Free Trial

Safari Books Online is a digital library providing on-demand subscription access to thousands of learning resources.

  • Create BookmarkCreate Bookmark
  • Create Note or TagCreate Note or Tag
  • PrintPrint
Share this Page URL
Help

Implications and Actions

In this chapter I have argued that a new economic order is rapidly emerging, one that has a high digital technology content and nontechnical features as well. The new economy is evolving out of the more traditional industrial model of the past century, all occurring during a period of relative economic prosperity in the advanced economies. More customers, higher levels of education, expanded opportunities for women, and a greater ability to sell and service products on a global basis are the new reality. The Internet's influence, already significant, is about to become profound as the number of people who use it moves quickly from less than 200 million people to nearly a billion. This access is as profound a change in human activity as any we have seen in the past 500 years; it makes everybody's short list.

Managers and employees of any enterprise at all levels from a clerk to a brand new MBA to a seasoned CEO are, thus, being handed the opportunity to think of vast portions of the earth as their markets, an access that is as realistic and at least as convenient to reach as the ones they had before. In fact, and increasingly, firms are already doing just that—thinking globally—leading to new levels of scale and scope that will force some companies out of business because their markets remained just national. It will be a process similar to the one which occurred, for example, when national markets were created in the United States in the late nineteenth and early twentieth centuries, driving many regional companies out of business or to be absorbed by firms operating on a national scale. So what we have learned about scale and scope once again will have to be applied quickly over the next decade or more as effective participation moves from the national to the international. Problems of language, law, and local custom will have to be resolved. Mass customization techniques will help, so will some of the new business practices that are emerging. The Swiss company ABB's requirement that all its managers work in the English language is a harbinger of things coming as corporations strive to come up with global practices and policies, suggesting that there may be a further homogenization of business practices around the world. These will also have to work within the context of local cultures. Not everybody is an American or a Western European!


  

You are currently reading a PREVIEW of this book.

                                                                                                                    

Get instant access to over $1 million worth of books and videos.

  

Start a Free Trial


  
  • Safari Books Online
  • Create BookmarkCreate Bookmark
  • Create Note or TagCreate Note or Tag
  • PrintPrint