Description: This book argues that problems of competition that U.S. industries have faced stem from the post World War II era when companies were protected by government regulations that discouraged competition. As a result, the automobile, steel, consumer electronics, and other industries did not adjust quickly to the competitive demands of the global economy.

During the 1970s and 1980s, scholars, government officials, and industry leaders called for a government-corporate partnership similar to those found in Europe and Japan, and recommended the implementation of an industrial policy as a means of helping U.S. companies become competitive. The author argues that these leaders failed to understand the core values of the American economic, political, and social systems, which have their roots in Jeffersonian democratic principles, preclude the implementation of an industrial policy.

By the late 1980s, many U.S. companies had successfully changed their management strategies to meet the demand of the global economy without government assistance. The book finds that companies were able to meet the challenge of foreign competitors in part because of the demand of U.S. equity markets, which severely punish companies that do not perform, and factors within the U.S. culture that encourage innovation and change.

Please Wait