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Tuesday, May 05, 2009

We can share now, or be obliged to share later...

The big difference between China and America is that in a land more or less the same in one there live one billion two hundred millions people and on the other three hundred millions people.
That makes the difference on the table.
While in the one’s there will still be enough food, on the other there will just be colored plastic dishes with memories of a time when working meant filling the bowels.

I still see a brighter future for US than for the other countries.
A backward economy means a reduced lifestyle, but still enough to survive.

What I see is that:
"not only will we make fewer automobiles in the USA, but Americans will buy far fewer cars made anywhere."
The important is not how many will they buy, but "who will sell the ones they will buy".
When the economy is shrinking, the important is to be "among" the ones who produce.
What does that mean?
That the size of the company matters.
If you are big you can still survive, because the cost of production is lower and the prices are more competitive.
If you are small you cannot be competitive on price, just on quality.
But in a shrinking economy who will pay more to have more or less the same?

The "Mass Market" will not die, it will reduce the number of items produced, because the Mass won’t be able to afford a new car every year, or a new home, or a new portable phone, or a new software, or a new monitor, or a new computer.
I do not see it as so bad.
What is too much is too much.
You cannot increase production forever.
When the roads are full, the parkings are full, the garbage is full, you have to stop and rethink.

I see a bright future ahead. A world which will get to a more "human" size.
But I also see a greater gap among who lives in one country and the one who lives in the other.
And great gaps always brought wars...
It is up to us to decide what we want.
Either to share now, or to be obliged to share later...
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