location: Munich, Germany

Supervisor: Dr Gerda van Roozendaal

Time period: 1.1.2019-31.3.2019

IRIO Placement Report – Chamber of Commerce and

Industry for Munich and Upper Bavaria

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1. Introduction

This report provides for an extensive description of my internship in the Industrie und Handelskammer für München und Oberbayern (IHK München und Oberbayern/Chamber of Commerce and Industry for Munich and Upper Bavaria). The internship took place from 1.1.2019 – 31.3.2019 in Munich. In this report, I am going to describe the process of finding the placement with the subsequent application process. Following, I will mention my expectation of the placement. In the next chapter, I am going to describe the structure and tasks of the IHK München whereby I will mention that the activities are defined by the law. This chapter is going to be shorter when it comes to the extent due to my interest in providing for a more elaborate description of my main and minor tasks throughout the internship which will follow. I am going to describe the tasks as well as reflect on the tasks from a personal point of view. The report will also include my evaluation of the supervision within the IHK München followed up by offering insight into the housing situations as well as surroundings. Afterwards, the report will provide upcoming students with useful tips in regard to the organization. In conclusion, I will reflect critically upon the internship while highlighting the actual contribution of the internship considering the learning goals set prior to the internship. I will also evaluate the preferred career path which got more crystalized after this internship.

2. Preparation

The process of finding the internship took some time to evolve. At first, I applied for some internship positions in the Czech Republic as well as in Germany. The former was mostly associated with positions within institutes focusing on the study of international relations as well as some Non-Governmental Organizations and Foreign Affairs Offices. The latter involved Foreign Affairs Offices, where I wanted to make use of my dual citizenship, German as well as Czech, research organization such as Germany Trade and Invest and lastly Chambers of Industry and Commerce. The last has, eventually, offered the best conditions from both working as well as personal development points of consideration.

The application process for the position as an intern at the Chamber of Industry and Commerce for Munich and Upper Bavaria was a matter of bureaucracy as any other application for work. Therefore, after sending all my documents I was asked to conduct an interview via phone with the leader of a team focused on Post-Soviet republics and Asian countries. Few days following the interview the team leader contacted me and offered me the position of intern in his team for a three months period. As the offer was shared with me, I knew that this is the place I want to go to and conduct my internship at. After signing a contract with the chamber, I started looking for shared flats in Munich. After my experience in Groningen, I was sure that this task will require a lot of time and a lot of effort and even more so in Munich, the city which is well known for its lack of accommodation as well as

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soaring prices. It is particularly important to always start in advance by searching the right place to stay and that eventually paid off to me.

Ever since I was sure that I will live in Munich from January till March, I knew that I need to research some more information about the functioning aspect of the chamber system in Germany as well as studying German politics with greater focus. As I was acquiring more in-depth knowledge about the chamber system and politics in Germany, one thing came up to my mind. In particular, similar chamber system to that of Germany is a matter that not most European countries have acquired but should consider doing so in order to gain advantage and present more of a “team” approach to tackling the matter of international trade.

In the following part, I am going to elaborate more on my expectations prior to the placement.

3. Expectations prior to the placement

I was sure that I will adapt quickly to the new working environment already by getting the first grasp of the activities that I was going to do for the following three months. However, as it was my first professional working experience, I must admit that I was excited to explore the public service in the biggest German chamber of industry and commerce. It poses the best example of intertwinement between politics and economy while the chamber represents the businesses that are members of the chamber on the political level. As I signed the contract back in November, I knew that the workload is going to be extensive with 40 working hours per week. I also knew that most tasks that I will have to carry out will be conducting research on diverse topics for referents responsible for various states. Therefore, I wanted to make the most out of it, so I started with reading more about the countries that we, as a team, are covering. Given my academic background with my BA in International Relations and European Studies and yet to successfully acquire MA in International Political Economy, my knowledge about some of the countries, in particular, the states belonging to the Commonwealth of Independent States (in German referred as GUS), was very limited and therefore I knew that this gap needs to be filled already prior to the placement. Furthermore, I was excited to have the opportunity to get to know the hierarchical working environment, which is usually associated with civil service as well as corporates. I wanted to explore more whether such an environment would suit for my future professional career. Most importantly, this internship posed a challenge for my language capabilities and that was one of the biggest learning goals I wished to take from the internship. Thus, improving the knowledge of the German language on C1 level was one of the most prioritized learning goals that I hoped to achieve.

In the next chapter I am going to reflect more on the tasks of the Chamber of Commerce and Industry for Munich and Upper Bavaria (IHK München und Oberbayern).

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4. Tasks of the Chamber of Commerce and Industry for Munich and Upper Bavaria

As an associated chamber to the Bavarian Chamber of Industry and Commerce, as well as being the biggest chamber of industry and commerce in the whole Federal state of Germany and one of the biggest business networks in the whole Europe, the IHK München is active on several levels. Foremost, the supreme task is to support the success of all businesses in the region. With 390 thousand member businesses the task of the IHK München is, by all means, extensive in the scope it covers. The tasks of the IHK München and the main goals of the chamber can be summarized as follows:

• Safeguard the overall interests of trade and industry; • Support trade and industry;

• Provide vocational training (dual system) and professional training; • Assist authorities through proposals, opinions and reports;

• Maintain decency and manners of the honorable businessman; • Accomplish tasks delegated by the state.

The diversity and the extent of the activities of the IHK are defined by the law in Germany and as within any other public administration company, the prescribed tasks are strictly followed. The structure of IHK München divided into several departments which all work to help member companies to overcome all sorts of business-related obstacles. All the departments carry out the activities outlined above. Therefore, the IHK München offers the same services as other IHKs do. A description of four above-mentioned tasks will follow. Firstly, safeguard of the overall interests of trade and industry. As within any other chamber of commerce, the defence of the business interest on the political level ranks on the highest level. The interests of businesses are outlined in the assembly of businesses. These are followingly transferred on the political level through lobbying practices. Usually, it is done through consultations and meeting with political parties’ representatives. This task is conducted by the political economy department (Volkswirtschaft) of the IHK. It bears utmost importance given the influence it can have on the laws as well as political actions within Bavaria and subsequently influence the business climate in the federal state. As I was given an introduction from a member of the political economy department, it has definitely brought my interest as it includes both the economic as well as political nature of the conduct. Secondly, offering professional service to member companies and supporting trade and industry. This activity is mostly related to making sure that companies come across fewer problems in entering markets, making sure that their conduct follows what the law in Germany, as well as of other countries, prescribes. The IHK also provides knowledge to companies in analysing foreign markets and consulting disputes.

Thirdly, the IHK offers education in various economy-oriented fields. These are offered to students as an alternative to gymnasium whereby students learn various field-oriented

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professions (grammar school). Fourthly, assist authorities by developing proposals, opinions and reports. This task holds particular importance as the emission of proposals, opinions and reports can potentially influence the decision-making on the governmental level. The reports are written in cooperation with ifo Institute München. As an example of a report, which I happened to co-work on, is the report that analyses the Silk Road Initiative. Fifthly, as IHK holds the public administration status, the chamber appeals to the maintenance of decency and manners of the honourable businessman as a ground stone of modern society.

Last, but by no means least, carry out tasks delegated by the state. These are outlined by the law and change in every federal state of Germany. Within each department, there are several subsections of which focus is either topical (such as taxes) or regionally (European unit, Russia and China unit, etc). Within each unit, there is at least one intern depending on the size of the unit as well as the team. The team within which I worked composed of five people, including myself.

The following chapter is going to describe both my main as well as minor tasks undertaken during the placement.

5. Tasks undertaken during the placement

• Main tasks

The internship at IHK in the Department of Foreign Trade Affairs was mostly associated with these main tasks. The tasks were carried out on a daily basis with higher intensity in case an event was advancing or some documents had to be prepared as soon as possible due to some visit of external delegations.

Firstly, it was the assistance to the full members of the team in preparation of events. During my internship, I happened to provide my work enthusiasm in arranging four events with regards to Russia, Japan, China and Australia. One event was, unfortunately, cancelled due to personnel changes within the organisation of Auslandshandelskammer in Zentralasien (Foreign Chamber for Central Asia) which eventually influenced our speaker selection and the dates that unfortunately could not be rearranged. Following, I was tasked with the preparation of title pages, presentations as well as other activities necessary for the smooth flow of the event. The work on the preparation of the event was not done for me with the finalisation of above-mentioned tasks since I was always there for my team to provide assistance in carrying out tasks associated with the physical preparation, conduct and finalisation of events. From GDPR reasons, the chamber was not willing to take pictures of the events we were organizing; therefore, I was not asked to cover the photographing. The second task throughout the whole internship was the analysis of the situation in various states as well as helping my team-leader in supervising reports. The one I happened to help

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with was in cooperation with ifo Institute at the University of Munich. The analysis of various states consisted of the preparation of documents for our team-leader Mr Aurbach, as well as head of the department Mr Dollendorf. These documents required extensive research in problematics of countries we were concerned with. From analysing the political and economic situation in those countries to analysing statistical data of trade, it was very extensive work which was, by all means, time-consuming. Mostly due to the fact that various aspects of respective situations had to be analysed and then summarized in a few paragraphs that would provide the reader with an overview of the situation in a few lines. Additionally, to the preparation of documents, I handled researching information which would help the team to answer more complex inquiries about trade problematics, market entry, etc. Thus, analysing states’ law system, tax system, import conditions stand above others. Lastly, we have been asked on several occasions to draft presentations for our superiors and that was also my responsibility.

Furthermore, the assistance to Mr Aurbach in supervising the finalisation of reports (the one I happened to co-work on concerned, as already mentioned, the Silk Road Initiative). The supervision varied from formal supervision of the report such as correcting referencing to actually improving the content of the study by pointing out missing aspects, improving graphics, etc.

Fourth main task accounts to my responsibility to answer individual inquiries about concerned countries covering all sorts of issues from trading, importing, exporting, to market entry, etc. from companies that needed this knowledge. This task, however, is carried out by full members of the team; therefore, this was more of a sporadic task for me as an intern. However, in order to provide knowledge to the team members, I was asked support my co-workers in researching some interesting topics for those inquiries they had received. As an example, to mention was an inquiry about the export of services to Japan under the new JEFTA rules or questions about the plastic ban in India.

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With regards to the nature of the tasks mentioned, I was simultaneously working on new tasks which came up and had to be carried out by one of our team members. These tasks, which were not of permanent nature, I will label minor ones.

5.1. My personal reflection of the first week

The first week in Munich was very much something I had expected. Given the fact that I studied my bachelor in Prague, which is a city with over a million inhabitants, I was sure that another metropolis with over a million inhabitants will not be a shocking experience though, it was in comparison to living in Groningen. The only shocking experience was mostly associated to prices. However, working related reflection was more than positive. Given that it was my first week in an organization that fits the field I study, I cannot say I was not sure what to expect. Nonetheless, from the first day on I fit in the group both the team as well as the whole department very well and that is something I appreciate the most. Right after the first week, I happened to gain my confidence with the conclusion of the first tasks that were required from me. Furthermore, as German is not my mother-tongue, the first week very much helped me to get used to working in the language on a daily basis. My usual work-day started at 8 which was very convenient. The office was shared only with members of my team which in my opinion is the best setup as I had the opportunity to see every minute of their work and be of help if needed. Unfortunately, a big part of the tasks I was undertaking was either for or in cooperation with our team-leader, however, we were not sharing the office altogether, which would, in my opinion, be even better for my professional development.

60% 20%

15%

5%

Graph 1. Differentiation of main tasks according to share of

percentage

Drafting of documents, including researching tasks Preparation and conduct of events

Assistance to supervision of reports

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5.2. My personal reflection of the main tasks

Preparing documents for my team-leader and head of the department was very much interesting and particularly important job. It was important when a planned visit from either general consul, ambassador or when our head of the department was having a political and business delegation from Tatarstan (a sovereign region in Russia). Although the researching on several topics and providing the up-to-date info’s about respective countries was time-consuming, I was actually enjoying such work mostly because I always knew how to approach the topic. I am convinced that this ability was developed at the University of Groningen during our research seminars which were putting a test of our analytical skills through extensive researching. Furthermore, assisting our team-leader in supervising the writing of an extensive report to Silk Road allowed me to on one hand learn from Mr Aurbach who possesses the valuable insight to what is necessary for companies in this report and to propose my own ideas. This helped to formulate the conclusion and recommendations of the report for both companies as well as politics.

• Minor tasks

The tasks undertaken during the whole internship fluctuated according to the need from my team members and the schedule that was ahead. Next, to the main tasks, I was required to fulfil many minor tasks that were more or less coming up on a daily basis and varied with respect to complexity. One of these minor tasks was researching potential topics regarding news in concerned countries for my team members. Following, the topic I have selected based on criteria of importance for the Bavarian businesses was subsequently summarized and then published in form of a newsletter for our followers (usually companies that are members to the chamber or even those that are not). I was sporadically tasked to write those short articles, however, this task belongs in a greater sense to full members of the team.

Furthermore, after evaluating documents that I had drafted for our team, my team-members started to recognize my excel skills, thus they started using them for their own graphical illustrations of results from questionnaires or simply using it to evaluate statistics and their potential use for various projects (such as events, newsletter, etc.). This was the case when Mr Dollendorf asked us to analyse more in-depth the trade in services with Europe as well as China, USA, and Japan. Given the fact, that most statistics are being done on trade with goods, statistics considering trade with services, unfortunately, are rarely drafted which is a point that could be improved mostly with regards to the growing digitalization and subsequent sales of services to/from foreign countries. Thus, after this inquiry and a few hours of elaborate researching I gave a briefing to Mr Dollendorf about the potentials of mapping and graphical demonstration of the Bavarian trade in services (mostly online services).

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On various days I was also tasked to substitute the secretary of Mr Dollendorf and therefore I was given the responsibility for answering both their phones as they both were absent. It was a remarkably interesting experience given the fact that Mr Dollendorf is every day in contact with especially important people from both the business world as well as the political world. However, this task was minor and did not come up very often.

For the purposes of ensuring that our guests get soft drinks and some sweets on certain events such as intensive consulting to China which was taking place in our building, I was also tasked to go with our team-leader and provide for supplies for catering. This happened only once, however, I was always open helping my team with anything that was needed. Additionally, I was also helping my team by filling up excel sheets with information about inquiries from our clients. This was an essential task that was easy in carrying out, but time-consuming given the number of calls received on a daily basis. However, it was vitally important for the mapping of what topics are the most asked and having an overview of the frequency and number of inquiries.

6. Placement supervision

Overall, the placement supervision was surely above standards. Mr Aurbach was always open to all my questions and inquiries. Same applied to my team-members which usually explained everything to me so that I would not disturb Mr Aurbach who is remarkably busy in carrying out the tasks of team-leader as well as a substitute to the head of our referat (unit). Moreover, in a business relationship, the German language usually apply a polite form of address. However, from the first day on I was calling my co-workers with their names as it always is much easier to fit in the group. I never felt, that the doors of my superiors were

40%

50%

5% 5%

Graph 2. Differentiation of minor tasks according to

percentage share

Researching hot topics in media Excel associated tasks

Substituting the assistance of my superiors

Event associated tasks (pick-up of drinks, etc.)

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ever closed. Mr Aurbach especially was extremely helpful to me mostly given the amount of work we did together. Most of the tasks that I undertook were not described to me in detail given the amount of work my colleagues had. I was happy about that since I could find my own way of carrying out the tasks. Right at the beginning of the placement, we had the internship meeting where we discussed all the points that are required from me as well as giving me the space to propose some tasks that I would from my very own initiative like to do. Afterwards, we went for lunch together which definitely further improved the overall impression. Same was at the end of the internship. Working within the biggest chamber of commerce and industry in Germany was definitely a challenge for me as it worked as a test whether this sort of hierarchy will actually fit my personality as well as the overall conduct. The following chapter is going to discuss the reflection on future career orientation and related prospects.

7. Reflection on future career orientation and prospects

Already prior to the placement, as described in earlier chapters, I was curious to find out, whether such hierarchical environment in an institution such as IHK München will eventually fit me and my personal preferences. I have always been interested in chambers of commerce as they stand for perhaps one of the best examples of a political-economic institution. Therefore, having such experience definitely enriched me with some insights for future career orientation. I must admit that working for the biggest chamber of commerce in Germany apparently comes at the cost of having a lower fluctuation and a variety of tasks. I have discussed this topic with my colleagues, and they have given me insight into what work in AHKs (Auslandshandelskammer) looks like given their previous experience. AHKs are usually headquartered in concerned country and usually do not represent the size of IHKs in Germany. This especially stands for a better opportunity for co-workers to actually experience a wider variety of tasks that need to be done. Furthermore, as the sizes of AHKs are limited, the hierarchy is, therefore, not that strong and offers bigger room for innovation in the form of proposals which would grant significant improvements to the organization. This internship served as a great tool to narrow down my future career possibilities and crystalize what I personally want to do. After completing my studies in Groningen I will certainly apply for job positions in Munich along with applications for job positions in AHKs. This internship ensured me, that my following path is not in the Czech Republic but instead in Germany.

The following chapter is going to describe the housing situation in Munich and its surroundings.

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8. Housing and surroundings

Given the fact that I already had friends that lived in Munich, I was not surprised about the prices for housing in Munich. Indeed, the reputation of Munich as one of the most expensive cities in Germany is a well-known fact. The IHK München, however, did not offer me any help in finding suitable accommodation. Finding accommodation in Munich is exceedingly difficult mostly given the flows of people coming to Munich. Therefore, landlords can accordingly increase a price which is unfortunately negative for us, interns. Via Facebook, I managed to find suitable accommodation in an exceptionally good area close to Rosenheimer Platz. It was only 20 minutes distant from my work which was very convenient. I lived with a man of the same age who was a musician and worked at Apple. In general, the prices for the housing are extremely high in comparison to other German cities as well as the European average. For a modest flat in the area where I lived the prices can rise to 1600-2000€. I had a small room (approximately 9 square meters) in a small flat that was on the 5th floor of an old building. The apartment had only two rooms, a bathroom with a toilet and a kitchen. There was no common living area in this flat.

The costs of groceries in markets were very much the same as in Groningen. The cheapest supermarket is Aldi and Lidl which offer a decent quality of food with various bioproducts. The public transportation poses a big controversy in Munich as people always complain about delays of all trains. Moreover, the prices are remarkably high and can rise to 225€ depending on how many rings need to get crossed. For me, the prices were much lower, given the location I lived in. Thus, I paid 55€ a month for public transportation. Interestingly, it is very convenient, and I would recommend using a bike in spring, summer, and fall. The city has a lot to offer culturally as well as when it comes to sport possibilities. There is a strong culture of restaurants and beer pubs/bars. Furthermore, given the location of Munich close to the Alps, the opportunities were even wider. It takes only one hour with the train to reach Garmisch-Partenkirchen which is a popular ski resort in the German part of Alps. Furthermore, there are many castles (Neuschwanstein) and lakes (Tegernsee) in close distance, thus the work-life balance can be very easily established.

9. Tips for future placement students

▪ Working language is German at the IHK München ▪ Own initiative is required as well as the team spirit

▪ The dress code is semi-formal, only during events it is required to wear business dress (i.e. for men suits)

▪ Flexibility with regards to tasks as well as the working time (can be longer in case there is an event in the evening)

▪ Prepare for extensive work in MS Office, with focus on excel ▪ Organisation skills and ability to work independently are essential

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10. Conclusion

Overall, the internship was a great experience and definitely fulfilled all my expectations. From the first day on I was given the responsibility of a full-time employee. Although the learning process and getting used to the tasks obviously took some time, I think I managed to find my way through in reasonable time. Furthermore, the team that I worked in is rather smaller in comparison to the European unit, however, it was obvious that the importance of our concerned countries is still increasing. Mostly, with regards to the Belt and Road Initiative, there is obvious necessity to catch up with these new trends in the world trade affairs and this influences the work of our team in a spectacular way.

The tasks undertaken during the internship were very much interesting mostly due to the variety of topics that were being analysed and covered. These were of political as well as economic nature which in my opinion reflects the field of International Political Economy substantially. The workload was digestible, with good organisation and planning, the tasks were manageable in decent time. Most of the work required initiative and own understanding of the processes without the provision of external description. The time management was definitely something I improved myself in as I had never been tasked with planning my schedule in such a detailed way and in such frequency of meetings. Also having to work on main tasks while including minor tasks which appeared along the way definitely forced me to plan my schedule wisely with a strong focus of time-management. Furthermore, it boosted my confidence as I saw either the conduct of work from my co-workers as well as the drafts of numerous studies from ifo Institute which required a lot of work both formal-wise as well as content-wise. Most importantly, I have realized that the Master in International Political Economy have prepared me profoundly for all these tasks that required extensive analytical skills.

I also gained insight into several contemporary issues that I had not really studied before. Namely, studying the Silk Road from a deeper political-economic point of view was significantly valuable and has definitely broadened my knowledge. Importantly, as my tasks dealt predominantly with statistics and excel sheets, I improved my MS Office skills. Various tasks were complex and required further learning of all functions within excel, etc. The drafting of documents for my superiors was very responsible work whereby I had to care about details in analysing political-economic situations in various countries.

Furthermore, the internship offered me a unique experience in observing my superiors and subsequently adopting their habits. This was predominantly valuable as we have received several delegations. For example, we had a visit of General Consul of Indonesia to Germany, where we discussed the business climate in Germany with him. It was a very valuable experience to see how these meetings with important people are carried out. With regards to the personal learning goals, I think that the improvement of language on C1 level has been the intention of the internship and I must say that it was successfully accomplished.

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Thus, I happened to improve my language skills substantially given that German is not my mother-tongue. Working in every language on a daily basis brings significant improvements already after the first week of work and that was the case of my internship. I have come realize the improvements on a weekly basis. Next personal learning goal was to overcome the feeling of nervousness in a new working environment and the confidence about the work I produce. This has also been overcome quite gallantly within a few days of work. Most importantly, my co-workers made it easier for me to adapt sooner.

Critically considered, the only downfall of the internship was the realization, that such steep and strong hierarchy requires time for adaptation. Obviously, installing a flat hierarchy in such organization is perhaps surreal; however, it would suit me better. Not to say that I cannot work in such hierarchy, however, the room for proposing a change and actually innovating the organization is very limited and I have realized that few weeks after the beginning of the internship. Some processes could be done in smarter and less time-consuming ways which would eventually influence the efficiency of the work profoundly. The internship was definitely an experience that required me to adopt new skills which I will happily apply in my following career path.

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