$string = "Test ä ö ü Ä Ö Ü ß";

$string =~ s/ä/&auml;/g;
$string =~ s/ö/&ouml;/g;
$string =~ s/ü/&uuml;/g;
$string =~ s/Ä/&Auml;/g;
$string =~ s/Ö/&Ouml;/g;
$string =~ s/Ü/&Uuml;/g;
$string =~ s/ß/&szlig;/g;

print $string, "\n";