"mitte" is the middle. Those are companies that are contempt with an average size, they don't strive to grow. (Or to "go big or go home", like US VCs would advise.) Also, "Mittelstand" companies are usually family-owned, which means that the CEO cares much more about being able to pass the business on to his kids on 20 years, than about raising today's stock price with buy-backs and dividends. And especially so if you have a niche provider that keeps offering the same services for 10s of years, is run by a tight-knit group of relatives, and cares more about quality than profits, those will proudly advertise themselves as "Mittelstand".
But you are right that Germany's SME subsidiaries generally follow the EU definition: https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A...
I don't know if there are loopholes and if SME subsidiaries end up benefiting large, established players in the end.
The article comes across as naive and idealistic. This was especially odd: "The average German—apart from those who’ve left the country and morphed into “tech bros”—isn’t particularly moved by shareholder value, especially when the Basic Law of Germany begins with “Human dignity shall be inviolable."
I agree with the proposoal to simplify and regulations but this is easier said that done because these are cultural aspects.
The idea that you should be able to start a business without risks or hard work is also perhaps more part of the problem than of the solution:
"A government program could provide salary grants based on experience, allowing these individuals to dedicate time to developing a digital product without compromising their quality of life or financial stability.*"
I would also think that someone who lives and work in Germany ought to be speaking German and would not require the German state to provide paperwork to start a company in English.
Lastly, regarding VAT exemption thresholds we perhaps need to look at the root cause of those exemptions and calls for higher thresholds: VAT rates in Europe are ridiculously high and that is in turn caused by the size of the state.
Not everyone thinks they should ruin their health and have no personal life for a 0.01% chance that those stock options are worth something.
> I would also think that someone who lives and work in Germany ought to be speaking German
Newsflash: there's an European Union with the right to work and live anywhere inside its borders. They speak a couple different languages in there already. What's one more?
Wow what a great way to invite even more talent to your country
If you move to Germany at some point you need to learn German, don't you?
"At some point" - absolutely. What bothers me, and this is visible in every layer of German bureaucracy, is that you're expected to be fluent in it from day one, navigate paperwork like a native, otherwise you'll be frowned upon very quickly. Now add to this the talent that wants to move in and start inventing or kick off a startup. Not gonna happen. Ohh, and not to mention German archaic view on education and workforce (non)mobility between sectors if one chooses so
The expected, normal way is that a foreigner adapts, not the other way round.