Showing posts with label Trump real estate. Show all posts
Showing posts with label Trump real estate. Show all posts

Friday, June 26, 2026

Trump conducts foreign policy like a business

 

Trump policy: ‘Beat ‘em or buy ‘em’

Foreign affairs as a business

 

Gordon L. Weil

In a competitive world, one rule keeps cropping up. 

The US-Iran Memorandum of Understanding is a prime example.  The rule is “beat ΄em or buy ΄em.”

By any standard existing beyond the confines of the White House, President Trump led the U.S. into defeat in its effort, along with Israel, to strip all power from Iran.  Trump now hopes to extract economic advantage from the ashes of military failure.

He learned this rule in the real estate business.  One way to beat a competitor is to buy it.  Your market share increases and you reduce competition.  You argue that the loser should be happy, because you bought him off generously.   His pride has a price.  Pay it and his pain is lubricated by cash.  If necessary, you can make him your subordinate partner.

The Iran war was sold as a military necessity, aimed at preventing it from acquiring a nuclear weapon to threaten the Middle East.   Its leadership could be forced into submission, ending the country’s support for Hezbollah, Hamas and the Houthis, terrorist groups staging furious opposition to Palestinian subjugation.

From that perspective, Iran was not defeated and could develop a weapon superior to nuclear arms – control of the Strait of Hormuz.  The Iran war revealed the limits of American power.

The MOU alternative to unattainable military victory would tame Iran by investment and economic recovery.  Prosperity may be a better weapon than missiles.  Iran will become more integrated with Europe and North America, reducing it as a threat. 

That’s difficult to accept for MAGA hardliners, who bought the exaggerated tale that Iran’s nuclear missiles could begin flying next week, when the conflict was mostly about power.  In the end, buying them when you couldn’t beat them is the card that consumer discontent with high-priced gas at the pump has forced Trump to play.

This approach explains Trump’s principal foreign policy representatives – Steve Witcoff and son-in-law Jared Kushner.  Both are real estate developers without any diplomatic experience.  Every problem to Trump and his agents can be solved by them as in business, and trained foreign policy or intelligence experts should be ignored.

That way of thinking explains why Trump claimed he could solve Russia’s war on Ukraine in a day.  All Ukraine had to do was give up some real estate, and Russia would settle.  He thought Russia would prevail sooner or later, so Ukraine would save lives by ceding territory.  He did not consider Ukraine’s desire to survive as a nation, which goes well beyond a land swap.

Consistent with his business sense, Trump believed that Ukraine would go along with his plan in return for increased American investment.  He also dabbled with the idea that Russia might be similarly bought off.   The backing of U.S. investors (and profit for American corporations) should be a sufficient incentive to seal the deal.   It wasn’t.

Trump has repeatedly used this buy-it-if-you-can’t beat-it policy.  He sees it as a great success in Venezuela, where American companies may return to exploit its massive oil reserves, and he showed he could topple its leader, if not its regime. 

He sees Gaza, wiped clean by Israel, as ripe for western-style development and the use of incentives to get the Palestinians to move out.  While it may be impossible to suppress Palestinian hopes for their own country, prosperity and emigration might work.  The real obstacle is Israel, whose hardliners simply want the U.S. to leave the land to them.

Greenland is a good example of the policy.  Trump could envisage Denmark, looking at a handsome payoff, being willing to sell the island to the U.S.  It matters less that the U.S. today could have whatever military bases it wants there than that the vainglorious president would get credit for expanding U.S. territory.

Trump’s insulting proposal to make Canada the 51st state is the same policy.  He saw that country as a weak dependency that might easily give up its pretensions of having its own culture and history to get in on his leadership.  Its goods would no longer face the artificial trade barriers he had just created.

In Iran, Ukraine, Palestine, Greenland and Canada, Trump has been confronted by nations that are willing to make sacrifices to preserve their identity.  Just as Old Glory means something to Americans, their flags stir emotions that cannot be purchased or readily suppressed. 

Given the changed nature of war caused by drones, Trump’s planes and his proposed battleship could not impose American will militarily.  Nor can Russia and maybe not even China.  Economic cooperation is far better than military action, but it is taking long and painful conflicts for Trump to understand that.

Still, something’s missing that goes beyond war or foreign policy as a business.  Respect for others.  With that, foreign policy might work better.