I agree with you, up to a point. As I see it, European companies gradually lost the initiative in providing saleable products for the consumer market. It seems to me that companies age just like people. Eventually, I think, they just wear out and become irrelevant, no longer producing new products that meet their markets' needs. Remember Angénieux, Bolex, Linhof, Plaubel and Ross, to take just a few examples? In their day, they were the inovators, the companies that were out in front.
I don't think that high taxes have anything to do with it, though. My view is that paying taxes is how we pay forward the debt we owe to the country that raised us, providing the education, healthcare, emergency services and infrastructure that allows us to thrive and prosper.