Death of car industry had to happen: ANZ Chief Mike Smith

The death of Australian car manufacturing was part of the
nation’s adaptation to the economy of the 21st century, according to
ANZ chief Mike Smith.

AAP reports that Mr Smith told a Trans-Tasman business lunch
in Melbourne that Australia will become more technologically-driven and
concentrate on industries in which we have an advantage, like agriculture,
education, medical research and high value manufacturing.

“You won’t have
these massive organisations in the way that you used to have them, they will be
much more nimble and need to be more flexible,” he said.

“The classic example is the car industry… banking is
another one. We would not have even conceived of it five-10 years ago we would
be doing our banking on our phones, and there are still changes to move.

“Australia has got so much advantage here, it just
needs to engage and ensure it takes the opportunity rather than just try and
preserve the past.”

As The Australian reports, Mr Smith downplayed the possibility
of a slowdown in Chinese economic growth.

He said that China is slowly transforming from “a
manufacturing and export-based economy to a domestic consumption-based economy”
and that trade within the Asian region will benefit the Australian economy.

“There’s a lot of these urban myths around that Australian
businesses can’t succeed in Asia, but for every one that has failed there’s a
hundred that succeed,” he said.

Image: Macrobusiness.com.au