If you are wondering what the EU is, you are in good company. I did not know either and living in the United States; I would gather that a good majority of people do not know. The EU stands for the European Union. The European Union is made consists of 28 countries. The countries in the EU goals are to provide peace in Europe, allow people to have good lives, ensure things are fair for all people, and nobody is left out, that all languages and cultures for all people are respected and that there is a strong European economy and that counties use the same currency (Euro) to do business (European Union, 2019).
One country in Western Europe that is not part of the EU is Switzerland. In keeping with its long traditions of sovereignty and neutrality, Switzerland has maintained a bilateral relationship with the EU (American Swiss Foundation, 2016). The fear by the Swiss Business Association is if Switzerland were to join the EU, there would be increased regulations and costs and less political autonomy (American Swiss Foundation, 2016). The flip side is that the EU is considering new laws that would lessen the competition with non-members, which could impact Switzerland’s financial sector (American Swiss Foundation, 2016).
There has been movement as recent as October 2019 regarding Switzerland and the EU. In July 2019 Brussels refused to recognize Swiss market regulations, which effectively banned EU-based banks and brokers from trading on Swiss exchanges (Shields, 2019a). Switzerland retaliated by banning the trade of Swiss stocks on EU exchanges, which is estimated at 30% of the volume in Zurich-listed shares (Shields, 2019a). There were hopes that the issues could be worked out and after four years of negotiations, and a new Switzerland-EU treaty could be resolved in 2019; however that has not occurred at this time. The rumor is that no Swiss-EU treaty will emerge until Britains’s chaotic Brexit is settled (Sheilds, 2019b).
Based on what I have read, it appears that Switzerland wants to remain the neutral party. They don’t want to be required to be part of the EU, but they don’t want to be penalized for it either. They are not willing to take penalties without a fight. What I found in reading is that is similar to leadership styles in Switzerland, as well. They are typically non-confrontational, collective approach styles (World Business Culture, 2017). They like decisions to be made by a group of peers over a length of time, this goes back to that neutral state. They seem to shy away from the autocratic or authoritarian styles.
Reference:
American Swiss Foundation (Ed.). (2016). Switzerland and the European Union. Retrieved November 23, 2019, from https://www.americanswiss.org/resources_and_publications/switzerland-and-the-european-union/
European Union (Ed.). (2019, October 29). Easy to read – The European Union. Retrieved November 23, 2019, from https://europa.eu/european-union/about-eu/easy-to-read_en
Ruletkka. (2015, November 26). Puzzle with the national flag of Switzerland and European Union. Retrieved November 23, 2019, from https://depositphotos.com/91236368/stock-photo-puzzle-with-the-national-flag.html (Originally photographed 2015, November 26)
Shields, M. (2019a, July 01). Swiss-EU relations risk downward spiral as bourse ROW FLARES. Retrieved November 23, 2019, from https://www.reuters.com/article/us-swiss-eu/swiss-eu-relations-risk-downward-spiral-as-bourse-row-flares-idUSKCN1TW2LJ
Shields, M. (2019b, October 04). Chances of Swiss-EU treaty deal this month have VANISHED, sources say. Retrieved November 23, 2019, from https://www.reuters.com/article/us-swiss-eu/chances-of-swiss-eu-treaty-deal-this-month-have-vanished-sources-say-idUSKBN1WJ1PY
World Business Culture (Ed.). (2017, March 27). Swiss management style. Retrieved November 23, 2019, from https://www.worldbusinessculture.com/country-profiles/switzerland/culture/management-style/