Look at all the fine automobiles turned out by the USSR, for example.
The USSR was a command economy with no competition, internal or external, or even market feedback. It's a completely invalid comparison. Libertarian fuckwads like you have the infuriating habit of comparing everything but Laissez-faire capitalism to authoritarian command economies. Either you're being deliberately dishonest or you're simply incapable of comprehending that societal organization is more subtle than a binary choice: capitalism OR authoritarianism. Either way, the comparison engenders more heat than light.
And if I'm going to start up a new company to make widgets, why on earth would I start it somewhere with laws like that?
Because places with laws like that are wonderful places to live, and you live there too. Companies are founded every day in the EU.
What this country needs is a dime that will buy a good five-cent bagel.