Hungary’s Unacknowledged Leadership

Hungary has a strategic position in the heart of Europe. The country offers a highly developed logistics system. Its traditional role as a trading post makes it important as a regional production and distribution center.  Porsche, General Motors, and Audi are now producing many of their cars in Hungary – with other suppliers working for and close by. A recent investment by Mercedes Benz re-affirms the auto cluster formation in Hungary. The significant development of industries like information technology, electronics and automotive has attracted Foreign Direct Investment (FDI) at a rising rate.  Hungary’s acceptance as a member of the European Union and the Schengen Zone further boosted its own and its European partners economic, social and political development and stimulated more R&D activities.

All this is now jeopardized because of major EU internal strife over immigration policies. I observed the early stage of human flow between Serbia and Hungary which was then a 200-kilometer long green zone. Groups of 30 to 50 men, women and children slowly walked across the border. The local chief of police shrugged since he neither had the manpower nor the physical resources to round up or process the waves of humanity. In 2015, more than 400,000 people entered Hungary from Serbia, aiming to settle in Germany, France or Britain. The march through Hungary used to encounter an ostrich policy of “carry on and ignore”. But the people who immigrate were worn out and not any less hungry because they were in Hungary. To rest, or feed themselves, they trespassed on property and took fruits and other food. Locals were weary and talked about organized protection for their harvest. Pressures and complaints are like sparks in a tinder box.

The government of less than 10 million Hungarians has only limited resources to respond to the clashes. A wall has been built to stop the immigration flow across the most accessible border areas. The public response in Europe to Hungary’s defensive measures have been complaints, accusations of government over reaction, and lack of sympathy towards restriction of mobility. Prime Minister Orban, a democratically elected head of government was accused of a lack of sentimentality and guilty of behaving like a political winner (DUH)!

Today, Hungary is again encountering its traditional environmental ambiguity. In history, the country has been too far East to be part of the West, and too far West to be integrated into the East. There have been long-term occupations by the Tatars, Ottomans and Austrians. The treaty of Trianon, removed large portions of Hungary’s population and resources. During the Cold War Hungary kept conditions at least lukewarm with its Gulyas communism, and was often at the forefront of clamoring for change, for example, with its 1956 revolution against the Soviet Union, and the 1989 opening of its borders to help escaping East Germans.

Again Hungary has been an early proponent of the need to monitor refugee access to a country for purposes of justice, information, planning and control. Given its small size and population, repercussions of new factors are simply felt more quickly and demand more rapid actions than for nations which have lots of reserve resources to deal with new conditions. Even those players eventually recognize the need for new policies.

Accusing the Hungarians of inhumanity for their regulation of migration is unwise. To protect nations many walls have been built: just think of the Roman Hadrian or the Chinese Qin Shi Huang 2000 years ago. Walls are still being built today, by Austria, Serbia and now also by Turkey. Doing so is not a disregard for human lives, but rather an institutional requirement for control of the distribution of resources. Even Herculean effort is to provide food, shelter and security for migrants can fail if there is no timely count and assessment of human needs and the direction of the massive flow of people. It has not been sensible to overburden Hungary with expectations and demands for accommodative actions which, as we can see now, has shaken up major countries as well. In today’s times, leaders are all-to-often confronted with asymptotic conditions, where they encounter major demands for actions by outsiders who are shouldering neither the political burden nor are paying for all their wonderful suggestions. Later on, those who earlier decried and dismissed responsible government action often turn about and imitate the once so deployed steps. Particularly in groups of nations which disagree about idealistic policies, one winds up with the unfortunate constant of politics: foresight and early implementation of corrective action has no international payoff. No gratitude, no memory, no long term, no acknowledgment, just like an unhappy couple.

Modern International Business and Our Humanitarian History

We debate new approaches to teaching and communication, but don’t stop to think what effect Gutenberg’s printing press, wireless telegraphy, or the introduction of radio had on business and society. We highlight the disruptions from terrorism but neglect that already the crusaders wrote home about their fear of terror. We complain about the new phenomenon of pirates in Somalia – though such profession was riding high in the Caribbean or during Roman times in Sicily (which is where Pompeius earned his early reputation when he brought about their demise). We deplore the differentiation of groups based on religion, but conveniently forget the impact of Torquemada and the inquisition, or the reactions to Luther’s theses on the church doors of Wittenberg.