1960s-1970s: Establishing Ireland as a Location for Investment

   

1960s “1970s: Establishing Ireland as a Location for Investment

Location was the main theme of the advertising message in the 1960s ” "If you're considering Europe, consider Ireland" was one such campaign slogan . In this decade , IDA Ireland first started advertising Ireland as a place for overseas investment in the U.S. and Europe. The ads encouraged U.S. businesses to see Ireland as the ideal location from which to join the emerging and newly unified European market.

In the 1970s this theme changed to profitability. The advertising message strongly concentrated on the high returns on investment. Profit and tax were the main focuses ” "The highest return on investment in the Common Market" was one such ad slogan (see Figure 7-1). At this time, the Irish tax legislation allowed tax-free export profit, which was an appealing incentive to many U.S. companies looking to set up a European base.

Figure 7-1. The "29% ” The highest return on investment in the Common Market" advertisement touted Ireland's protit-making potential. Reprinted with permission of IDA Ireland.

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Ads were placed in Business Week , Fortune , Dun's Review , and other leading publications targeting the decision- makers , CEOs, and CFOs in North America.

In the 1970s Ireland was in the grips of a modern industrial revolution with dramatic increases in industrial output and exports. Ireland had the highest economic growth in Europe in the late 1970s. Since 1973, the year of membership in the European Common Market, Ireland experienced a major change in the rate of exports to continental Europe. The average rate of return on capital employed by U.S. corporations in 1975 and 1976 was 29.5%, almost 250% the European average. Inflation was on a steep downward spiral. Also during this time, emigration had slowed down considerably.

   


Creating Regional Wealth in the Innovation Economy. Models, Perspectives, and Best Practices
Creating Regional Wealth in the Innovation Economy: Models, Perspectives, and Best Practices
ISBN: 0130654159
EAN: 2147483647
Year: 2002
Pages: 237

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