There's a culture in industries. As you said, look at Germany. Look at the culture in SV - it would be hard to open a development business of any size that ran completely against the SV engineering culture.
> the country that started the industrial revolution and could come up with the Rolls Royce Merlin when it needed to
That is almost literally ancient history. Nearly Medieval history. :)
> I don’t know it unions were the whole story
Looking at the two countries with the best reputations for quality, a lack of union and labor projection may be the problem: Germany has very strong unions; in many cases, they get a seat on the board of directors. Japan treats its labor very well - often lifetime jobs, famously Toyota empowers assembly line workers to stop the entire line themselves - and has low labor market liquidity (but my info on Japan could be out of date).