I really do try to buy the highest percentage of U.S.A. domestic product as possible, but industrial globalization has made a study of my personal percentages nearly impossible. I sincerely believe that many people are naive in this area. To use a $ 0.50 phrase, it's a conundrum, or puzzle.
I will try not to get into thesis-level discussion here, but the number one priority--and responsibility--of board members for any corporation, large or small, is to maximize returns for shareholders. This is not a debate-able topic, and if you are ever close to somebody with that responsibilty, they can verify this principle. It's not just an academic notion. This pressure downward upon operational management is the primary cause for ongoing process improvement and production/procurement cost-cutting initiatives. In other words, there is the greatest incentive of all for operational management to find the highest quality, best-cost scenario for material inputs--job security. Very often this results in the sourcing of components from non-MIUSA sources. So what do YOU get? A statement on the window sticker of your new vehicle with a percentage figure stating how much of your new vehicle is made with MIUSA/Canada parts. I think the highest numbers out there right now are around 95%, even with Ford's best. Please don't take my word for it, call a dealer....
As usual, I'm long winded here, but I'm trying to make the point that our loyalties are not always shared in direct proportion by the manufacturers of our products. I do not equate this to a deliberate non-patriotic philosophy among American manufacturers, but rather to the incredible weight of responsibility of corporation to remain profitable for their stakeholders, which includes shareholders and employees alike. If GM decides to move quickly to correct its 50-60% MIUSA rating, they will likely crash and burn, putting in jeopardy thousands of U.S.-based employees and millions of dollars of U.S. shareholder equity.
While good companies try to remain profitable, sometimes they may compromise a laudable notion. The bottom line is, however, their future. Especially as automakers like Toyota, Nissan, Honda, etc., begin to manufacture and assemble products on our soil.
Here's a link to a story about the trend of foreign manufacturers who are churning out products on our soil at better margins than our own American-born companies can produce.
G L O B A L B U S I N E S S / M O T O R T R E N D S
FWIW, I consider myself as patriotic as the next guy, but the realities of our evolving buisiness world are requiring us to learn more about our product sources, and to question whether our loyalty to specific American companies is miguided. Another FWIW, and I repeat, Ford appears to be doing the best at holding water, but I predict that will fluxuate over time. Each individual will have to decide how inportant the MIUSA quotient is to them for their big-ticket purchases.
