Apparent calm, though not cheer, in markets begins the week. Recent movements in exchange rates did not go unnoticed. Although high growth and record breaking export figure stand at the top of the agenda, the reality of “external fragility” cannot be covered up.
The fact that oil prices are on the decline lately may be preventing foreign account deficit to grow larger, however, there’s another thing that is intriguing to me. Considering that we cannot obviously use the same methods that we use for internal competition for foreign competition, it does beg the question of: “Do we have a game plan?”
Foreign competition requires us to handle multiple issues, including costs and logistics, at once in an integrated manner. As we perfectly know that imposing additional tariffs and port charges with tariff ceilings is definitely not a permanent solution, what is going to be our next game plan?
“Yeah, you’ve got a point there…”
Employers say, “Do you want people to lose their jobs?” while others say, “Why are we still stuck with quality/price competition in the third millennium?” I think they both have a point.
But let’s talk about those who are wrong. For instance, people who are so obsessed with some business network that will cease to exist in coming decades. There are also those who say, “We will never disappear”. Many businesses cannot admit the fact that they won’t be able to survive if they keep on doing what they’re doing, that they will have to change themselves or switch industry sooner or later.
But it does beg the question: “How and for what purpose do we make our strategic or tactical plans? Based on what mathematical or scientific calculations?”
If our decision-making is merely based on our reactions, then we will never be able to do things that other people do not think we can.
