Archived posting to the Leica Users Group, 2004/07/02

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Subject: [Leica] Re: foreign investment (WAS: Fungus in camera)
From: n.wajsman at chello.nl (Nathan Wajsman)
Date: Fri Jul 2 09:35:21 2004
References: <BD0AC383.6A6E%s.dimitrov@charter.net>

Slobodan,

I don't know enough about the maquiladoras to have a qualified opinion, 
but as far German and other Western investment in Eastern Europe, it is 
a resounding success. Take Skoda as an example. During Communist times 
it produced cars for the domestic market and the other E.European 
countries. Very few were exported to the West, mainly because the 
quality was on par with the late Yugo. But now Skoda is a division of 
Volkswagen, making excellent cars, and it is far more efficient that 
VW's factories in Germany. Of course VW made the investment not out of 
altruistic motives but to save on labor cost and enter new markets. 
Slovakia just secured a huge investment from Huyndai and is fast 
becoming one of the largest car producers in Europe. Sure, the Czech 
workers at Skoda make less than VW workers in Germany, but that is not a 
relevant comparison. What is relevant is whether they are better paid 
and better treated than other workers in the Czech economy, and that is 
undoubtedly the case.

Direct foreign investment is almost always a good thing for the host 
country.

Nathan

Slobodan Dimitrov wrote:
> When has a triviality such as 'illegal' ever stopped a corporation, if it
> went against their self-interest.
> While I don't have the info at my fingertips, didn't a number of German
> corp. giants buy industries in Eastern Europe just for such reasons. That
> is, to escape the homeland illegalities by going where it was 'legal'. At
> times just a few miles away.
> Ourselves, we have just such a fiasco here on the border with the
> Maquiladoras. 
> S. Dimitrov
> 
> 
> 

-- 
Nathan Wajsman
Almere, The Netherlands
Mobile: +31 6 30 868 671
General photography: http://www.nathanfoto.com
Seville photography: http://www.fotosevilla.com



Replies: Reply from s.dimitrov at charter.net (Slobodan Dimitrov) ([Leica] Re: foreign investment (WAS: Fungus in camera))
In reply to: Message from s.dimitrov at charter.net (Slobodan Dimitrov) ([Leica] Fungus in camera)