EU strategy to destroy the Chequers ‘agreement’...
- Thread starter Trashbat
- Start date
OK then, here's another company that through dreadful management went bust in the early 70's. BSA/Triumph had a huge market in the States but every year they'd miss the vital September date for new models. The idiotic management spent millions on a 3 wheeler bike called the Aerial 3 For housewives. They were supposed to buy these things and there'd be enough room for the supermarket shopping. Sold a few thousand but not the huge numbers they thought they'd sell.
They went into receivership around 1971-2 - I was due to join them full time in 1972 as a trainee management accountant. Instead became a trainee chartered accountant in London.
They went into receivership around 1971-2 - I was due to join them full time in 1972 as a trainee management accountant. Instead became a trainee chartered accountant in London.
Yawn! It’s called comparative advantage. Basic economic theory dating back to Smith.
It’s why UK is good at financial services, Germans make cars, India does IT outsourcing and Spain sells oranges. Comparative advantage has been more profound in the last 20 years because of the globalised world we live in.
That’s right. See my comparative advantage comment. Germans are better at making cars than the British.
Jerryattrick
Vital Football Hero
But there is no comparative advantage of india doing IT instead of the UK. Having put out literally thousands of jobs to india, poland and Malaysia i can tell you it is a myth and many companies have had to cancel those contracts and try to manage a return to inhouse. It has been a preferred management option for years as it looks like you are doing something, looks good on the bottom line for a year for the shareholders, gains you brownie points until you move onto another job leaving the crap to someone else lol. Also saves training your own people, the fact that the indian and malaysian outsourcing firms train one person and they then manage ten other untrained people.
So whats the story with nhs staff, are other countries better at being doctors or nurses. Are other countries better at plumbing and other trades. Nothing to do with purposely not training and getting cheap labour by stealing staff from another country.
What encouragement is giving to companies to remain here. The steel and coal industries were either closed and/or undermined to smash the unions. When shipbuilding was in recession we closed our yards whilst japan and s korea built new yards waiting for the upturn. Can you imagine any other country allowing our defence companies to be amalgamated?
Where has our defence industry gone, are you saying we are shit at making things for killing people. Not long ago we made the instruments and head up units for every single us warplane - what happened, political decision?
Closing Chatham dockyard - political decision.
Lets stop talking bllocks and get back to keynsian economics or at least
Wayne.Kerr
Vital Champions League
I think I read that the biggest margin was about £18 per Mini
valenciagill
Vital Football Hero
It´s happening.
jokerman
Vital Football Hero
This comparative advantage, she is a tricky thing. As I recall it was Ricardo, the English, the Portuguese and wine and textiles. The problem was what if you have a comparative advantage in nothing at all (the Portuguese in the example; us today) -England is better at both textiles and wine than the Portuguese. Old Ricky said that the comparative advantage applies inside as well as between. Let's say the English are better at textiles than wine. So they should get out of wine and leave that to the Portuguese.
That, of course, has been the case for us getting out of manufacturing -there's other stuff we're better at- and why the Germans and French are mugs to stay in metal bashing mass market motor vehicles. In the medium to long run they're unsustainable and in the short term they involve ongoing opportunity costs in the efficient allocation of resources . Of course, people like The Economist have been saying this for yonks -but it seems to work for the Germans if not so much for the French.
That, of course, has been the case for us getting out of manufacturing -there's other stuff we're better at- and why the Germans and French are mugs to stay in metal bashing mass market motor vehicles. In the medium to long run they're unsustainable and in the short term they involve ongoing opportunity costs in the efficient allocation of resources . Of course, people like The Economist have been saying this for yonks -but it seems to work for the Germans if not so much for the French.
valenciagill
Vital Football Hero
I´ll have whatever you´re on ! I need my bed !
Wayne.Kerr
Vital Champions League
In Newport West?
A result of poor implementation. The likes of HSBC offshored and then subsequently onshored. They made the mistake of sending customer facing and non-transactional call centre work to India - doesn’t work!
When it is done well, offshoring works well. IBM, for instance moved most transactional finance roles (such as PTP, OTC) to lower cost, better skilled countries like Slovakia and Hungary in the early 2000s. It has been successful. I could give you 20 other examples of successful implementations that I’ve personally been involved in.
At the moment, I am working on a global IT transformation project. We bring hundreds of Indian developers to the US. Why? Because they are better skilled, better educated, and more available. Are they cheaper? No! They are paid on par with US employees.
What you say is nonsense.
Read up on comparative advantage. Many other countries do have a comparative advantage at providing health care. That is a result of decades of investment in training doctors. So, in answer to your question, yes - many other countries are better at providing healthcare services.
Precisely! Brexit is creating difficult conditions for business in the UK. Companies are reviewing investment decisions and moving to mainland Europe.
You’ve gone off topic. This is a Brexit debate - not a general discussion about UK domestic policies over the last 50 years.
We now live in an interconnected world. The economic boom-bust policies of the 1970 are less relevant today.
Wayne.Kerr
Vital Champions League
Those nasty EU people have extended article 50 to October 31 with a review at the end of June - time for VG to re-set all his clocks
Jerryattrick
Vital Football Hero
Its all relevant to brexit as leavers and remainers make claims that will not be solved by staying or leaving.
You really are a condesending idiot, there are many different types of off shoring skillsets and as for IBM, many companies that gave their IT over to them as service providors have taken it back e.g. astra zenecca just one. Many companies that were off shored to india are returning the services, less so from Poland.
You are ‘getting many indian IT workers that are highly skilled - good luck with that especially if they are from one of the three major players. I have been playing this game for a long long time and the long term figures do not stack up.
For your 20 supposed successes, over what period? I could quote another 20 in the opposite direction - so what?
Why dont you quote me some more economists, maybe you will think that makes you clever.
LSB2
Vital Football Hero
At least we get to vote in the European elections, and like the Greek have said, that will be the time for the UK to show that they want to remain.
There you go again. :-)
Touched a nerve?
“You are ‘getting many indian IT workers that are highly skilled - good luck with that especially if they are from one of the three major players. I have been playing this game for a long long time and the long term figures do not stack up.”
...you must be doing something wrong!
Wayne.Kerr
Vital Champions League
The organisation I worked for did more than outsourcing; it set up subsidiary companies in India, Thailand, Malaysia, Singapore, China and Turkey. It meant the firm had control; trained staff and gained much better access to local markets because of the % of local content on the projects concerned.
