Driving to a Better Brand of Capitalism
I’d never really considered buying a Porsche, but check out the point of view of Wendelin Wiedeking, who is Porsche’s CEO not to mention a potato farmer and a shoemaker! Here's an excerpt from a Financial Times interview
published a few days ago:
“We should not always look at getting the maximum return but we must look at people and make sure they are taking part. When you see companies like Mannesmann that were broken up and sold again and then broken up and sold again then that causes me anguish,” he says in an interview at Porsche’s headquarters on the outskirts of Stuttgart.
His evident fondness for his workers is reflected in other aspects of his business philosophy. “Our business model is only financed by customers. So we have to pay a lot of attention to our customers. When the customer is happy then the worker is happy too and so are the suppliers. Then there should be enough money left for the shareholder. But that is the order of importance,” he says.
All of this is part of Mr Wiedeking’s insistence that he is not a slave to the capital markets: “The question is: how can society allow capital to make all the rules? I have never understood shareholder value as it leaves so many things out. Shareholders give their money just once, whereas the employees work every day.”