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The decision by BAe to sell it shares in the Airbus epitomises a major fault line in the British way of doing business. This decision will no doubt benefit shareholders and thus directors at least in the short term, but Spain has already signalled its intention to buy a bigger stake in the Airbus with a view to gaining more contracts. BAe will almost certainly lose out in the next contract round. This will not perhaps affect the company balance sheet but will mean a loss of skills in this nation.
British investors will possibly put money into Spanish companies making Airbus parts and will therefore be part of the action. All of them are no doubt very patriotic, but seem oblivious to the fact that, in this case, short term gain will mean a nation’s long term loss. Money and profit speak louder than community and national pride and solidarity.
