Hitting the (Outdoor) Mall....

One of things that seems to typify European life to me besides the languages, history, cultural differences, etc. is the prevalence of pedestrian malls and large public squares within major city centers. The following article from the IHT about a new pedestrian mall in Madrid is a perfect example. I'm reminded also of the 'Fussgängerzone' in Wiesbaden, Karl Johansgate in Oslo, Kärnter and Graben streets in Vienna - the list goes on.

We in the US certain have some of these scattered about, and of course many of our cities have beautiful urban parks offering a respite from the grit and cacophony of urban life, but I think that a clean, dedicated pedestrian zone within major city centers including high-end shopping, restaurants, cafes, bakeries, and hotels would go a very long way to attract investment, visitors, and life into many US cities suffering from urban flight.

The Colonial Life (or, "Where to spend your Euros in North America)

While perusing The Economist recently, I came across a short article about the tiny islands of Saint Pierre & Miquelon off the coast of Newfoundland. The article itself concerned the future economic development of the islands which has been hampered by decline of local fishing stock and the purported efforts to lay claim to some of the undersea oil and gas deposits nearby.
What caused my "Hmmm" was the reminder in the article that these islands are among the last vestiges of French colonialism. The local language is French, they are defended by France, send representatives in the French National Assembly and Senate and use the Euro as currency.
There is some worry in the islands that Canada may dispute France's claim to some of these offshore oil and gas deposits and the islanders are concerned that they could be viewed by France as a commodity or bargaining chip and could possibly even see themselves becoming part of Canada itself.

The Dragon and the Shopping Cart

A number of years ago I spent two weeks teaching the basics of E-Commerce to some students from Guangzhou province in southern China.
The class itself was quite high level, and designed to teach the rudiments of X12-based EDI, but also cover the concept of back-end integrations with order management, inventory, and financial systems and the way the data messages themselves were created and transmitted between the parties involved.
Although the students' command of English was only fair, it was far better than my Mandarin, which is non-existent and they seemed to understand my words reasonably well.
After the first few days into the class though, I could tell they were struggling to understand and we had to take an unscheduled diversion from the lesson plan to sort things out.
I learned that it wasn't language difficulties causing confusion, but rather some of the basic business concepts. These students were only familiar with 'cash and carry' business transactions and such familiar concepts (to us) as sending a Purchase Order to a supplier, then having that supplier ship the goods and submit an Invoice was a novel idea. I never did get them to understand the concept of specific terms of sale such as '2-10 Net 15'.
We didn't dwell on some these for long in order to get back on track. I just made sure they understood the basics of the most simple supply chain transactions, but this was a real eye-opener for me. Nevertheless, one need now only look at what thousands of small Chinese manufacturing firms are currently doing with ecommerce to see that in spite of coming from way behind, the Chinese have fully grasped E-business and the current generation's business leaders have learned their lessons well.

Social Contract or Line Item ?

I stumbled across this article in the IHT in which several writers espoused upon the varying ways which firms in the US and Europe are inclined to reduce their employee-related expenses (salaries, wages, etc.) during difficult economic times. In Europe, the trend is to reduce hours, perhaps have brief furloughs, but retain the workers as employees of the company. In the US, companies are more likely to have permanent layoffs in which the position itself is eliminated and the worker has little or no chance of re-employment with his former employer.

I recently had a discussion with an Italian friend about this topic. American firms are laser-focused on the bottom line and look at this issue in purely economic terms. Though all companies say they value their employees, the truth is that any employee, or work group, or even division - is strictly a line item expense on the balance sheet. Under tight economic pressure, American firms have little hesitation about doing whatever it takes to reduce costs, whether it's finding a new office supply vendor, changing internet service providers, or cutting positions. In their view, the company isn't terminating an employee, it's eliminating an unnecessary position (and associated costs). The human being filling that position receives nary an afterthought save for a few wistful reminiscences from former colleagues.

Surely there are notable exceptions on either side, but there seems to be some form of social contract that is part of the fabric of European life. Citizens there pay more in taxes, and perhaps put up with greater bureaucracy and silly rules, but have a far greater social safety net in return.

Getting to Know Our Neighbors to the South

It's been a while since I've posted anything. Time to get back. I was recently chatting with a friend who's based in Lima. We were discussing free trade agreements and international exports between nations. That discussion got me looking a little bit at some of these economies in the Americas and how little most of the US knows about our neighbors south of the border. Last year, for example, (according to the Economist), Peru had a higher rate of GDP growth than China and is expected to remain higher than any Latin American country this year. I didn't know that - did you?

Oh, to be popular....

So, I was browsing Die Welt this evening, trying to maintain my modest comprehension of written German, and perusing an article about a BBC survey which people were asked which country had the most positive influence on world affairs. Considering the article's prominence on the page, the answer was not surprisingly - Germany, followed by Canada and Great Britain. Go figure. The amusing headline though somehow claimed that Germany was thefore the 'most popular' country in the world. Somehow, I don't think that's what the survey was really asking.

But what really grabbed my attention on this same page was a slightly interactive, graphic description of the White House and its various outbuildings. Very cool.

It's the 'Real Thing' ?

So, after something like 25 years, Coca-Cola is finally dropping the word 'Classic' from its labeling for regular Coke. To this day, the company, and practically everyone else insist that the introduction of the sweeter formulated "New Coke" (aka "Coke II") in the mid 1980s was a huge marketing blunder. Books have been written about it, and this brand management fiasco is studied in business schools all over.

I may be alone, but I believe Coke's mistake was not in the creation or introduction of a new, sweeter product per se, but rather the decision to create a huge advertising blitz touting the new product and the demise of the original. Coke's marketing engine was churning out print and television ads full bore hyping this new and improved product. What Coke should have done was quietly release the new, sweeter Coke without fanfare to its bottlers and minimized the marketing. Unfortunately, because of the way it was released, consumers had no choice but to compare the two products and were then in a perfect position to voice their displeasure (loudly). Had the company quietly changed the product, consumers would clearly have noticed the difference, but there wouldn't have been the resulting firestorm of discontent and opposition.
The new product may still have failed, but then the company could have easily reintroduced the old formula with a new marketing splash, "We heard you ! Original formula Coke is back !" or even had two products on the shelves - original Coke with the particular 'bite' that it's known for, and then a second product with the new sweeter formula to rein in the Pepsi crowd. Instead, Coke spent another hundred million dollars (or whatever) to bring back 'old' Coke, undo their marketing campaigns, say their mea culpas, and spend years rebuilding the brand.

Remembrance of things past....

I read another article today – as usual, in the IHT – about the new memorial at the site of the Bergen-Belsen concentration camp. I was about to say the ‘infamous Bergen-Belsen concentration camp’, but in this case, I think no adjective is necessary or could ever truly describe a place such as this.

It’s been a year since I was in Berlin. There was no real purpose to the trip other than it was a city to which I had never visited, I had managed to get a couple days off work, and the airfare was relatively cheap (as was the hotel in which I stayed).

While there, I was continually struck by the lengths to which Germany seems to go in order to ensure that this nation will never forget this terrible past. There still seems to be a kind of national collective guilt and the country is doing all it can to remind its citizens - and the world – that it not only acknowledges the sins of the recent past, but is determined teach the younger generations what happened under their fathers’ and grandfather’s watch.

In Berlin itself, the Neue Wache is a solemn place, and sits in quiet testament to all those who have lost their lives due to oppression. There is Daniel Liebeskind’s relatively new Jewish Museum. Not far from the Brandenburg Gate lies the controversial Holocaust Memorial. I say ‘controversial’ primarily because some feel it doesn’t convey a true sense of being a memorial to the six million – perhaps it’s a bit too ‘artsy’ – but it is there.

The Neue Synagogue is carefully maintained, and under continuous patrol by the Polizei. Children are taught in school about the era of National Socialism. While I was there, I was twice approached by young Germans who noticed me visiting these sites and asked me to remind my friends back in America that what happened in the past was from a different generation. In the Deutsches Historisches Museum, the years from 1933 – 1945 are fully exposed for all to see and nothing has been swept under the revisionist rug. In the south, not far from Munich, the camp at Dachau has been preserved and is carefully maintained.

Racism and xenophobia will never be completely erased from any nation’s consciousness, but Germany is one country that is determined to move forward, while always remembering to look back too.

Seven Years

It was seven years ago - Jan 1, 2002 - that the European Union welcomed the Euro as the official currency of its member nations (although there are still a few EU countries that have not yet adopted it).

It was a huge event then - of course - but even now, with the benefit if hindsight, I still think that this has to be among the top five biggest economic events of the past 100 years.

In order to adopt the Euro, these countries had to look beyond whatever cultural, historical, or even sentimental bonds they may have had with their former currencies. Moreover, the adoption of the Euro tended to force these nations to really begin seeing themselves as part of a larger union itself. Some critics have even called the EU (somewhat derisively, I suspect), the "United States of Europe". Perhaps it is a certain reluctance to join the others and run with the herd is what has kept the UK, Denmark and Sweden from adopting this currency in spite of being among the original EU members. Today, January 1, 2008, Slovakia becomes the latest country to join the Eurozone and adopt the Euro as its native currency.

Guten Rutsch ! Happy New Year !

Since I'm not able to hit the road as often as I'd like, I do most of my travelling in the virtual way by reading articles and stories from other nations and capitals. Today I came across this story in the IHT (again).

After my trip last January (hard to believe it was almost a whole year ago), I sure wish I could have been there to see it this year. I can just picture the scene by the Brandenburg Gate ....

Maybe next year...

CeBIT 2009

Well, I'm trying to figure out if there's a chance I can attend CeBIT 2009 in Hannover next March. I don't know. I'd like to attend for several reasons. First, on a personal level, I have a number of friends in Hannover that I'd love to see and visit over the course of a few days. Second, it's one of those big trade shows that I've read about for many years and have never been to, so I'd at least like to see what the fuss is all about. Third, if I can accomplish some good advance planning, I'd like to see if I could arrange few job interviews. I haven't given up that dream of this global career I've been wanting...

Chance to restore US reputation abroad ?

I've become a huge fan of Fareed Zakaria over the past couple of years. Every time I read his essays, or see him on television, I become more impressed with his grasp of politics and world affairs. I look at all the places I've seen or read him recently and I just can't imagine how anyone has the time to do all that he does.

Take, for example, this snippet from a recent column in Newsweek:

"I will not exaggerate the importance of a single personality, but Obama has become a global symbol like none I can recall in my lifetime...." "Were his administration to demonstrate in its day-to-day conduct a genuine understanding of other countries' perspectives and an empathy for the aspirations of people around the world, it could change America's reputation in lasting ways.

This is a rare moment in history. A more responsive America, better attuned to the rest of the world, could help create a new set of ideas and institutions—an architecture of peace for the 21st century that would bring stability, prosperity and dignity to the lives of billions of people."

Fareed Zakaria, Newsweek, 2008.11.29

I couldn't have said it better myself.

Another transatlantic proposal ?

Wow ! This is interesting - discussions about a merger between the NYSE and the Börse ? For now, both parties are saying that the deal has fallen through, but now that the door has been cracked open, my bet is that this deal is still on the table.

But now that the Börse has indicated it's receptive to a merger, would anyone be really surprised if another exchange decides to throw its hat in the ring?

My would be global life...

I've always considered myself a globalist. Since I've returned from a whirlwind trip to Germany earlier this year, I believe this now more than ever. I say this having never even lived abroad - in spite of always wishing I could do so one day.

What defines a Global Individual? Is it reading The Economist? Watching Deutsche Welle? Vacationing in London ? Is it being an ex-pat or on a global assignment for one's firm? Not necessarily.

To me, this comes from having an understanding of and respect for other peoples and cultures, and as much as possible, having a sense of empathy for their history, ethnicities, languages. Not only that, but wanting to know more...

It's the greatest disappointment of my professional life that I never developed the international career I sought for so long. Living and working across the globe. Tuesday in London, Thursday in Brussels. Two weeks later in Chicago and LA. Next month, Seoul and Shanghai. That sort of thing. I wanted it so badly, I could feel it. Yet, I still consider myself a Global Individual. I maintain a large network of friends and contacts all across the world. Even though I am many years outside of high school, I *still* practice my German and French language studies on an almost daily basis. I skim the local news in London, Berlin, and Paris too. On October 3, Reunification Day in Germany, I was exchanging thoughts with my friends who were in Berlin when the wall came down. Am I a 'global citizen' ? To some, perhaps not, but to me, as long as I remain open-minded about the fact that there are others I share this planet with, and I care about how the other 90% live, yes.”

Interesting global tidbit of the day...

So here's an interesting tidbit that took me completely by surprise. I was reading my favorite online newspaper and learned that Switzerland didn't even join the United Nations until 2002. It's not that much of a surprise for me to know that they're not in the EU - after all, that's been e a contentious issue within some countries, and the Swiss are known for their independence and neutrality, but that UN thing was a big surprise. Now I'm wondering if there are any other 1st world countries that aren't in the UN.

The article wasn't even about this - its focus was how Switzerland's economic strength is weakening due to the global credit crisis - a problem that is exacerbated by its reliance on banking as the #1 industry, but it was the UN thing that really got my attention.

The expat life ?

Once again, I've read that US firms are finding it difficult to find employees willing to accept a transfer abroad. It seems that employees are worried about the hardships that would be faced by their families in a strange land as well as a perceived concern that by being so far away, these employees might be overlookeded, or may seem 'invisible' to the kingmakers back home and thus would miss out on possible opportunities for career advancement.

As to the first item, that's a perfectly understandable issue, but it can be addressed by good research up front, tapping the large network of expats who have gone before, using the resources offered by the sponsoring firm, and finally using the internet to really learn about the community to which you could be joining.

The second item just doesn't make sense to me at all. In this era of globalism and multiculturalism, what would-be executive wouldn't want to grab at a chance to add some true international experience to one's resume?

The frustrating thing to me is that this is all I've wanted to do - ever since I began working. Sad to say, I've never been with a company that would offer me this chance. There's got to be a reason I keep practicing my German and French on an almost daily basis. Is anyone out there listening?

Perhaps a bit of European Soul Searching ?

I have a great number of contacts across the globe - everywhere from Western Europe, to the Gulf States (Dubai, Saudi Arabia) and then further east, over to the Phillipines, Malaysia, Australia, and Vietnam.

Without exception, my global friends have been thrilled by the recent election here in the US and our soon to be new executive leadership. All the while, it has me reflecting on the state of race relations both here, and especially abroad.

The consensus seems to be that race relations are better here then elsewhere and that minorities - especially in Europe - won't be tapped (chosen, elected, whatever) for the highest offices in the forseeable future. Obama's election has induced a good amount of soul searching amongst the literati and intelligentsia, as well as the hoi polloi - especially in Europe.

Hence, these recent articles in the International Herald Tribune:

Can Europe produce an Obama?

Inspired by Obama, European minorities take action

Greens in Germany pick son of Turks as leader

France names Cameroon native to top regional post

Of course, Obama's rise to prominance happened virtually overnight (politically speaking). Who knows what will happen when a leader of color appears on the horizon in the UK, France, or Germany with the right combination of intelligence, charisma, looks, and ambition?

To globalize or not to globalize ?

I keep reading one article or another about 'globalization' (which seems to have no universally accepted definition). To some, it simply means offshoring jobs to lower-cost countries and results in increased unemployment at home along with poorer quality goods and services. To those who accept this definition, 'globalization' is a dirty word, and something to be avoided.
To others (myself included), this reallocation of of manufacturing and service jobs to economies that can perform the work more efficiently and economically is an example of true Darwinian economics. It's obviously unpleasant to those negatively affected by job loss (and I've been among them), but I don't have a problem with offshoring in general because it forces companies, countries, and economies to focus their resources on areas in which they can operate most efficiently.

Over time - perhaps even a generation - there should develop some sort of parity. Jobs lost in the US will gradually drive resources to create new markets that are based less on manufacturing and more on providing professional services, design, quality craftsmenship, transportation and the like. Meanwhile, manufacturing jobs sent overseas must maintain and grow their competitive advantage in cost and product quality or risk losing these jobs. We've seen what's happened with a lack of quality control in some of the goods manufactured in China - tainted baby formula, dangerous childrens' toys, tainted pet food - the backlash was rapid and severe. There will always be a market for quality goods at market prices. International tariffs and price controls muddy the waters obviously, but they dont' make a bad product good or vice versa.

Finally putting the passport to good use

My wanderlust got the better of me, and I recently returned from a short visit to a city I've always wanted to visit - Berlin. I wrote this short blog so my family and friends could keep up with my activities. Travelling solo made the trip relatively inexpensive - staying in a cheap hotel, eating lots street food, and window shopping does wonders to help one stay within budget.