Austria is a largely mountainous country due to its location in the Alps.

The Central Eastern Alps, Northern Limestone Alps and Southern Limestone Alps are all partly in Austria.

Austria can be divided into five areas, the biggest being the Eastern Alps, which constitute 62% of nation's total area. The Austrian foothills at the base of the Alps and the Carpathians account for around 12% and the foothills in the east and areas surrounding the periphery of the Pannoni low country amount to about 12% of the total landmass. The second greater mountain area (much lower than the Alps) is situated in the north. Known as the Austrian granite plateau, it is located in the central area of the Bohemian Mass, and accounts for 10% of Austria. The Austrian portion of the Vienna basin comprises the remaining 4%.

Austria is one of the 12 richest countries in the world in terms of GDP (Gross domestic product) per capita, has a well-developed social market economy, and a high standard of living. Until the 1980s, many of Austria's largest industry firms were nationalised; in recent years, however, privatisation has reduced state holdings to a level comparable to other European economies. Labour movements are particularly strong in Austria and have large influence on labour politics. Next to a highly-developed industry, international tourism is the most important part of the national economy.

Germany has historically been the main trading partner of Austria, making it vulnerable to rapid changes in the German economy. However, since Austria became a member state of the European Union it has gained closer ties to other European Union economies, reducing its economic dependence on Germany.

As a federal republic, Austria is divided into nine states :

• Burgenland Eisenstadt
• Carinthia (Kärnten) Klagenfurt
• Lower Austria (Niederösterreich) St. Pölten
• Upper Austria (Oberösterreich) Linz
• Salzburg Salzburg
• Styria (Steiermark) Graz
• Tyrol (Tirol) Innsbruck
• Vorarlberg Bregenz
• Vienna (Wien)