wbpesch@ihuxp.UUCP (Walt Pesch) (04/14/84)
> Let's see. 5 letter word. Must have something to do with the > steel industry, obsessed with quarterly reports, abandoning their > plants (modernizing is expensive) to diversify into finance and > entertainment companies and anything else that'll turn a fast buck. > I've got it! "Greed." > Ken Perlow Nope, Ken, you're wrong. We'll have to take you down to the $5,000 level and give you the next clue: We all know that if management was able to turn a profit from being in the steel industry as they were able to 20 years ago, the plants would be kept running. However, nowadays because of this strange malody that is afflicting the steel industry it no longer feasible (i. e. profitable) to keep the plants running. (No help from the audience please.) OK, there is the clue. Remember, the question is: My only question is why is it cheaper for me to get steel for my hypothetical factory in Chicago from Japan instead of Gary, Indiana? My only answer is that it is a five-letter word and it is not "onion". You're job is to supply us with the correct answer. Still waiting for the bolt from the skies, Walt Pesch AT&T Technologies ihnp4!ihuxp!wbpesch
ken@ihuxq.UUCP (ken perlow) (04/15/84)
-- My oh my--my name in lights. Hold on to your hats, folks, while I recap the action so far: >> > Let's see. 5 letter word. Must have something to do with the >> > steel industry, obsessed with quarterly reports, abandoning their >> > plants (modernizing is expensive) to diversify into finance and >> > entertainment companies and anything else that'll turn a fast buck. >> > I've got it! "Greed." >> > Ken Perlow >> Nope, Ken, you're wrong. We'll have to take you down to the $5,000 >> level and give you the next clue: >> We all know that if management was able to turn a profit from >> being in the steel industry as they were able to 20 years ago, >> the plants would be kept running. However, nowadays because >> of this strange malody that is afflicting the steel industry >> it no longer feasible (i. e. profitable) to keep the plants >> running. (No help from the audience please.) >> OK, there is the clue. Remember, the question is: >> My only question is why is it cheaper for me to get steel for my >> hypothetical factory in Chicago from Japan instead of Gary, >> Indiana? >> My only answer is that it is a five-letter word and it is not >> "onion". >> You're job is to supply us with the correct answer. >> Still waiting for the bolt from the skies, >> Walt Pesch This game is rigged! Actually, Walt, the answer is "greed", though certainly not limited to management. 20 years ago, when steel should have invested heavily in new equipment, it didn't. Labor AND management split up the pie. Then came foreign competition. It still wasn't too late, but it got a bit riskier, so steel diversified instead. And now they've thrown in the towel. In some places the workers are trying to buy the old plants instead of seeing them closed down. I read of one instance, though, where the company refused, even though the workers made the highest offer. All is not rosy in Japan any more either. They have become so prosperous that their steel is being undercut by Singapore, whose plants are even newer and whose labor force works even cheaper. Yes Walt, if those pesky US steelworkers would work for $1.50 an hour, you could still pick up your tin plate hot off the press downtown. But alas, our workforce (organized or not) enjoys a very high standard of living, and the industry is too preoccupied with its new portfolios to be bothered making steel. Who's responsible? No matter what Ronnie may say, even if he never lies, there is no single blame nor single answer. -- *** *** JE MAINTIENDRAI ***** ***** ****** ****** 14 Apr 84 [25 Germinal An CXCII] ken perlow ***** ***** (312)979-7261 ** ** ** ** ..ihnp4!ihuxq!ken *** ***