Search

This article looks at the actions taken by several businesses to deal with the economic recession in Germany in 1993. As part of the economic revolution, manufacturers have shed 500,000 workers since early 1992, as they have sought to ease the impact of the country's $25.21-an-hour production costs. Germans are opening plants in eastern Europe, China, and South Carolina to avail of cheaper labor, serve faster-growing markets from local bases, and concentrate domestic efforts on high-technology goods. Management ranks are being flattened to speed decision-making. The automobile industry's effort to remain competitive is having an effect on the Mittelstand, which generates half of the gross domestic product.

Discusses the research of creating a new phone network for the future that will have the capability of generating information over fiber-optic networks at the speed of light. Importance of reliable phone networks in economic growth; Transformation of telecommunication technology; Explanation of fiber optic capabilities; Competition and opportunities in this sector.

The article focuses on the political conflict and state fund problems that hinder the actualization of the European Space Program in Europe. It is asserted that Europe was dependent in the U.S. in launching such program. This prompted French Frédéric d' Allest of Arianespace to manage the Ariane commercial launch which is under the European control. Ariane's two flights was grounded for 16 months until engine problems were solved.

Reports on the crisis in Germany following its reunification. Critical problem for all of Europe's recession-plagued economies; Warning by German Chancellor Helmut Kohl that Germans must work harder to best Asian and American rivals; Fears that far-right extremists will profit from economic misery; Rekindling of a sense of pride in being eastern.

Discusses how the Campbell Soup company is bent on foreign conquest, and Chief Executive Officer (CEO) David W. Johnson says he is determined to turn the insular American corporation into a global force in food. Clearly ambitious plan; Sluggish sales in the United States; Tough competition from foreign competitors. INSET: `HMM. Could use a little more snake,' by Pete Engardio, Joe....

Focuses on the makeover of the troubled Dutch technology giant, Philips Electronics NV, by the efforts of new Chief Executive Officer Jan D. Timmer. Reference to cutting of costs by slashing 55,000 jobs; Information on a new reeducation program known as Operation Centurion; Forecasts related to the companies profits. INSET: DEC expects big things from Philips' minis, by G. McWilliams..

Examines the progress of the 12 member nations of the European Community in their efforts to unite European economies and political values as of 1989. Vision of a united Europe in 1992; Emergence of a two-tiered European economy with the Common Market at its core; Updates on the six-nation European Free Trade Agreement; Clamor for trade relations with Western Europe by five Eastern European nations; Barriers to European trade integration.

Reports on the political and economic implications of United States President George Bush's visit to Poland and Hungary. Goal of Bush to draw Eastern Europe toward Western political pluralism and free-market economics; Role of Bush in influencing the direction of the Warsaw Pact's largest and most strategically important member; Political and economic conditions in Poland and Hungary; Improvement of Bush's rising stature as a world leader and block Soviet Union President Mikhail Gorbachev's vision of a "Common European House" in which U.S. influence would be diminished.

This article focuses on the efforts of Karlheinz Kaske to improve the performance of Siemens. In October 1988, Kaske ignited the biggest reorganization in Siemens' 141-year history, replacing its rigid, centralized management structure with smaller independent units. Once only a regional power, Siemens has made the U.S. its first target. Kaske also directed a $2 billion acquisitions rampage in 1988, launching Siemens' first hostile takeover bid, with British General Electric PLC for Plessey PLC, a British defense and telecommunications supplier. And Kaske bought Bendix Electronics and French IN2 computer maker. He also agreed to acquire Rolm and formed joint ventures with Westinghouse, Intel and Asea Brown Boveri. Kaske still has $13 billion in cash to use in pursuit of his vision. Thus, rivals are eyeing the transformation in Munich at the company's stately Wittelsbacherplatz headquarters. Along with his bank roll, Kaske can count on his credibility to help win the revolution. Reared in Essen, Germany, he has spent his entire career at Siemens. And he helped plan an earlier successful reorganization when he was just 40. Still, it has taken him eight years to awaken Siemens' bureaucracy who have been content to live off lucrative state contracts.

The article reports on whether the reshaping of Europe in 1992 will help reduce the number of U.S. multinational companies. The authors note that the U.S. multinationals are investing $19.7 billion in 1988 on new plant and equipment in the European Community. The authors add that the battle for 1992 will be a decisive test of U.S. company strength because the Europeans are also certain to defend their national champions against the U.S. and Japanese competition.

The article reports on the growth of U.S. exports. The U.S. is exporting not only grain and computers but also basic manufactured products. The struggling economy helped American relearn how to make the right products at the right prices. But experts believe that the export boom is only a temporary phenomenon created by the 50 percent drop in the dollar's value over the past three years.

The article looks at the German government's refusal to stimulate its economy in order to prevent a recession across Europe following the U.S. stock market crash in October 1987. The center-right coalition government of Chancellor Helmut Kohl has refused to change its monetary policy and institute tax cuts. Kohl's government also has not allowed private competitors to buy state monopolies, such as telecommunications and domestic air transportation.

The article reports that the October 1987 stock market crash has negatively several political leaders all over the world who have employed the rising stock market to validate their economic policies. Critics are now blaming political leaders who have emulated U.S. President Ronald Reagan's strategies of less government in the economy, tax cuts, regulation, and permissive deficit spending.