How does Germany do it?

[shaz]

How does a high cost country with little natural resources enjoy such a massive trade surplus?

https://www.statista.com/statistics/256642/the-20-countries-with-the-highest-trade-surplus/

I understand that the "German brand" is well thought of but I can't explain how they have such a massive trade surplus per capita.

Any ideas? Things we should copy?

 

[ALACOWMAN]

doing what we can't..taking care of the interior first ...

 

[slick4591]

That link takes me to a page that says I have to join in order to read it.

 

[Son of Butch]

Germans are renowned for order and efficiency. Combine that with a strong work ethic and with not being allowed
military spending for more than 70 years, like Japan, has allowed them to focus and concentrate their resources and
efforts on their economy and standard of living.

The Marshall Plan after WWII gave West Germany a historic leg up and they made the best of the opportunity.
Given Germany and Japan's successful economies after the war it was long joked about who the winners of WWII
really were.

 

[ga.prime]

Genetics

 

[TennesseeTuxedo]

If they keep taking in immigrants from third world countries at their current pace under Merkel they might just forfeit that edge they've worked so hard to maintain.

 

[melking]

I am guessing Mercedes.

 

[greybeard]

Location location location. A high % of everything that Europe gets or exports flows thru Germany's Ruhr Valley.
That industrial valley is why the post war punishment of Germany came to an early end. There was no way to easily or cheaply rebuild Europe without the Ruhr.

 

[Nesikep]

While VW might not be the a shining example, quality and industriousness would be the leading factors.. This is where the US has failed, allowing all the companies to "mine" their brand names while building stuff offshore, allowing "Made in USA with domestic and foreign components", etc.. Everytime I find something decent and affordable that's made in the US, I better stock up on it because the next time I go to the store it'll look identical but be made in China, and unless you're reading the label every darned time, you're going to get burnt

Cummins is a good example.. On the diesel forums everyone said "ONLY GET CUMMINS HEAD GASKETS"... Well, the first one failed and took the engine out with it in 1000 miles, I build a new engine with another new Cummins gasket.. That one has started weeping after only 40,000 miles.. They're made in China! And shameless as they are, they aren't marking the price down. Going to try a Felpro this time (AKA "Fail-Pro" on the forums) for less than half the price

 

[True Grit Farms]

While VW might not be the a shining example, quality and industriousness would be the leading factors.. This is where the US has failed, allowing all the companies to "mine" their brand names while building stuff offshore, allowing "Made in USA with domestic and foreign components", etc.. Everytime I find something decent and affordable that's made in the US, I better stock up on it because the next time I go to the store it'll look identical but be made in China, and unless you're reading the label every darned time, you're going to get burnt

Cummins is a good example.. On the diesel forums everyone said "ONLY GET CUMMINS HEAD GASKETS"... Well, the first one failed and took the engine out with it in 1000 miles, I build a new engine with another new Cummins gasket.. That one has started weeping after only 40,000 miles.. They're made in China! And shameless as they are, they aren't marking the price down. Going to try a Felpro this time (AKA "Fail-Pro" on the forums) for less than half the price

I'd be looking into getting the head and block machined back to factory tolerances or better myself.

 

[Stocker Steve]

Germans are renowned for order and efficiency. Combine that with a strong work ethic and with not being allowed military spending for more than 70 years, like Japan, has allowed them to focus and concentrate their resources and efforts on their economy and standard of living.

In some countries - - the goverment works with companies to make them more successful. The US is not there but is currently moving in that direction. I think being the big dog in the Euro zone also helps Germany.

Germany puts a very high value on skilled workers. They are famous for their appreciceship programs. They are famous for their research programs. Germany is not a low cost producer, but they can usually export based on quality and performance.

Skill + work ethic

 

[Farm Fence Solutions]

Knipex mini bolt cutters give Germany a distinct advantage over the rest of the world.

 

[shaz]

They have really good people obviously but no resources compared to us. If they can create an export economy then we should be able to.

 

[Son of Butch]

They have really good people obviously but no resources compared to us.
If they can create an export economy then we should be able to.

Nope.
Because only 15% of usa population is of German heritage and with 10.5% Irish heritage drinking up all our resources
it can't be done. :banana:

 

[shaz]

They have really good people obviously but no resources compared to us.
If they can create an export economy then we should be able to.

Nope.
Because only 15% of usa population is of German heritage and with 10.5% Irish heritage drinking up all our resources
it can't be done. :banana:

Funny you should say that. I had read where a priest from England visited Ireland not long after the Normans conquered England and said the Irish are basically lazy. He cited that they lived exclusively off the livestock and never plowed the ground as an example. Soon after that, the Normans invaded and conquered most of Ireland. Coincidence?

 

[greybeard]

Don't be fooled tho, EU was formed cheifly to compete with US industry and trade and they would economically cripple us if given 1/2 a chance. The only thing that has changed since the 2 world wars is the weapon of choice...they still very much yearn for global dominance.

(Should have given the whole of Germany to Joseph Stalin at the end of ww2 and left it with them)

 

[HDRider]

One big differentiator is their education system, oh, and their public service system, and their vo-tech system, and their apprenticeship programming, and how many engineers they graduate and how hard they work when they are at work.

Other than that, they are just like us.

 

[Stocker Steve]

Ya, but we have more lawyers!!!

 

[shaz]

Ya, but we have more lawyers!!!

We have more be nice salesmen!!@

 

[shaz]

One big differentiator is their education system, oh, and and their public service system, and their vo-tech system, and their apprenticeship programming, and how many engineers they graduate and how hard they work when they are at work.

Other than that, they are just like us.

How do you know this? I can speak for Japan, they put in a lot of hours but their output is not good at all.