So, You Want To Buy a Strategic American Company ?
That’s the title of my latest essay for Slate: Political resistance to foreign takeovers is not all that shocking, even in the supposedly laissez-faire United States. Foreign corporations are the perfect political bogeyman. By definition, they are un-American. Critics are usually correct when they claim that these firms are only concerned with making money (our ...
That's the title of my latest essay for Slate: Political resistance to foreign takeovers is not all that shocking, even in the supposedly laissez-faire United States. Foreign corporations are the perfect political bogeyman. By definition, they are un-American. Critics are usually correct when they claim that these firms are only concerned with making money (our multinationals would never act like that!!), and if they are state-owned, well, then their purposes must be even more nefarious. The targets of many of these takeovers?infrastructure, utilities, steel?are perceived to have some strategic value, which makes ordinary citizens even more sensitive.... So, what's a foreign CEO to do? How do you take over a national treasure in such a hostile political environment? Here are a few lessons that can be learned from recent experience. You'll have to read the essay to see my meager bits of advice. For readers clicking over from Slate, click here to see a list of blog posts on the Dubai ports deal. Then click here for my post about Euro-hysteria on hostile corporate takeovers. And, finally, click here to see my musings on CNOOC's proposed takeover of Unocal back in the summer of 2005.
That’s the title of my latest essay for Slate:
Political resistance to foreign takeovers is not all that shocking, even in the supposedly laissez-faire United States. Foreign corporations are the perfect political bogeyman. By definition, they are un-American. Critics are usually correct when they claim that these firms are only concerned with making money (our multinationals would never act like that!!), and if they are state-owned, well, then their purposes must be even more nefarious. The targets of many of these takeovers?infrastructure, utilities, steel?are perceived to have some strategic value, which makes ordinary citizens even more sensitive…. So, what’s a foreign CEO to do? How do you take over a national treasure in such a hostile political environment? Here are a few lessons that can be learned from recent experience.
You’ll have to read the essay to see my meager bits of advice. For readers clicking over from Slate, click here to see a list of blog posts on the Dubai ports deal. Then click here for my post about Euro-hysteria on hostile corporate takeovers. And, finally, click here to see my musings on CNOOC’s proposed takeover of Unocal back in the summer of 2005.
Daniel W. Drezner is a professor of international politics at the Fletcher School of Law and Diplomacy at Tufts University and co-host of the Space the Nation podcast. Twitter: @dandrezner
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