You can have 10

... maybe think of it logically, uh, a little bit of, um, what you could call both supply chain mapping, and this is not my term, but I kind of like it, sort of capability mapping.

Supply chain mapping being just like, well, we need this kind of screw to build this thing.

We can't build this sort of screw, so, you know, how are you going to deal with that? Um, but capability mapping is also, you know, all right, we have this adjacent sector over here that could potentially build this, or we have this workforce trained to do X that could maybe also do Y very quickly.

And how do you actually map those out? Um, can they, you know, be brought together into, into a single value chain? Um, that's step one, sort of understanding the problem.

Uh, then I think you have to think about the strategic investment element.

Um, why, why were these industries which we now see are critical, why were they not seen as critical? Why were they starved of capital, starved of investment, uh, for so long? And what do you do to reverse that? Um, again, things like government interventions, office of strategic capital, all these.

Can the U.S. win with this model over the lo- over China, who has a longer-term view on building productive capacity? Can we beat China?

Julius Kryon explains,

I think the biggest misunderstanding that occurred from let's call it the 80s or 90s to very recently is the fact that manufacturing is a capital-intensive industry, often a relatively labor-intensive industry, often an industry subject to a lot of environmental regulations and other things, obviously one that has real marginal costs of production, unlike software.

is that basically a lot of these manufacturing industries, they traded at very low financial valuations.

They were not particularly attractive sectors.

As a result of that, a lot of people thought that the fact that financial markets tend not to value them very highly, they must not be very important.

They must not be very high tech.

and so on.

As it turns out, this may be more of an investment problem than it appears on the surface, and it may be more related to a firm's internal rate of return, known as its IRR.