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Kenichi Ohmae, The Borderless World (1990)Kenichi Ohmae, The Borderless World (1990)

 

Japanese expert in globalization and strategy (pictured right).

 

See also...

Kenichi Ohmae in the Management Gurus section. 

 

Book summary

 

What is the borderless world?

Customers’ tastes and preferences are becoming truly international, creating a “borderless world”, in which:Kenichi Ohmae, The Borderless World (1990)

  • the world is one market.
  • resources (particularly knowledge) flow freely between different countries.

People become global citizens, buying global products from customer driven global corporations.

 

What is the Inter-linked Economy?

Trade makes us all interdependent in the “Inter-linked Economy”, making every country’s economy dependent on global prosperity.

 

What makes a global corporation successful? 

 

The global corporation must:

  • remove the “headquarters mentality” (power and information must be spread throughout the organization).Kenichi Ohmae, The Borderless World (1990)
  • be sensitive to customer requirements in key markets (managers must view all customers as “equidistant” from head office and so giving them all equal consideration).
  • consider strategic alliances with other companies.
  • encourage innovation in all the corporation’s activities, so providing new ways of delivering customer value (“do more better”, says Ohmae).
  • have a global strategy – see below.

 Kenichi Ohmae, The Borderless World (1990)

What is the ideal global strategy?

What the ex-Sony boss, Akio Morita, has called “global localization”.

This is a global strategy that is sensitive to local customer needs (think globally, act locally).

 

The global corporation and its international subsidiaries...

They must be unified by:

  • a global strategy, setting broad objectives (within which the corporation’s subsidiaries are free to manage themselves and treated as equal partners).


Key quotes on globalization

Knowledge is the secret of success in the borderless world.

Global players... must be directly familiar with the key markets.

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Quotes