Austria versus Switzerland

Both are great options as far as sights to see. Lucerne is beautiful and so is Salzburg and surrounding areas, where you would probably visit if you are looking for SOM sights. Austria is cheaper, which would influence my decision.

Lucerne. You could go up to Pilatus. Actually do some hiking too. Lovely boat ride on the lake. I was in Salzburg. Didn't go on SOM tour. Wasn't interested in something that is more American than Austrian. Your choice. Depends on what you want to do for those days.

If you're going to the Czech Republic and Germany, Austria's just easier to get to. And if you were going to Italy from Germany or Munich, it's a straight shot through Austria thru the Brenner Pass.

Many end up or start in Munich, and visiting Austria is just so much easier than going 3 hrs. west and entering Switzerland. We like to rent a car in Munich and make a western to eastern circle from Munich--through Innsbruck and back up thru Salzburg. From there, you can easily go east to Vienna and Hallstadt, or east to Linz and north to Cesky Krumlov and up to Prague.

Austria's just a very central location--and it still has the incredible Alps.

Just got back from a two week Bavarian/Lauterbrunnen/Salzburg road trip. You've got a tough choice there.

Lauterbrunnen : astonishing geography. I admit I'm a 'flatlander' from the Gulf Coast but I've never been anywhere before where every direction (and altitude) I turned had a breath-taking view. I now have a wall covered in poster-sized prints from the photos I shot. You've never heard so many oohs and aahs from visitors :-). Also the people were great and the food was excellent.

Salzburg : more entertaining than I can describe. The old town is a delight to walk around, the fortress is intriguing and the Mirabell Palace side of the river has some sights as well. We took the Sound of Music Tour - and if you get the same Panorama Tour guide that we had (Peter) you will not only get a great schmaltzy sing along road trip but also a pretty decent history of the town as well. A highlight of visiting Salzburg for me was the Mozart Dinner Concert at the Stiftskeller (St Peter cathedral) - the food was actually pretty good, the music was truly excellent and the location/theatrics really finished the package perfectly. Good food/great people around town as well.

You'll have fun either way I'm sure.

Austria vs. Switzerland: In Austria a regular hamburger from McDonald's is $1.30. In Switzerland it's $4.50 (no kidding). And that's pretty much the case with absolutely everything. Two weeks ago I had a business meeting with a colleague from New York City (who lives in Manhattan) in Zurich. He was shocked about their price level!

Austria vs. Switzerland: Austrians embrance visitors, are loving, warm, friendly, mostly even greet you with "Grüß Dich" (very personal, near and warm). Swiss are sick of tourists, arrogant, distant, really just after your money whereas the Austrians really want you to have a great time.

If you choose Salzburg, then also consider the lake town of Hallstatt. Ideally, you would fly into one city and out from another on a "multi-city" flight plan, to reduce backtracking on the ground.
Travel to/from Prague is not by fast train, so it takes 5-6 hours direct to/from Munich or Vienna but longer to Salzburg (sometimes back through Munich). How to Look Up Train Schedules Online gives you the DB train schedule link and tips for using it.

A big consideration would be what part of Germany you're coming from. I assume Bavaria, so Austria is the obvious choice. I would only consider Switzerland if you're coming from the southern Black Forest. I refuse to weigh into the debate of which one is more beautiful, because that's too subjective and there aren't too many Alpine destinations that don't meet the minimum criterea of "stunning". But as noted, Switzerland can be shockingly expensive. Austria generally isn't cheap either, but a bargain compared to it's western neighbor. I find the food a little better in Austria as well.