Germany was outgunned in World War II- their designs were not so great, they didn't have efficient armor or ample supplies for tank construction.

Of course, they were smart, and thus the crappy tanks with pretty good guns wiped the floor of everything else. 

I would like to 'claim', since we're doing this, the smartest-people, and the most powerful army. Not the most advanced, not the richest, but the smartest. They ended up making most of the scientists that everyone else relies on for their fancy stuff, they produce a great deal of goodies for everyone else to buy up- they make a lot of money, but they spend a lot of money. 

Future plans include Niklas König working in joint with his father to hold the royals of every major kingdom in the world as hostage, while simultaneously invading all its neighboring countries. Like a modern-day WWII, except where Hitler captured all the major leaders of all his enemies in one go, you know? But right now, he's just the representative of Königreich der Welten.