Point
by William Casey
President, SI Systems
Although many people may view globalization as a threat to their business and clamor for trade barriers to protect their home turf, I see this as a glass “half full” and suggest finding ways to fill the glass.
As densely populated nations such as China and India continue to expand their economies, it creates a market of gigantic proportions with billions of new consumers with increased purchasing power. A broader base of potential purchasers thirsting for goods and services with money to spend spells opportunity for savvy marketers. Successful USA based companies have an opportunity to capture their share of the expanding global market. It will take innovation in the form of new products people want and need. It will take ingenuity, aggressive marketing and business process improvement to remain competitive in the face of stiff new competition.
Examples abound of companies' world wide that have recognized globalization as an opportunity and have taken steps to gain advantage with increasing market share. Toyota , Honda and Hyundai from Asia could become the new “Big Three” in automotive. Nokia and Vodaphone from Europe are leaders in cell phone technology. IBM and SAP from the USA are strengthening their hold on worldwide leadership in information technology software and services. Companies that view globalization as an opportunity are expanding their market vision well beyond their existing boundaries, tailoring products and services to the distinct demands of different cultures and doing so at acceptable quality levels and price points. Whatever your respective industry there are expanding opportunities emerging at an accelerated pace. What is your company doing to capture your share?
It's not the Japanese worker that is making Toyota the premier maker of automobiles because Toyota has assembly plants in Japan , Europe and the USA . It's their manufacturing process, attention to superb quality, and having a fully engaged workforce that is making them a world class automobile manufacturer. American companies that focus on innovation, process quality, continuous improvement and develop a workforce fully engaged in this vision will become the beneficiaries of globalization and the expanded market potential developing worldwide.
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Counterpoint
by John V. Cooney
President & CEP, The Cooney Group
Concerns about rich countries and individuals getting richer while poorer countries and individuals get poorer are real. The flow of jobs to developing countries to get cheaper labor is causing major social dislocations in the lives of middle class workers in developed countries and in their communities. Jobs and benefits disappear and early retirements abound while the individual's pension and healthcare costs rise.
Increased political influence by international business conglomerates on nations far exceeds that of any nation's civilian society. Who really controls the world's energy resources – business, nations, the citizenry? What world-wide political system is going to deal with international health epidemics, terrorism and environmental issues that globalization will inevitably bring? The United Nations? I doubt it.
Finally, the cross-cultural benefits touted by globalization supporters are more likely, in my opinion, to degenerate into ugly ethnic and belief rivalries. Consider the present national debate about immigration and our own Lehigh Valley prejudices among rural, suburban and urban areas, and it's hard to imagine a world-wide society without devastating conflicts.
One thing is certain. The global economic infrastructure train has left the station and its direction is irreversible. It's still very uncertain whether the social safety nets, political organizations and intercultural value systems will ever be in place to ensure that globalization delivers on its promises.
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