Poland: Climbing back over the fence

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  • 7/27/2019 Poland: Climbing back over the fence

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    I N G L O B A L T R A N S I T I O N

    POLANDClimb back over the fence

    lobetrotters View Issue No 9

    Wblopie

    an

    in

    belUN

    wo

    her

    ONOMIC MIRACLE.....

    ay, the Poles are safe and strong players in the international scene

    doing well economically. The clear advantage is the largest CEE

    ulation of 40MM, central location, highly skilled labor, and more

    ish speakers everyday as they learn english from kindergarten

    ugh MBA school. They are integrated with the EU but trade with

    ny nations beyond that. Ironically, Poland has better relationsh Germany and Russia than ever before. They are able to make a

    nction between Germany at large, and the Nazi anomaly.The

    on is strong, free, open, globalized, and growing, with a vibrant

    successful stock market, low tariffs, and high Foreign Direct

    estment (the U.S. has invested over $20 Billion in Poland -

    esenting only 6% of Polands total FDI). Poland was the only

    ntry in Europe to GROW during the financial crisis.

    As Lech tells the story, he details how the human spirit

    prevailed as he lay broken, I can lie here and die, or I can

    force myself to climb back over that fence. Which he

    did ... to fanatical cheers from the polish protestingpopulation. He became a global hero and the first post-war

    President of Poland. Today hes on a lecture circuit telling

    his remarkable story of tenacity, and persistence... traits

    that Poles exonerate everyday.

    Some would think Americans are the true believers and

    fanatic defenders of freedom but believe it, Poles defend it

    even more. Poland has graduated beyond their courageous

    plumber, who put them back on the map, but their human

    spirit, tenacity, and passion perpetually prevail. To be sure,

    you can count on the Poles to ALWAYS climb back over the

    fence. And no wonder.... their country has been wiped off

    the map twice in history as they stood between the

    Prussian and Russian giants. Later in the century few

    survived the Warsaw ghetto uprising of 1943 and the

    Warsaw general uprising of 1944 where Hitler ordered the

    destruction of the Polish Animals by literally blowing the

    doors off their homes and opening fire on every man,

    woman, and child.

    many of us think of Poland we thinkLech

    a, the courageous plumber who inspired

    ire nation to rise against communism.

    r to Marlon Brando in the famous union

    scene in On the Waterfront we imagineganized union protest of the solidarity

    only to be strong-armed by secret police,

    to near death, and thrown over the fence

    (picture above: Lech Walesa)

    This process is poignantly displayed in the Warsaw

    museum through a series of letters by a german soldi

    whose responsibility it was to plant the bombs that b

    the doors off each home. In the end, 700,000 lives,tremendous brainpower, and an entire professional

    society were lost... suddenly there were no doctors,

    bankers, accountants, or musicians in Warsaw.Not

    surprisingly, it was the Poles that had the most activ

    and effective underground movement during the

    communist regime

    Joining the EU has

    transparency, but th

    privatization proce

    complete. Rule of l

    strengthening, but

    still hold people to

    without reporting ilegal system is abo

    slow. Petty corrupt

    a problem e.g. brib

    and officials for tra

    tickets etc. Structu

    reforms are still ne

    as banking reform

    greater access to m

    all polish citizens (

    opposed to Oligarc

    government, who t

    dominate and cohe

    block market acces

    rigging the bid sy

    MARKET REFORM CONTINUED....

    In terms of market reforms, following the collapse of communism,

    many of the old leaders privatized themselves and reaped the

    benefits, creating great tension in Polish society. Like many CEEcountries, corruption after the fall of the wall was rampant, but it is

    better today as their capitalism is more broadly based.

  • 7/27/2019 Poland: Climbing back over the fence

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    P R O G R E S S

    P

    CCESS STORIES:

    day, Strategic Entry into Poland is fairly seamless. There are few barriers to entry,

    nks can be used effectively, and there are plenty of good services and educated/

    lled workforce. Distribution partners are often a good idea, if only for the language/

    alization and relationship network, but one can go it alone. Keep in mind,,

    mbuilding is a requisite part of management and can be a challenge because of the

    acy of distrust ... requiring immense training and practice.

    eat business opportunities exist for mid- level services and for construction in rural

    as. Examples include transportation of medical patients - there is no such thing as

    icopter transfer, making rural transport to hospitals an issue. Educational services

    d training to develop new skills are important ... particularly management training.

    e interviewee describes how his mother after the fall of the wall brought back

    loads of western goods to sell to Poland, Hungary, Romania, and Turkey, and had a

    at time doing it - traveling across borders for the first time in her life, and a REAL

    pping tour!

    number of Polish Americans from around Detroit and Chicago (the largest Polish

    pulation outside of Warsaw) moved to Poland after the fall of the wall and have

    ome very successful, but many fences have been climbed to get where they are

    ay, some 20 years later.

    Thomas Kolaja (BELOW) moved to Poland nearly 20 years ago from

    Ohio, starting with Mckinsey & Co, devising their CEE strategies. He

    now heads his own successful consulting business designed to speed

    companies into the free market economy, with specialty in corporate

    restructuring that incorporates operational and financial solutions.

    Stanley Urban,(LEFT) a graduate of the University of MIchigan, came to Poland from

    Detroit, nearly 20 years ago. He was involved in a joint venture with Thomson

    electronics, who purchased POLKOLOR a manufacturer of TV tubes, in Poland. He

    describes the place as a wreck when he arrived, but within a year one could not

    have recognized the place. We replaced old equipment, introduced quality bonusincentives, reduced rejection rates to within .7% from 20%. The story has been well

    publicized in the Wall St. Journal and other business magazines.

    John Lynch, left New York City to join US AID

    in Poland when he learned they needed recent

    business school grads to help kick start the new

    economy in 1991. After a self described

    exhilarating gig as a consultant he saw the

    lack of tourism products in Poland and began a

    company sporting promotional apparel. Today

    LYNKA is a thriving enterprise with thousands

    of clients and has one more than 40

    international awards. He founded the Krakow

    AMCHAM in 1995.David DeBendetti (right) is a New York

    attorney turned merger/acquisition expert who

    pioneered the legal profession in Warsaw.

    THE CULTURE

    Poles are satisfied with democracy, and have resigned

    themselves to satisfaction with the least-worst of their

    political leadership choices (sounds familiar). They are

    freedom loving, idealistic, and entrepreneurial. They

    waste no time being victims, (whereby some countries

    in Central and Eastern Europe seem to dwell

    excessively). No question they have a strong penchant

    for uniting in the face of adversity, but have a freespirited individualism in quieter times of prosperity.

    Yet, a lack of diversity may hold Poland back. Unlike

    more pluralistic democracies, Poland is 98% catholic

    and white. They have a tolerant society but do not have

    great experience with diversity or minorities in its social

    framework. Therefore, the inability to deal with a

    global, diverse, world, may be a handicap as global

    business continues to move into the territory, requiring

    cross cultural management skills.

    .

    It should also be emphasized that Pol

    many countries in Central and Eastern

    is currently experiencing a profound

    generation gap. The young, urban, h

    generation refuses to defer gratificatio

    kind, and have no historical memory

    lines to buy loaves of bread. Rather, t

    shopping center theory has triumphe

    Poland ... by our Thanksgiving, the Powere fully celebrating the holidays an

    shopping malls and coffee houses wer

    and packed with young people in t igh

    jeans, ipods, and high heels.

    SPECIAL THANKS TO AMCHAM PO

    who arranged these tremendous inter