Peter Orszag.

Photo: loaned

alumni More than 2,600 IESE alumni attended the Global Alumni Reunion, "Shifting Paradigms: Opportunities Lie in the Challenge," held in Barcelona on October 28-29. One of the speakers was Peter Orszag, former director of the White House budget , who spoke on "Navigating the Economic Horizon. An Insider's Perspective.

Orszag commented on the current status of the US Economics , where he sees signs for optimism: Economics has finally started to grow again, albeit modestly. However it will prove complicated to manage the public deficit and in his opinion this can only be achieved by increasing revenues. "Now macroeconomic demand will start to decline." This is why, according to the former White House cabinet member director , the Economics should be boosted once again and it is essential to reduce the deficit and increase fiscal stimulus.

Following his speech a discussion was formed on how to compete globally. Marc Puig, CEO of Puig, the business that markets perfumes such as Carolina Herrera and Nina Ricci, commented: "We see ourselves as brand builders through fashion. We don't just sell products: we sell experiences. It is necessary to engage customers by integrating the brand into their value system."

Charles Petruccelli.

Photo: loaned

Charles Petruccelli, president of Global Travel Services at American Express, noted that the travel industry has been hit hard by the recession as well as circumstances such as the 'Swine Flu' or the eruption of a volcano in Iceland. In the face of these setbacks, volume has immediately dropped by 20 to 30 percent and many companies have reduced spending by as much as 70 percent. Because of this, Petruccelli said, "we have changed our model, we have optimized the expense with global solutions, both online and offline. And the new model allows us to develop new solutions from committee, but always in line with our original business of offering an on-time ticket with a smile.

Travel companies have had to adapt quickly and radically to the Internet, and now face a new shift with the development of business via cell phones. "People carry in their hand the ability to get information, make a decision and execute it," he said. In addition, he added, the privacy of data is becoming a critical issue: a business that cannot guarantee that it protects its customers' privacy "faces the threat of its own extinction."

committee Finally, Benita Ferrero-Waldner, member of Gamesa's board of directors and former European Union Commissioner for Foreign Affairs, commented on the importance of greater integration for the Union to have real weight in the international geopolitical environment.

"The Lisbon Treaty needs to be reinterpreted from today's status , where, as the importance of emerging countries increases, the importance of the EU decreases," he commented. "We have finally understood that we must coordinate our economic and fiscal policies. Now we need a common energy policy and the same stance on climate change."

Ferrero-Waldner thinks that the European Union must speed up its decision-making: his ideal is that it should become a federation, with a single president and a single foreign minister, otherwise it will lose influence in the world.

Professor Antonio Dávila then moderated the session "New Strategy Paradigms", in which Esko Aho, Executive Vice President of Nokia, said that Europe needs a clear strategy that takes into account the long term deadline and helps us after the crisis. He stated that "we run the risk of eating the seed potato instead of growing it".

For his part, Hermann Simon, chairman of Simon-Kucher & Partners, commented that China will be the world's factory and Europe must build it. He added that companies that are not currently in China have a problem, and he said that the whole world should be seen as a playing field.