Merde in France!
That’s how Jacques Dutronc described the French situation back in 1984 in his humorous song.
And it’s a nuanced characterization of this past week in my native country!
First, Jacques and the world lost a revered singer, author, and composer: his wife, Françoise Hardy. Françoise was much more than the French icon she became with her surreal beauty in the ’60s.
She’s been and will continue to be a key part of my life’s soundtrack with her melancholic and sentimental ballads, reinvented into multiple musical styles through the years.
My preferred period is the 1970s, notably “Message Personnel,” a masterpiece she composed with Michel Berger. Here’s the hit song from the album.
Sad week.
***
But wait, there’s more!
Emmanuel Macron’s surprise announcement to dissolve the French Parliament and call for a snap election caused turmoil throughout the country.
With this risky gamble, Macron was looking for clarification. He might be served.
He and his team of close advisors considered different scenarios. They chose what appeared to be the “least damaging” option in the long run.
In other words, he’s risking co-leading the country with the far-right or far-left. Let their credibility be damaged in the face of harsh governing realities, and eventually have his ideals and political directions prevail in future elections.
Many things can go wrong in such a scenario, and times of crisis can turn people’s perceived suffering into very subjective votes.
***
Interestingly, Macron uses a well-known leadership strategy that has been repeated in politics, pop culture, and business history.
In a nutshell, the approach is to keep your friends close and your enemies closer. It helps you anticipate their moves, understand their strategies, and leverage their potential weaknesses.
François Mitterrand did this after winning the French presidential election in 1981 by including four communist ministers in his first government. The world was shocked; some even believed the Soviet tanks were about to enter Paris.
Key industrial companies and banks were nationalized, and communists were crucial to the new regime’s game plan. However, things didn’t go well: inflation soon skyrocketed, and taxes for the middle class soared. After three years, all communist ministers were gone, and the policies were overturned within five years.
They had been a credible voice in the opposition, but once they faced the harsh realities of governing, they lost face.
***
Sounds familiar?
Similar actions occur in the business world with Mergers and Acquisitions! I’ve been through several M&As, and keeping our enemies closer worked to our advantage more than once.
By acquiring our competitors, we gained significant insights into their operations, strategies, and market positioning while neutralizing them and consolidating our position. We enhanced our competitive edge through synergies and access to their technologies, intellectual property, and skilled personnel.
We grew stronger, benefited from economies of scale, and increased profitability. In return, this gave us better access to capital markets, enabling further investments and acquisitions and reinforcing our market position. And on and on!
Will Macron succeed in neutralizing and leveraging his competitors through “acquisition or merger”?
Will he transform his adversaries into valuable political assets, ensuring long-term dominance and growth of his ideals?
Nothing’s so sure. Macron might lack Mitterrand’s political cynicism and ability to co-lead with his enemies.
I wish him luck, but I also know a fair amount of M&As end up failing.