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Firstly,

The largest proportion of tourists to Mallorca are Germans,

This is an incentive for the inhabitants to concentrate on German instead of English.

Secondly

There are a lot of retired Germans living on the island as well as a lot of Germans who have migrated there to work in the tourist industry. It also depends on where in Mallorca you are. Some areas mostly receive British tourists and some mostly receive Germans. They usually don't tend to mix though.

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Q: Why do people in mallorca speak German and not English?
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