Friday, October 7, 2011

Johnsonville Looks for International Growth

A day after I tried to point out how corporations have more incentive to grow their markets overseas than to keep the U.S. economy strong, I noticed this article.

The relevant passage is here:
About 10% of revenue is derived from international sales, which have been producing high double-digit growth, said Michael Stayer-Suprick, managing director of the company's international business group and Ralph Stayer's son.

If "high double-digit" means 50%, then international sales will account for 15% of the company's revenue in a year. If that "high double-digit" rate of growth continues, it will take only five years for the majority of Johnsonville's revenue to come from outside the U.S.

No wonder the company is backing Scott Walker.


Deekaman said...

What would you have them do? Lose money? Or go for overseas growth that will contrinue to provide jobs here?

I don't know about you, but I can only eat so much sausage.

Ordinary Jill said...

This case study is exactly what I'm talking about in my previous post. Johnsonville no longer needs to care if the Wisconsin economy shrinks, because their future lies overseas. You didn't believe my argument, so I thought a real-world, close-to-home example would be helpful.

Tax cuts for the rich (misleadingly called "job creators" in right-wing talking points) will not help our economy, because that money will be invested in other countries. As Johnsonville's overseas sales grow, expect them to build factories closer to those markets.

Tim Morrissey said...

Any more posts (and responses to comments) like this, and the Feds will investigate you, Jill. You're too close to the truth of the matter, and as more and more people figure it out, you'll have to be vetted and discredited.