03-15-2015, 10:13 AM
Are there any plans to make it so that there are economic blocs as it were?
By this, I mean where there are incentives or penalties for selling from certain companies into others. For instance, as a company based in France, you'd initially get transportation breaks for selling in Algeria or Indochina, for instance, because they are colonial markets, and while there may not be much of a market, you get such a good deal on transport and labor by being a member of the colonial power that you can afford to sell the cars, profitably, at those incredibly low colonial prices. By that same token if you are, say, a Dutch company, selling in Algeria, you have to pay a much higher rate because you don't get the transit or labor discount, and in deed end up paying much more in such due to various transit fees so that, even if you took advantage of the low wages you pay your dealers in the country, you can't get low enough to compete at any meaningful level there until independence.
And at that same token, with greater economic integration on the continent, that Dutch company that couldn't compete in Algeria sees an opportunity closer to home as its European transport costs go down, incentivising it to sell in Germany or France or England or Denmark instead of putting its cars on ships and sending them out to the United States or Japan or China, or wherever the next growing market might be.
This could be expanded further so that things such as the dual economic blocs of the West and East could be more effectively modeled, preventing, again as that French company, from say, selling your cars in Poland or Czechoslovakia or Hungary or Russia...while as a Russian or other Eastern Bloc company you have that market available to you.
This could make for an interesting situation where, as historically happened with East Germany, you may be the pinnacle of your economic bloc's abilities...only to find that when those economic walls come down, you're middling at best.
By this, I mean where there are incentives or penalties for selling from certain companies into others. For instance, as a company based in France, you'd initially get transportation breaks for selling in Algeria or Indochina, for instance, because they are colonial markets, and while there may not be much of a market, you get such a good deal on transport and labor by being a member of the colonial power that you can afford to sell the cars, profitably, at those incredibly low colonial prices. By that same token if you are, say, a Dutch company, selling in Algeria, you have to pay a much higher rate because you don't get the transit or labor discount, and in deed end up paying much more in such due to various transit fees so that, even if you took advantage of the low wages you pay your dealers in the country, you can't get low enough to compete at any meaningful level there until independence.
And at that same token, with greater economic integration on the continent, that Dutch company that couldn't compete in Algeria sees an opportunity closer to home as its European transport costs go down, incentivising it to sell in Germany or France or England or Denmark instead of putting its cars on ships and sending them out to the United States or Japan or China, or wherever the next growing market might be.
This could be expanded further so that things such as the dual economic blocs of the West and East could be more effectively modeled, preventing, again as that French company, from say, selling your cars in Poland or Czechoslovakia or Hungary or Russia...while as a Russian or other Eastern Bloc company you have that market available to you.
This could make for an interesting situation where, as historically happened with East Germany, you may be the pinnacle of your economic bloc's abilities...only to find that when those economic walls come down, you're middling at best.
