While Trump swings, China builds its bloc

Picture this: Donald Trump lines up his shot at Mar-a-Lago, while Xi Jinping welcomes Kim Jong Un’s daughter to a state dinner. One leader chases a golf ball. The other builds the next world order.

While the US gets lost in its own noise, China moves with quiet purpose. Xi, Putin, and Kim have created something more substantial than a photo opportunity. They share weapons, money, and a plan to end Western power.

Let’s look at the facts. Three nuclear states now control a third of the world’s land. They hold rare earths, energy, and factories that make NATO look small. They plan in decades. We plan in news cycles.

Kim Jong Un brought his daughter to meet Xi last week. That’s not a detail, it’s a message. North Korea is thinking in generations. China told Pyongyang its value “will not change.” This isn’t a short-term deal. This is built to last.

Russia brings force. North Korea brings chaos. China brings cash and calls the shots. Together, they offer a new path for strongmen. Join us, they say, and you keep your power. Trade with us and skip Western rules. Buy our arms and forget about lectures on rights.

Now, US companies face a test. You can sell in China, but only by playing by Beijing’s rules. You can source from this bloc, but risk your supply chain being held hostage. Every choice in the boardroom is now a bet on which system will win.

The State Department still thinks tough words matter. Congress holds hearings, but little changes. Meanwhile, China’s engineers help Russia make new missiles. North Korean shells hit Ukraine. Beijing’s digital currency chips away at the dollar. Words don’t stand a chance against actions.

Business schools still teach cases from the 1990s, when the West thought its values would spread everywhere. Today’s MBA students need new lessons. The world is splitting in two: open or closed, free or controlled. Companies must pick a side or risk losing both.

This axis offers order, but through force. No real elections. No tough questions from the press. No courts to stop bad deals. For leaders tired of the mess of democracy, Beijing’s model can look smooth. That’s the trap. That’s what could undo everything America built after 1945.

Here’s the choice: accept this new order or fight for what matters. But fighting takes focus. Focus takes leaders who look past the next round of golf. While Trump perfects his swing, Xi perfects his plan. That’s the real game. And it’s one the US can’t afford to lose.

Beyond the ivory tower: Detroit's AI advantage over Boston

In his guest essay published in the New York Times, "The 1970s Gave Us Industrial Decline. AI Could Bring Something Worse," Dr. Carl Benedikt Frey makes some compelling points.

Sadly, his perspective is too myopic and focused on the immediate, especially his commentary on Boston versus Detroit.

Boston has Harvard and MIT; of course, it should be winning in the global knowledge economy. But here are three reasons why Detroit is better positioned than Boston in the long run:

1) Manufacturing expertise meets AI implementation - Detroit has deep-rooted manufacturing expertise and established supply chains. For AI to be successful at scale, it needs to be built and deployed in physical systems. Detroit knows how to build, manufacture, and scale production—critical capabilities as AI transitions from research labs to real-world applications in everything from autonomous vehicles to smart manufacturing systems.

2) Lower cost structure enables innovation - Detroit offers significantly lower real estate costs for both commercial space and employee housing compared to Boston's premium market. These lower costs allow for greater risk-taking and innovation by freeing up capital that would otherwise go to overhead, enabling companies to invest more in R&D and experimentation.

3) Strategic position in a massive regional economy - Detroit's location in the Global Great Lakes provides excellent access to Canadian markets and the industrial heartland of the Midwest. Detroit sits at the heart of the Global Great Lakes economy, which collectively represents an economic powerhouse larger than Germany's entire GDP.

-Marc

This is how Putin operates...

During a 2007 meeting in Sochi, former German Chancellor Angela Merkel revealed in her memoir how Russian President Vladimir Putin deliberately used his Labrador to intimidate her, despite knowing about her fear of dogs.

Merkel described the striking account of this diplomatic power play in her memoir. She recounted how Putin allowed his black Labrador, Konni, to approach her during a photo opportunity, even though her fear of dogs had been previously communicated to Russian officials.

The incident illustrates Putin's calculated approach to psychological manipulation in diplomatic settings.

In her memoir, she wrote: "I could tell from Putin's facial expressions that he was enjoying the situation."

This incident demonstrates how authoritarian leaders weaponize personal information to gain a psychological advantage. Putin's deliberate use of Merkel's known phobia shows calculated manipulation designed to create discomfort and establish dominance before substantive discussions even begin.

The non-verbal message Putin sent was clear: "I know your weakness and I'm willing to exploit it."

Imagine how he handles Trump, someone Putin knows who is trying to impress him, and be his best friend.

+ From June 2013: @realDonaldTrump: Do you think Putin will be going to The Miss Universe Pageant in November in Moscow - if so, will he become my new best friend? 

-Marc