Thursday, February 7, 2008

Year of the Rat


Since the Dark Ages, rats have been an enduring symbol of disease and degradation. Mice are cute. But rats are described as vermin and their mere presence is referred to as an infestation. No gritty portrait of post-industrial London, Paris or New York is complete without the sickening image of these beatty-eyed creatures lurking amid garbage pales and gutters. When we think of rats, we see the images of “Willard” and “Ben.”

I think rats have gotten a bum rap. As any biologist will tell you, rats are clever, adaptive and resourceful. Unlike humans, rats always find the cheese. Recently, the creative folks at Disney-Pixar have tried to rehabilitate this reviled rodent by giving him a chef’s hat and a ginzu knife. But let’s be honest guys --- even the most macho among us gets the “willies” when a rat suddenly scurries across our path.

Chinese legend has it, that when the Buddha called the animals to come before him, only twelve complied. Seeing the procession of creatures, the rat sensed an opportunity, and hitched a ride on the back of an ox. When the animals arrived before the sage, the rat hopped off and was first in line to gain his wisdom. As a result of his gumption, the rat occupies the revered position as year one on the Chinese astrological calendar.

This story may be emblematic of the true differences between East and West. Like the rat, the Asian economies, and China, in particular, have shown great resourcefulness and adaptability. Although they still are a “communist” nation, the Chinese seem to find profit in everything. Nothing in the stream of commerce is too small for them to duplicate or manufacture.

The dizzying economic growth in China is producing more millionaires at a faster pace than anywhere else on the planet (closely followed by India). Shops that once hung roasted ducks in their windows and reeked of exotic medicinals, now are adorned with Gucci bags and are scented by French perfumes. Chinese streets that were jammed with bikes and rickshaws are now bumper-to-bumper with Mercedes moguls smoking Cohibas. Is the Chinese economic miracle mere good fortune or is it evidence of something more fundamental?

America was once the “factory to the world.” Innovation was the hallmark of American industry. Today, however, manufacturing jobs are shrinking at an alarming rate with the majority of Americans being employed in the service sector. Did we get lazy; did we lose our edge; or did we simply fail to adapt? Whatever your answer, much may be learned from the lowly rat.

Instead of lamenting the falling dollar, we ought to embrace it as an opportunity to build our export markets. Rather than mourn the loss of American jobs to foreign shores, we must push back with new and better products that are geared to the rapidly changing marketplace. For example, in recognition of the rising demand for environmentally friendly goods, consumer giant Clorox recently released its “GreenWorks” line of cleaning products. Since the 70’s, we have known that the development of domestic renewable energy sources not only will loosen the stranglehold of Middle-East oil, but foster a whole new class of American jobs.

Not so long ago, frogs were synonymous warts. Today, Kermit, America’s best known amphibian is the spokesman for Ford’s new line of “green” vehicles. Maybe with the arrival of “Year of the Rat,” it’s time we stop thinking about this four legged rascal as pest to be exterminated, and instead, exalt him as the symbol of the new American prosperity. Gung Hei Fat Choi!



To learn more about my market recommendations, visit my website at:www.globewestfinancial.com.

No comments: