IntroductionColombo explored the Dominican Republic on his first voyage in 1492. He called it La Española and his son Diego was its first viceroy. The capital, Santo Domingo, founded in 1496, is the oldest European settlement in the Western Hemisphere. In 1821 Spanish rule was overthrown, but in 1822 the Haitians reconquered the colony. In 1844 the Haitians were driven out and the Dominican Republic was founded, led by Pedro Santana. Haitian attacks led Santana to make the country a province of Spain from 1861 to 1865. The Dominican Republic is a low-to-middle income developing country, dependent primarily on natural resources and public services. Although the service sector has recently overtaken agriculture as the largest employer in the Dominicans, thanks largely to the growth of tourism and free trade zones, agriculture remains the most important sector in terms of domestic consumption and is in second place in terms of export earnings. Tourism accounts for more than $1.3 billion in annual earnings. According to the 2005 Annual Report of the United Nations Subcommittee on Human Development in the Dominican Republic, the country is ranked 71st in the world for resource availability, 94th in the world for human development and 14th in the world for poor management of resources. The Dominican Republic enjoys a growing economy with the CIA World Fact book stating a real growth rate of 10.7% in 2006, although inflation holds an 8.2% in the economy. (Dominican Republic News & Information Service, 2006) The Business EnvironmentA. General informationThe Dominican Republic in the West Indies occupies the eastern two-thirds of the island of Hispaniola, which it shares with Haiti. Its area is equal to that of Vermont and New Hampshire combined. The capital is Santo Domingo, located on the southern coast of the island. Tourist facilities vary depending on price and location. Spanish is the official language. Although English is widely spoken in major cities and tourist areas, it is much less common outside of these areas. The Dominican Republic is occupied by 9,365,818 inhabitants, of which 95% are Roman Catholics. The workforce is divided into different types of activities: 17% agriculture, 24.4% industry, 58.6% services. The life expectancy of men is 71.34 years and 74.87 years for women, this means that Dominican women are tough and men can't handle them, so they die earlier. (Kidding!!) The government of the Dominican Republic is based primarily on that of the United States.