Long-term rivalry between the Great Powers of Europe:
Tensions between the European powers intensified before the First World War, making conflict more likely. Conflict and competition emerged over the size of armed forces and an arms race developed between Britain and Germany over naval armaments and Germany, France and Russia over army size.
The alliance system:
The formation of two groups of alliances added to tensions in Europe as France, Britain and Russia formed the Triple Entente. Germany, Austria-Hungary and Italy joined together to form the Triple Alliance. Germany feared the possibility of fighting against Russia and France simultaneously and developed the Schlieffen Plan. The Plan assumed that the Russians would take six weeks to be fully ready for war and therefore that in the event of a war, Germany had a chance to defeat France quickly before Russia was ready.
Problems in the Balkans:
Conflicts and power struggles that took place in the Balkans were a source of instability in Europe before the First World War. The Ottomans had controlled this area but their grip had weakened and some countries like Serbia had asserted independence. In 1908, Austria-Hungary annexed Bosnia, a multi-ethnic state containing many Serbs.
Short-term trigger - The murder of Franz Ferdinand (28th June 1914):
The murder of the heir to the Austro-Hungarian throne by Serb nationalists who wanted Bosnia to unite with Serbia caused a crisis as the Austrians blamed Serbia. Russia, concerned to prevent Austria-Hungary gaining more territory from Serbia, mobilised their army and the Austrians, backed by their ally Germany, invaded Serbia on 28th July.
http://en.wikipedia.org/wiki/Causes_of_World_War_I
http://www.firstworldwar.com/origins/causes.htm
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