At last, a positive article on Ireland Inc

athlonedub

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431
Nobody would be stupid enough to deny we are in a bad place. However when talking to foreign companies (primarily US FDI) that are looking at investing in Ireland, it is profoundly depressing when they regurgitate the wall to wall negativity that they are picking up via the Irish media.

Should the Irish media stop reporting the facts as they are - clearly not! Do they need to put on the "green jersey" - well , if that is defined as a bit more balance and reporting the positives as they arise, well frankly yes! I think a major part of the problem is that people see donning the green jersey as axiomatically supporting the Government. This is not - nor should not - be the case. Everyone knows that this administration in its current incarnation has absolutely no chance of being reelected. It equally has no chance of getting beyond late Spring of next year.

So if donning the green jersey does not mean supporting the government, why can't commentators give SOME positive perspective. For example, in the FDI space in which I work (far from being the totality of the economy) increased recruitment is taking place and growth in many companies in in double digits etc.

Here is an article from the WSJ by Oliver O'Connor which I warmly applaud. In terms of trying to get new business into Ireland, its things like this which really do help.

----------------------------------------------------

Ireland: It's the Microeconomy, Stupid
Dublin has more cause for concern about global politics than about global business.
By******OLIVER O'CONNOR
Some recent headlines and commentary seem to suggest that the Irish economy has all but collapsed. It hasn't, and it doesn't have to.
Ireland has had a property bubble and crash, a regulatory failure, a banking disaster, and a fiscal crisis. Now, Ireland is caught up in the great macroeconomic issues of our times: how deep and how fast to cut debt; what will promote sustainable growth; the governance of the euro and its monetary policy; how to fix banks and who should pay; bond investors' attitudes to sovereign risk. It's an uncomfortable place for a small country.
Ireland's macro and fiscal challenges are real, well known, and openly disclosed. The recurrent government deficit has to be cut to 3% of GDP from nearly 12% in just four budgets. A credible 4-year plan has to be published this month, and by Dec. 7 Dublin must produce a 2011 budget with €6 billion in savings. The brunt is to be borne by spending cuts. By early next year, Ireland will have to return to debt markets.
 
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Joined
Sep 10, 2008
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3,566
one reason and one reason only.

Our low corperation tax.

How many companies investing here just have 1 office with 2-3 employees?

Will those same investors continue to invest if the IMF or EU raise our corperation tax levels as they intend to do?

P.S too much copy and paste with no links.
 

athlonedub

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Joined
Jan 16, 2006
Messages
431
one reason and one reason only.

Our low corperation tax.

How many companies investing here just have 1 office with 2-3 employees?

Will those same investors continue to invest if the IMF or EU raise our corperation tax levels as they intend to do?

P.S too much copy and paste with no links.
As someone who works in the area, the tax is a key but far from being the only element. In relation to 2/3 employees, just look at the top 10 Pharma, Tech \ Web , Financial Services, companies in the world and look at the employees in Ireland. In the thousands...The 2/3 employee entity is a minute part of the Irish economy.

Re the no links, blame Rupert Murdock - you may not be aware but WSJ is paywalled.....
 

Cabbage/Turnip

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Feb 23, 2010
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1,409
one reason and one reason only.

Our low corperation tax.

How many companies investing here just have 1 office with 2-3 employees?

Will those same investors continue to invest if the IMF or EU raise our corperation tax levels as they intend to do?

P.S too much copy and paste with no links.
The IMF dont force policies i thought, they give a figure and we must reach it what ever happens
 

athlonedub

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Joined
Jan 16, 2006
Messages
431
I also work in the area. What other elements are you talking about?
Well, having had a dinner last night with three country heads of US FDI operations, they were all agreed that the deflation of the cost base has put us right back in the game for the next wave of investment (one of the companies involved would be in a business where capital spend is key) viz a viz the Singapores and Israels of this world. The labour market is much more plentiful now and quality graduates are still being hoovered up by them. But the thing that really struck me (again) was each of them saying that they have managed to prove back at HQ that Ireland "works" as a location - they have a proven record of being able to deliver high value add services at a competitive cost and this "track record" gives them a great head start when lobbying HQ for more functions and activities being located in Ireland. One of them also was making the case that in many areas like Pharma and Tech etc, Ireland has got a critical mass of other companies here which means that the supporting infrastructure for anyone else coming along and the understanding at official Ireland level is there already.

Don't get me wrong, tax is an important factor. But if you think that someone is going to plonk a 2000+ person facility here just because of low tax, I would beg to differ ! If that were the case, Switzerland and Singapore could have stopped trying to attract any more inward investment years ago given their ruling systems. Tax was a much more important element say 25 years back because we didn't have a critical mass of "reference sites" here that US companies could look at and say "well they are here so it must be ok". IDA deserve a lot of credit for winning those early major projects - personally I think the Intel decision in 1990 was a turning point for those big wins.

So - and I suppose I'm judging this on 20 years of dealing with FDI - my view would be tax is quite important but not the sole determinant.
 
Joined
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But but but a Trade Delegation went to India / China / wherever and Ministers spent €5000 on an evening meal for people and nobody can justify the spend is the oft screaming headline on here....

One only has to look at UK sending Cameron plus huge delegation to China and Obama plus huge delegation to India to see the view of what is required.
 

Super8

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Joined
Oct 10, 2010
Messages
712
Please can the giddy business grads stop using the term "Ireland Inc". My country is not a plc and you are not more valuable to Ireland than my elderly neighbour or my friend's Down Syndrome brother.

Money is a means not an end.
 

Cassandra Syndrome

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Aug 23, 2009
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16,885
My opinion of that article is still the same as it was from yesterday - Pile of Puke.

Olivia needs to learn what micro economics actually is before trying to write an article about it. Quoting grossly inflated GDP figures is not aggregate Net National Income of households and firms. Furthermore she seems to forget to mention total micro economic debt which is running at well over 500% of gross national income.

Deal with the facts and the root causes and the correct solutions, not more opiate optimism.
 
D

Deleted member 17573

Nobody would be stupid enough to deny we are in a bad place. However when talking to foreign companies (primarily US FDI) that are looking at investing in Ireland, it is profoundly depressing when they regurgitate the wall to wall negativity that they are picking up via the Irish media.

Should the Irish media stop reporting the facts as they are - clearly not! Do they need to put on the "green jersey" - well , if that is defined as a bit more balance and reporting the positives as they arise, well frankly yes! I think a major part of the problem is that people see donning the green jersey as axiomatically supporting the Government. This is not - nor should not - be the case. Everyone knows that this administration in its current incarnation has absolutely no chance of being reelected. It equally has no chance of getting beyond late Spring of next year.

So if donning the green jersey does not mean supporting the government, why can't commentators give SOME positive perspective. For example, in the FDI space in which I work (far from being the totality of the economy) increased recruitment is taking place and growth in many companies in in double digits etc.

Here is an article from the WSJ by Oliver O'Connor which I warmly applaud. In terms of trying to get new business into Ireland, its things like this which really do help.

----------------------------------------------------
Do you really think the manic depressives, the doomongers and the seekers of the apocalypse are going to let you away with posting something positive?;)
 


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