International Business Environment - Costa Rica

Executive Summary

Costa Rica is a country that offers many amenities. Here, you will find everything from sun kissed beaches and lush landscapes to breathe taking waterfalls and awe-inspiring volcanoes. You will also find the people friendly and the culture warm and welcoming. Living or vacationing here is very affordable, which is why more and more North Americans and others are choosing Costa Rica as either their home away from home, second home or their retirement destination. The sand, sun, swimming, and seniors, yes, even senior citizens need and enjoy the pleasures of tropical vacations and getaways. So many times all the best resorts are geared specifically for the young vacationer. However, due to the dynamic foresight of DJD Properties, S.A., the senior traveler can enjoy the once in a lifetime vacation and be pampered and serviced like no other excursion. DJD Properties, S.A. has chosen the tropical paradise of Nosara, Costa Rica to fulfill that dream vacation for the senior traveler. With Costa Rica’s climate, political stability, and warm friendly attitudes even the most mature vacationer will be pleased and excited from the beginning of their trip to paradise.

The Country

The Republic of Costa Rica is located near the center of the Central America. With Nicaragua to the north and Panama to the south, Costa Rica enjoys beautiful beaches and a tropical climate from both the North and South Pacific Oceans and the Caribbean Sea. Costa Rica is approximately 19,650 square miles. The climate is mild in the central highlands to tropical and balmy in the coastal areas. Costa Rica averages roughly 330 days of sunshine a year. A rugged mountain range separates the eastern and western coastal plains. The capital city of Costa Rica is San Jose. Other major cities include Puntarenas, Alajuela, Limon, and Cartago. Costa Rica has many provinces that are culturally different from one another in small ways.

One such province is Guanacaste, which is home to six beach/tourists communities, one of which is Nosara. In 1821, in a joint declaration of independence from Spain, Costa Rica and other Central American provinces established their own Federation. However, problems and wars erupted between the countries. It was during one such dispute that Costa Rica annexed its province of Guanacaste which is home to the city of Nosara. In 1838 Costa Rica withdrew from the Central American Federation and proclaimed itself sovereign.

The People

The people of Costa Rica are mostly European and some mestizo with a small ethnic population of African and Chinese. The population in 2001 was approx. 3.94 million people. The primary language is Spanish with a Jamaican dialect of English spoken around a concentration of Jamaican immigrants in and around the coastal cities and Puerto Limon. The annual population growth rate is 2.3%. Roman Catholics make up the majority of the religion (76.3%) with Evangelical Protestant at 13.7% and other religions rounding out the remaining 10%. School is required through the ninth grade with a 75% graduation rate upon completion of the ninth grade. The literacy rate is 95.5%. The infant mortality rate is 10.8 deaths per 1000 births. Life expectancy for men is 75 years and women 80 years. With in the last ten years, the influx of people from the United States and Canada as well as the U.K. have brought professional services such as healthcare, financial, and technical to the area that were otherwise lacking or non existent. The year 2000 workforce consisted of approximately 1.39 million workers with 58% in service jobs, 20% in agriculture, and 22% in industry. The unemployment rate for 2002 was estimated at 6.1%

The Government

Costa Rica enjoys a Democratic republic type government. There are three branches of government; Legislative, Judicial, and Executive. A President is elected every four years and serves with the assistance of two Vice-Presidents. The voting age is 18 and there are five political parties; Social Christine Unity Party (PUSC), National Liberation Party (PLN), Citizen’s Action Party (PAC), Libertarian Movement Party (PML), and the Costa Rican Renovation Party (PRC). The Costa Rican flag is represented below.

Flag of Costa Rica

The Economy

The last 15 years in Costa Rica have brought about many changes in the economy. Costa Rica is the only country in Central America to have industry profits out number agriculture as the main source of revenue. Technology and tourism account for the main Gross National Product (GNP) producers