The
history of the label “Made in
Germany” goes back to the year
1887 when British imports were
legally required to be marked with
a label such as “Made in Germany”
through the “Merchandise Marking
Act” to protect the British
economy. It was an attempt to make
the British consumer aware of the
origin of the merchandise and
hopefully entice him to buy
domestic products. But this
measure had the opposite effect.
Products so marked soon became
known for quality and reliability
the world over, much to the dismay
of the originators of the marking
act.
Germany’s heavy dependency on
imports of natural resources
forced its industry to specialize
in manufactured goods of superb
quality to keep the import/export
ration in balance. Its reputation
stretched around the globe.
Optical instruments such as
telescopes, microscopes and
binoculars, manufactured by Carl
Zeiss in Jena became
world-renowned. Krupp became the
most reputable steel producer in
Europe and Mercedes made a name
for itself on the automobile
market. Chemicals and musical
instruments were likewise not be
outdone by the competition. The
slogan “quality goes in before the
name goes on” tells the story.
While
WW I left the German industry
basically intact to continue on
the path of quality production
once the burden of reparations and
inflationary setbacks were
overcome, WW II virtually wiped
out German industrial capacity.
That this turned out to be an
advantage in gaining an edge on
the competition was not
immediately apparent. But
rebuilding also meant
modernization and automation which
provided industry the means to
slip into the competitive
forefront. The
Wirtschaftswunder was under
way.
Application of the latest
technologies coupled with proven
quality workmanship in
manufacturing consumer goods
indicated that the old label “Made
in Germany” had lost nothing of
its pre-war reputation. Based on
production figures for domestic
and international consumption it
seemed that Germany was on its way
to become an industrial
powerhouse. Foreign products
labeled “Made in Hong Kong,” or
“Made in China,” or even “Made in
Japan” which flooded the
international market, were offered
for a low price, but lacked in
quality. For instance, nails would
sometimes bend before penetrating
a two by four, and tools broke or
wore out prematurely.
Globalization and pervasive
outsourcing changed much of that.
Western manufacturers started to
take advantage of cheap labor in
the East, but forced production to
comply with their specifications.
It should, therefore, not be a
surprise to anyone discovering a
“Dirndl” dress labeled “Made in
Thailand.” Japan re-emerged as an
industrial nation on its own
accord. With its market
contribution to high quality
automobiles, cameras, computers
and associated adjunct equipment
it has established itself as a
tough competitor. Even China shows
promising signs of world
competitiveness.
“Made
in Germany” may have lost some of
its luster, particularly following
some high profile failures in the
field of technology, as was
recently reported. The Road Toll
System, plagued by schedule delays
and cost overruns due to the
inadequacy of the system design,
is still awaiting completion. The
Mars Probe, incorporating German
technology, is simply lost out
there in the vastness of space. Is
the consumer concerned with
high-tech failures such as that?
Probably not. Labels have lost
some of their significance anyway.
Customers don’t care anymore about
the origin of the merchandise, as
long as the quality of an item
matches the price. To some,
however, “Made in Germany” has a
certain nostalgic value. Its
established reputation lingers on.
Today
Germany’s export figures show an
increase of 9.7 percent for the
third quarter 2005 over the
previous quarter, according to the
Federal Office of Statistics. And
as long as that trend continues,
who cares about a label, after
all, exported goods are wanted
goods.
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2006 All content property of European Weekly unless where otherwise
accredited
