A business plan for each EU country
Boosting the industrial base
In an edition of the German business daily "Handelsblatt", Martin Wittig argues that many nations are finding that a national economy depending heavily on services is vulnerable. Political leaders everywhere are looking for ways to strengthen their countries' industrial base.
He reminds Handelsblatt readers that in the US, President Barack Obama wants to double exports by 2015, for which he needs a robust industrial sector, and that EU Commissioner Günther Oettinger has recently called for Europe to increase industry's share of GDP to 20% by 2020 (EU average). And even Asia's booming economies are taking pains to make their manufacturing industries less vulnerable to future crises.
Germany's sustainable business model
With industry accounting for 24% of the overall economy, Germany's economy is widely regarded as an example of a sustainable business model, Wittig says. In the UK and the US, this figure is 16%, in France it is even lower.
According to our CEO, Germany's success story is grounded in "the country's good infrastructure and central location in Europe", but also in sound traditions such as the dual educational system with its clearly defined professional qualifications, and a strong base of successful SMEs and family-owned business. Plus, the past decade has seen only moderate increases in hourly wage and unit labor costs and effective regional approaches by Germany's federal states to promoting industry.
Building on each country's strengths
Since it is neither feasible nor desirable for other European countries to emulate the German case, the Roland Berger CEO calls for a "business plan for each European country, one that builds on that country's strengths and provides the basis for a sensible industrial policy."
The EU Commission, he says, would then be tasked with harmonizing the policies of the individual countries and preventing a destructive "race" with tools like subsidy controls. "With a coordinated strategy, we can re-industrialize Europe and secure its position on the global markets," Wittig argues.
"Re-industrialization" is one of our firm's current hot issues. Partners in several offices are working on various aspects of the topic – among them a French team led by Max Blanchet. They are currently preparing a study on re-industrialization.
In an edition of the German business daily "Handelsblatt", Martin Wittig argues that many nations are finding that a national economy depending heavily on services is vulnerable. Political leaders everywhere are looking for ways to strengthen their countries' industrial base.
He reminds Handelsblatt readers that in the US, President Barack Obama wants to double exports by 2015, for which he needs a robust industrial sector, and that EU Commissioner Günther Oettinger has recently called for Europe to increase industry's share of GDP to 20% by 2020 (EU average). And even Asia's booming economies are taking pains to make their manufacturing industries less vulnerable to future crises.
Germany's sustainable business model
With industry accounting for 24% of the overall economy, Germany's economy is widely regarded as an example of a sustainable business model, Wittig says. In the UK and the US, this figure is 16%, in France it is even lower.
According to our CEO, Germany's success story is grounded in "the country's good infrastructure and central location in Europe", but also in sound traditions such as the dual educational system with its clearly defined professional qualifications, and a strong base of successful SMEs and family-owned business. Plus, the past decade has seen only moderate increases in hourly wage and unit labor costs and effective regional approaches by Germany's federal states to promoting industry.
Building on each country's strengths
Since it is neither feasible nor desirable for other European countries to emulate the German case, the Roland Berger CEO calls for a "business plan for each European country, one that builds on that country's strengths and provides the basis for a sensible industrial policy."
The EU Commission, he says, would then be tasked with harmonizing the policies of the individual countries and preventing a destructive "race" with tools like subsidy controls. "With a coordinated strategy, we can re-industrialize Europe and secure its position on the global markets," Wittig argues.
"Re-industrialization" is one of our firm's current hot issues. Partners in several offices are working on various aspects of the topic – among them a French team led by Max Blanchet. They are currently preparing a study on re-industrialization.
