From Der Spiegel we assume:


Germany’s economy seemed immune from the general downturn of SMEs in the PIIGS, but of course that was unrealistic because modern economic systems are tied each other both as importer and exporter. If import for any reason declines, consequently export declines, and viceversa.


I’ll never forget when in my first business plan at Texas Instruments in 1974, the Calculator Division decided to cut off the production of a few models of calculators because of their lack of profitability. When the plan was presented at the European  Headquarter in Nice, our plan was rejected because that would have decreased the production of the relative semiconductors in the Semiconductor parent division.

That means that no business plan can be considered such as a stand alone program, but has to be included in its full business cycle, i.e. a production chain that considers all advantage and disadvantages of all other manufacturers involved in the business.

The same consideration has to be done for national markets. They are never immune from weakness of other markets because they are connected, strictly connected.

It’s stupid to say that the Kanzlerin is too closed towards PIIGS economies. She certainly is not at fault for their debacle due to their policy of bribery, corruption and inefficiency.

Most of the current deficit of PIIGS has been devoted to rubbery instead of investing in the production of new real wealth.

It will be hard to exit from this whirlpool and, even admitted that we’ll be able to do that, we are not sure that at that time SMEs will still survive.