Turkey’s Shift to a More Open Economy

Applying for EU membership has sped up reforms, and that has helped the country weather the current crisis.

Turkey cannot escape the ravages of the global recession. But this time it may avoid the pains that often afflict this promising country in a downturn. For the Turks, a recession usually goes like this: A wild boom triggers high inflation, the currency collapses, and the poorly managed banking sector, hooked on speculative trading and foreign debt, has a near-death experience. Turkey has a well-educated workforce, proximity to Europe, and a shrewd management class. But financial fragility, including a meltdown that sparked riots in 2001, has kept it from entering the first rank of emerging market economies (By S. Reed, BusinessWeek, October 1, 2009).

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China Firm to Buy Hummer

An obscure Chinese construction-equipment maker plans to buy Hummer, a brawny symbol of America across the globe, from General Motors Corp. in a deal that presages the future shape of the international auto industry.

The prospective buyer, Sichuan Tengzhong Heavy Industrial Machinery Co., was announced a day after GM filed for bankruptcy protection in the U.S., and almost a year after the company put Hummer on the block (J. Stoll, S. Terlep and N. King Jr., Wall Street Journal, June 3, 2009)

Can the U.S. Make Vestas’ Windmills Spin?

The Danish wind turbine powerhouse is setting ambitious revenue goals, spurred in part by spending for renewables in Obama’s stimulus package (M. Scott, BusinessWeek, April 28, 2009).

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Building Materials Manufacturer Lafarge Opens New Facility in Silver Grove, Kentucky

Building materials manufacturer Lafarge has begun cranking out product at its new state-of-the-art joint compound manufacturing plant.

This new, fully automated plant – adjacent to Lafarge’s Silver Grove gypsum wallboard plant – will make the complete range of Lafarge’s current joint compound product offerings including Rapid Coat, Classic Coat, Rapid Coat Mid-Weight, Rapid Deco and the new Rapid Coat Low Dust compound (Manufacturing & Technology eJournal, Tuesday, February 17, 2009).

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Learning from the Great Depression

Here is a sampler of Companies that shunned debt, diversified and innovated during hard times and are still here today.

(S. Perman, BusinessWeek, October 17, 2008)

At 179 years old, Yuengling remains the country’s oldest beer maker. Dick Yuengling, the fifth-generation CEO, says the family kept the business afloat by diversifying into dairy farming, Broadway shows, and dance halls during the Great Depression instead of shutting down or selling out.

Founded in 1833, Martin Guitars is the oldest surviving guitar maker in the world. Sixth-generation CEO Chris Martin credits his company’s resiliency during the 1930s to its pricing and founding principle of remaining fair and equitable while maintaining its strong relationships with dealers—some of which stretch back generations. “Our billing has always been routine,” he says. “No shenanigans. We don’t offer discounts to high-volume retailers.”

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China’s Factory Blues

The days of ultra-cheap labor and little regulation are gone. As manufacturers’ costs climb, export prices will follow (D. Roberts, BusinessWeek, March 27, 2008).Click on the linkfor complete article.

Japan: Google’s Real-Life Lab

Cutting-edge phones, discerning consumers, and speedy connections make for rich feedback (K. Hall, BusinessWeek, February 14, 2008). Read more