Sunday, September 16, 2012

In The National Interest

Investors, share brokers and writers have all raised concerns about
the Haier bid for Fisher and Paykel. One prominent writer /economist
has even suggested a joint venture with a majority share holding
remaining here.

Sentiment and emotion have no economic reason usually but in the case
of F& P they do.

This company is an icon that we are all proud of.  Fisher and Paykel
is a first choice or option for most kiwis.

The increasingly wide kiwi diaspora is keen not only to talk this
company up but to show their dish draw dishwasher to their neighbours
in Brooklyn or Paddington. What better symbol of both our industrial
heritage and modern know how is there?

The brand, the innovation and the underlying financial value and F&P
shows the world of what we can do and achieve. Also that New Zealand
is not only dairy farms, film sets and beautiful scenery.

Government should and many others do act in the national interest.
It is in the national interest for F&P to remain in majority kiwi
ownership. To ensure this happens the government could instruct the
ACC board to take a strategic shareholding in F&P.  This would be
publicly popular and also caste the ACC board in favourable light.