What entrepreneurs can learn from value chains, innovation, and Europe’s economy
In this episode of the Never Overdue Podcast, Jean-Paul Van Damme (AAA) talks with Glenn Magerman, economist and professor at the ULB. Together with his team, Glenn investigates how companies worldwide are interconnected through so-called value chains — networks of suppliers and customers that together form the economy.
The conversation goes far beyond economic theory. It touches on topics that concern every entrepreneur and CFO today: the impact of interest rates on businesses, Europe’s competitiveness, and how companies can position themselves in a world of technological innovation and global competition.
Why value chains are more important than ever
According to Glenn Magerman, we should not view the economy solely at the level of individual companies or sectors, but as a network of businesses connected through suppliers and customers. When something changes somewhere in that network, such as a rising energy price or a disruption in production, it automatically impacts other companies in the chain.
Thanks to new data sources, such as VAT transactions between companies, researchers today can analyze how those value chains function much more effectively. This helps policymakers and businesses understand where risks lie and where opportunities arise within an economy.
Europe faces a productivity challenge
A second important theme in the podcast is Europe’s competitiveness. According to Magerman, Europe has been struggling with relatively slow productivity growth for some time, which has consequences for its competitive position against countries like the United States and China.
Factors such as higher energy prices and fragmented regulations make it harder for European companies to grow quickly or scale internationally. In Europe, different national rules still exist, often requiring companies to set up a separate legal structure in each country to operate. This increases costs and slows down growth.
Innovation requires investment and collaboration
Nevertheless, Glenn Magerman remains optimistic about Europe’s future. According to him, a key competitive advantage lies in education, knowledge, and collaboration. Europe still possesses a high level of education and a solid research base, factors that are essential for technological innovation.
For entrepreneurs, this means that investing in knowledge, technology, and talent remains crucial. Companies that succeed in combining these elements with capital and entrepreneurship can continue to grow successfully even in a complex economic environment.
Why this episode is a must-listen
The conversation with Glenn Magerman shows how economic insights are directly relevant to entrepreneurs and business leaders. From value chains and interest rate impact to innovation and international competition: companies today operate in a complex network where strategy, collaboration, and knowledge make the difference.
For CFOs, entrepreneurs, and consultants, this episode offers an interesting look at how economic trends influence the business world and where the opportunities for growth lie.
