Friends, while we Americans get one type of media coverage regarding the sanctions being leveled at Russia, other nations are seeing the situation from different vantage points. Below is an example from India––but before that a few words about what Russian entrepreneurs (our alumni) and other younger Russian men and women said this past two weeks about their country and the sanctions.
SANCTIONS/QUIET CONFIDENCE: The general outlook of Russians I spoke with is one of quiet confidence …. saying that sanctions will turn out good for Russia in the long run––that Russia must become self sufficient––remarking that Russia became infatuated with foreign products in the 1990s. At that time they felt Russia didn't need to manufacture high-end products, that they could purchase them from other countries. However, the situation has changed. Today production has become the "in" discussion wherever one goes. The sanctions have helped bring this about. Several Russians remarked that they hoped the sanctions lasted for three years or more, since that would give Russians sufficient time to learn to manufacture formerly imported items themselves. The Russian government is offering financial support to entrepreneurs who are ready to move into consumer production.
MANUFACTURING: During a Petersburg newspaper interview a couple of days ago, I mentioned a proposal I'd developed to bring the sewing industry back to America's shores. Immediately I was asked if I would speak with StPetersburg authorities about restarting Russia's apparel industry. The appointment was quickly made, and I found myself talking with Russians who have the connections to make these types of possibilities happen. Who knows where it will go? In the short time between the interview and our appointment, they had checked out my history and opened discussions telling me what they knew about the apparel manufacturing business I started in 1974 in Texas (and is still in existence). The information is online. They were aware of our CCI apparel incubator in St.Petersburg which operated and trained many young clothing designers for 13 years––they had known of it since inception.
PRIDE: For the first time I can remember, Russians have a strong sense of pride in their country––perhaps due to their daily surrounds. Russian cities gleam today compared to any time these Russians can remember. City centers sport elegantly refurbished 19th century buildings and classy new multi-story business structures. Millions of drab Khrushchev apartments have been leveled and replaced with attractive new 20-story "residential buildings". There are literally hundreds of them in the suburbs. New metro lines and 21st century bridges have appeared. It's a mystery to me how any nation could have constructed so much living and business space and infrastructure so quickly, as has Russia. None of this existed 14 years ago.
WAR: As for the possibility of an all-out war with NATO over Ukraine, Russians I spoke with say it's impossible. The logic given is that U.S. money is invested in one-third of StPetersburg's industry and residential buildings, which I'm told is true all over Russia––and such a war would be a financial disaster for Americans. Whether this is accurate, I don't know. Russians have a visceral fear of war––it is obvious anytime the subject is discussed. WWII is still recalled with horror. Members of their families were killed or badly damaged for life. They don't celebrate or "hero-ize" their military or war making. War is memorialized with deeply moving art work and statues in every Russian city––the eternal flames still burn in these memorials. I remembered this contrast as I passed through American Airlines' new terminal at JFK on Sept 16. We travelers walked under huge flag-banners, the first was to the US Infantry. About 100 feet down the corridor was the US Navy banner, another 100 feet down the Air Force, followed by the Marines, and half a dozen other banners celebrating our military. The side walls were decorated with photos and stories of battles and war heroes. I wondered what we Americans would think if major Russian airports had such displays in their main areas.
AIRPORTS: The huge new Sheremetyvo Airport in Moscow is stunning and organized so English-speaking persons can easily read the signs and get immediately to their appropriate destinations. Roaming attendants speak fluent English. The huge motifs of the airport are about upward mobile, happy young people and Russian families moving forward -- sometimes flying in the air as in the last act of the Sochi Olympics. If Moscow's Sheremetyvo could be outdone, the architects and artists who put together the design of the new StPetersburg airport is even more next century looking, but somewhat smaller. For those of you who have suffered through the old Pulkova StPetersburg facility, you are in for a treat the next time you travel there. I was awestruck––literally I stood and gawked! The decorative images are upbeat and pictorial of the societal values ordinary Russians are aspiring to these days.
Onto the Indian article for another point of view (not necessarily mine).
Sharon
Sanctions/ Manufacturing: St Petersbug has way too high a salary level to support a successful textile industry. As for the promised subsidies, they will remain just that - promised subsidies. Also keep in mind that neither the sanctions nor the embargo affect textiles. Finally, the embargo can't last for 3 years because Russia is a WTO member and is going to get sued for the embargo so they will have to take it off.
Pride: Millions of Khrushyobi have been demolished? Source? Forgive me, I haven't noticed.
War: The estimate of US investment in StP real estate is laughable. And if it were even close to true, how would that be a disincentive to war? Russia could confiscate all the US property (of which there is precious little, don't worry).
I'm glad the Pulkovo airport is getting a facelift. You know the Donetsk and Lugansk airports also look a lot different from how they did last year.
Posted by: John Haskell | September 20, 2014 at 12:59 AM