As the new century turned, European direct investment in the US economy was nearly 20 percent higher than American investment in Europe. In a New York Review of Books piece titled Europe vs. America, Tony Judt writes:
"Among dozens of emblematically "American" companies and products now owned by Europeans are Brooks Brothers, DKNY, Random House, Kent Cigarettes, Dove Soap, Chrysler, Bird’s Eye, Pennzoil, Baskin-Robbins, and the Los Angeles Dodgers."
Is this investment imbalance because there’s nothing to buy in Europe? Well, no. Judt continues:
"Productivity per hour of work in Italy, Austria, and Denmark is similar to that of the United States; but the US is now distinctly outperformed in this key measure by Ireland, the Netherlands, Norway, Belgium, Luxembourg, Germany, …and France."
So…should you consider selling your company to Europeans? As you wish. Certainly we can all consider how to raise the sustainable productivity and value of our companies. And — just a thought — we might consider talking less trash about our allies and trade partners and figure out how to work together to our increasing mutual benefit and security.
As one of our favorite business writers James has it (no last name — apparently he was that famous):
Now listen, you who say, “Today or tomorrow we will go to this or that city, spend a year there, carry on business and make money.” Why, you do not even know what will happen tomorrow. What is your life? You are a mist that appears for a little while and then vanishes. Instead, you ought to say, “If it is the Lord’s will, we will live and do this or that.” As it is, you boast and brag. All such boasting is evil. James 4:13-16
