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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?

To: Raymond Duray who wrote (33921)	5/19/2003 3:31:53 AM
From: elmatador	Read Replies (1) \| Respond to of 74559

<<gap between the salary of a CEO and his employee>> That's easily explained. Industry left the US/Japan/Europe to Asia or elsewhere. Average worker market price couldn't raise. While in the past his union had power to force up his wages, once industry was not there he lost his leverage. In this enviroment a CEO had the free hand to bid up its price since the CEO started being seeing in 1982 with Lee Iaccocca as a Messianic figure and those Messianic figures could freeload. The problem was that his average worker had a captive market. Worked inside a country which has mostly internal consumption answere for 70% of the Gross Internal Product (GIP), -if services are included, this % is higher- he also didn't have to compete with other workers elsewhere in the world. Once the workers from other parts of the world started competing, he -who had never had competition- was on his way of extinction. For 18 years I worded in overseas projects with Siemens an I saw all happening in front of my eyes. Worse: there is no turning back.