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The Next Global Stage: Challenges and Opportunities in Our Borderless World (paperback)
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This product The Next Global Stage: Challenges and Opportunities in Our Borderless World (paperback) by Kenichi Ohmae (Paperback March 27, 2005) $34.99 $23.18
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5 of 5 people found the following review helpful
An Asian Strategist's View of Future Globalization Whenever I meet top corporate strategists for the first time, Kenichi Ohmae's books always come up. Someone will ask, "Which one do you like best?" With The Next Global Stage, my answer has changed to this book. For those who want a more conceptual version of The World Is Flat that applies to future company and government decisions, The Next Global Stage is a good... Read the full review
Published on May 30, 2005 by Donald Mitchell
Read The Economist instead I've read 130 pgs of this book and I'm going to put it away. I'm not hooked by it. I'm an American living in Taiwan and read the Economist regularly. So perhaps I'm not the audience the author is addressing. Basically from reading the Economist and keeping up on China in the media I feel most of his information is dated. Ohmae's style has a lot of filler and not much... Read the full review
Published on February 19, 2006 by meyers66
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6 of 7 people found the following review helpful A critical view of Mr. Ohmae opinions....but it is fun to read it., June 24, 2005 By Jose Ernesto Passos (So Paulo, SP Brazil) - See all my reviews
This review is from: The Next Global Stage: Challenges and Opportunities in Our Borderless World (Hardcover)
Mr. Kenichi Ohmae is an international consultant to multinational corporations, this is important to have in mind when reading his books. This book discusses and presents ideas in a way to market globalization and justify it. It is like reading a book by Jack Trout on marketing, easy to read and enjoyable, but we must be careful, there are inconsistencies and some ideas are placed out of context to justify concepts that may be questionable. Mr. Ohmae's firmly believes that the Global Economy is a new fact, and what is happening is different then the Internet Bubble. As I see it, it remains to be seen if the "Global Economy" is similar or not to the internet bubble. Some economic facts, like the current American Economic volatility, will raise important questions regarding the ideas in this book. The USA has played a keynesian role in the Global Economy, but that may be coming to an end. It's currency is loosing value. These days, this loss of value may start rolling without control. Without the American economic behavior(being a big spender) would it be possible to have the "Global Economy"? It is interesting that Mr. Ohmae criticizes this type of situation, but on the other way, how could China, Japan and Europe have huge trade surpluses??? The book criticizes economic theories in a very superficial way. Some facts are thrown as truth, but hardly you can use that to base any conclusion, like for example,see page 51: "In fact, in recent years, when the number of jobs has increased, the stock market has tended to go down. Investors know that increased employment is a sign of poor productivity gains and, as a result, a potential cut in the bottom line." We have to respect Mr. Ohmae for he is an strategist, so what he says may hide his real ideas or objectives. For example, in page 32, you have the tip of the Iceberg: "Most German and Japanese producers have survived severe currency appreciation by producing better products and selling them at higher prices while continuing endlessly to improve productivity. In a borderless world, if these measures are not enough, companies can migrate to lower-cost countries for production or other overhead work while keeping
The Borderless World, rev ed: Power and Strategy in the Interlinked Economy by Kenichi ?mae (Paperback - May 19, 1999) (7) Buy new: $14.00 $11.84
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The Mind Of The Strategist: The Art of Japanese Business by Kenichi ?mae (Paperback - August 1, 1991) (27) Buy new: $18.95 $10.35
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Amazon.com: Customer Reviews: The Next Global Stage: Challenges and Opportunities... Page 2 of 8
the most critical functions at home." This last word, "home", demonstrates clearly that the national interests are alive and well. So for the policymakers of the world, be careful when opening the borders of your economy, you may end exporting value adding jobs and functions. It is important to understand the final impact of the ideas presented. I would recommend, to balance the hype in this book, that one reads Mr. Chandler's Inventing the Electronic Century, to have an idea of the results of a coordinated strategic attack, like what the Japanese Eletronics industry has done. While reading this book, I started thinking of it as a good advertisement for ideas that may help some major economic groups to develop their own agenda, not necessarily ideas that will be good for fostering democracy, true economic competition, individual freedom and the well being of mankind on the long term. My way of seeing it, globalization is not something recent, it has been the major changing force during the XXth century, the recent technologies explosion have brought a major additional change in the economic and social envinronment.
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3 of 3 people found the following review helpful A View of the Future from a Japanese Predictor, November 23, 2005 By John Matlock "Gunny" (Winnemucca, NV) - See all my reviews
After a half century of cold war between two competing economic systems, the bad guys fell apart. This has left the world a much friendlier place, especially from a business standpoint. It has not left the world totally without problems such terrorism, and a few rogue states such as North Korea, Iran and a few others. This is an excellent book on one person's thinking about the business aspects of the new global view of the world. He predicts that globalization will lead to sweeping changes in the way the world does business. The collapsing of trade barriers, the tremendous growth in communications capability made doing things easier than before. One area of discussion he brings up is the projected collapse of the nation-state. There are indications he's right -- the current American President has placed strong restrictions on stem cell research. Does he really think that restricting the drug companies from doing such research in the US to keep the right wing of his political party happy is going to stop such research? The global drug companies will conduct the research in Switzerland, or Japan, or Seoul or wherever they need to to get around the local rules. There are indications that he's wrong. Countries are proud of their heritage, their culture. The question is what happens to the power of central governments. The central governments of Japan, England, the US, France, etc. are not going to go away. But their power will change, as in the stem cell situation mentioned earlier. So will the power of governments to control their own currency. The concept of Keynesian control of the interest rate/money supply changes in a global world -- witness the Euro. This is just part of his discussion on the changes that will have to come about in the general area of economics. In fact the chapter on economics is enough to justify purchasing the book. Anyone interested in predicting the future needs to read this book. The one thing I would ask him to mention in the next edition is some comments on oil. How are the nation states going to handle the transition to greatly increasing gasoline prices and the other impacts. I wouldn't expect him to know what will happen, but I'd like to hear his opinions.
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2 of 2 people found the following review helpful Book report by HBS Working Knowledge, October 22, 2005 By HBS Working Knowledge (http://hbswk.hbs.edu) - See all my reviews
Kenichi Ohmae is an Asia-based strategist of long standing, and The Next Global Stage offers a sweeping and thoughtful review of the latest trends in globalization. Readers will find plenty of food for thought concerning individual companies in India, China, and Japan, as well as more far-reaching discussions of global economic forces, regional strength, the changing role of government, and technological progress. Think of it as a one-stop shop for all things globalization. Though the book is Asia-heavy, Ohmae also takes a spin through other regions he considers hot spots for the future. Some may surprise you: Tallinn, Vancouver, Ho Chi Minh City, So Paulo. Of all the trends he reviews, the one he identifies as most important for the future is the emergence of "region-states," which include some of the cities named above. A region-state has all the practical building blocks for economic growth, such as a sizable population and
an efficient transportation infrastructure. But more importantly, region-states are "units" that create a virtuous circle: They are open to outside ideas, welcome people with various backgrounds and skills, and become magnets for investment. "The concept of native versus foreigner must be erased, so rules limiting investment or foreign ownership of land or capital must be abolished." Ohmae, whose previous books include The Mind of the Strategist and The Borderless World, is optimistic about the march of globalization. This book forms a good starting point for viewing a clear road ahead
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2 of 2 people found the following review helpful Interesting views, but too much special pleading, May 11, 2005 By Craig Matteson (Saline, MI) - See all my reviews
Because this book is looking at the future through Japanese eyes, I have to admit there is some of it that seemed downright strange to me. When the author describes certain events or issues in the world they just seem odd, but then I realize that I am seeing things as an American. So, the book has real value in helping Westerners see what is getting attention in the Japanese business world. Also, the English or the English translation used in the book is strange at times. The most serious problem I have in the book is that several times the author violates that old investment rule: take your money and run when you hear the words, "but this time it's completely different"! Mr. Ohmae talks about the end of economics and urges agrarian economies to become high-tech communications economies. Where have we heard that song before? However, the author is most interesting when he talks about solving certain problems in Japan. For example, he mentions that Japanese rice farmers passionately resist importing rice. Also, the government subsidizes the farmers extensively. Adding to the problem is the growing population and the sky high price of land. The author suggests that the government subsidize the farmers, but with the requirement that they buy land outside Japan where rice can be grown in huge quantities and quite inexpensively. He notes that food security can be addressed by having these farms on multiple continents. Of course, this is innovative thinking, but hardly new economics. The author does get a good view on the current changes in the world economy that flatten economic opportunity and make national borders functionally more like the borders between states in America. However, I think his special pleading about economics and communications weakens his larger argument. The book is best for those wanting to get of view of the current world through the eyes of Japan.
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4 of 5 people found the following review helpful operate on a global stage, July 19, 2005 By W Boudville (Terra, Sol 3) - See all my reviews
Ohmae offers the reader a literal worldview. He argues that you should expand your horizon beyond the confines of national boundaries. Whether you are an individual investing your own money, or, say, a mutual fund manager looking for an asset class to deploy into. Or, and perhaps especially this, if you are a corporation trying to find new clients or partners or suppliers. The book attacks the recent offshoring debate in the United States as ultimately misguided. As a wry aside, Ohmae points out that 15 years ago, there were fears about Japan overtaking the US. Something you just don't hear about anymore. His take on offshoring is that it is inevitable. The technology that enables it is becoming ever cheaper, after all. He suggests that you try to take advantage of it, by changing your strategies to operate on a global stage. There is one remark in the book that I must take issue with. He states that in 2000-4, the Australian economy expanded strongly, for unknown reasons. Not so at all. For one thing, the strong demand from China for minerals and food certainly helped the Australian balance of trade. But Australia is more than just mining and agriculture. The interest rates stayed low, triggering a boom in real estate investment that was instrumental in growing the economy. This may of course come to a bad end later. But the economy's expansion was very much due to known reasons.
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1 of 1 people found the following review helpful Better editing would have helped!, November 11, 2007 By Rory M. Christian "Sudeten" (NY) - See all my reviews
Interesting points throughout concerning globalization and how the world can benefit from an integrated economy without barriers like tariffs and quotas. Anything else I can say that is good about this book has already been said. Good substance, but bad delivery. As I read through this book, I was astounded by the number of incomplete thoughts and missing points. More often than not, i needed to reread certain sections just to be sure I didn't miss a point, only to discover, he didn't intend to make one. He also repeats himself, over and over and over again. Again, sound subject matter, but bad delivery. For a better understanding of issues discussed, read this book in conjunction with: The End of Poverty The World is Flat Bottom Billion White Man's Burden
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1 of 1 people found the following review helpful Visionary Views of the Evolving Region-State Consistent with Friedman's Flattened World, June 2, 2006 By Ed Uyeshima (San Francisco, CA USA) - See all my reviews
Although globalization is a rich topic worthy of several volumes, it's a bit of a shame that corporate strategist Kenichi Ohmae's book duplicates much of the same thesis of New York Times foreign affairs columnist Thomas Friedman's huge best seller, "The World Is Flat: A Brief History of the Twenty-First Century", a book I admired last year. Both authors deal with the phenomenon of a flattened world, a macro-level regrouping of economic forces which occur periodically on a global basis. Friedman explains that the burgeoning global fiber-optic network has transcended national borders and corporate entities to the point of starting a new structure for the economy, specifically the outsourcing of the U.S. economy's service and information-technology work to India and other developing nations. Based in Asia, Ohmae is obviously not as keen on outsourcing but more on the factors that have made outsourcing so attractive to the U.S., i.e., why has such hubs of cost-effective productivity sprouted in Asia. This is how his orientation differs from Friedman's. The author's personal observations come from his work with individual companies in India, China, and Japan. From this perspective, he believes strongly that one of the most important developments for the future is the emergence of "region-states". The antiquated concept of "nation-states", along with the accompanying protectionism related to such political sovereignty, is being rendered obsolete in the global economic marketplace. As borderless centers of economic activity, "region-states" have all the practical building blocks for growth, such as a sizable population and an efficient transportation infrastructure. Ohmae points out that such entities can be seen forming in the Shuto-ken (Greater Tokyo) metropolitan area of Japan and Guangzhou (Canton) in China. They exhibit viable socioeconomical units that create what Ohmae calls a "virtuous circle", i.e., an openness to outside ideas and people with various backgrounds and skills. This is the cultural characteristic the author considers vital in order for companies to thrive. On a broader plain, there are a number of defining features to "region-states", chief among them the expeditious flow of communications and capital, which obviously attracts corporations and consumers. What Ohmae does well is paint a picture of the global economy not only driven by new technologies but also where knowledge has become the new currency. He is particularly insightful into how the future may look if the transference to the "region-state" fully occurs. Corporate leaders will need to be visionaries rather than just bottom-line-oriented consensus-builders, and strategy has to be mapped out to make greater sense of the chaotic new world. The author rather idealistically states that what will have greater value for leaders is sharpening their predictive skills in ascertaining upcoming trends, innovating quickly without all the data normally expected, and creating an environment where the norm is changing circumstances and extracting relevant information out of the clutter. I think Ohmae would have somewhat more credence if he could have given more practical advice on how to do this other than encouraging them to walk into the light. Nonetheless, his book makes for stimulating reading on the dynamic transformation in progress.
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1 of 1 people found the following review helpful The Next Stage Is Here Now, April 30, 2006
By K. Johnson (US/Asia) - See all my reviews This review is from: The Next Global Stage:
Challenges and Opportunities in Our Borderless World (Hardcover)
Yes, this is a borderless world in many respects and these boundaries will continue to thin. Author Keniche Ohmae has been around, writing "The Borderless World" in 1990, among other books. He's studied and researched economic global interdependence and its ramifications for many years, having written his first piece of work in the early 1970s. Some of his point from his book "The Next Global Stage" are: Concept of the Region State: This trend had been in the making for a long time. Author Ohmae has devoted a sizeable portion of "The Next Global Stage" to this topic. Economic interests of a region have been, are now, and will continue to supersede governmental nation-state interests. Mr. Ohmae listed several regions (cities and geographical areas) that are currently experience and will continue to see tremendous growth and prosperity. This growth is happening literally right in front of us. Everyday I see the changes. I live in one of these cities noted by Ohmae and see the physical, attitudinal, and economic changes, first-hand. It's an education to observe and experience this rapidity of transformation. Although I do believe in a rising tide lifting all the boats, this rapidly expanding pie isn't allinclusive, as it can't realistically be in the real world. I personally see major outsourcing, 100% Foreign and Joint Venture investing, Capital Flight, and FDI to build infrastructure and provide training for local employees and feed a local tax base. I do believe this is a win-win situation for most. Not every case is however, win-win. Currently in Vietnam for example, certain foreign companies negotiated with the government to build factories and pay local workers below minimum wage. Two governments were competing for these companies, and the cheapest labor costs attracted them to come. The result: strikes because of baresubsistence wages and long working hours to the point of exhaustion. This book, like most, focuses on only certain portions of the pie. The Post National Era: The diminishing significance of national governments and the lessening role of the nationstate has become abundantly clear as of 2006. This phenomenon is still evolving from its incipient stages. As global economic interdependence and international economics and trade become the primary issues and concerns in the relationship between two or more countries (nation-states), one question to consider is: what will be the role of the political governments? It's not a simple question, but the answers are practical. Governments will facilitate trade relations, protect the general interests of the nation-state with issues such as currency valuations, protect its population (workers) and *certain* industries. This is the role of a Fiduciary. Governments will increasingly utilize economic policy and trade more and more as leverage, when necessary. And much moreso than in the past. We should ask, as the world flattens, "Whose interests are being served?" Industries and corporations? Or individuals? The answers should be both, and the symbiotic ratio should be scrutinized. Is the individual a participant, or a voyeur? Are these two mutually exclusive? No. There are many positives to the next global stage we are entering. One benefit, is mobility. Fortunate in some circumstances are the industries that are much more mobile and have the ability to relocate and operate, produce, and manage, elsewhere. An example noted by Ohmae was the current U.S. administration's stance on stem cell research. Stem cell research is highly restricted to placate the far-right-wing Christian conservative base. However, the U.S. is not the only option for these companies, and some have relocated outside of the U.S. to do R & D. These domestic as well as other foreign companies are making gains in their research. Pacifying a domestic political base had not only local and domestic consequences, but also allowed for a global
alternative and consequences. Decades ago, it wouldn't have been so easy. There is choice, with more transparent borders. Ohmae discusses what we are latently aware of, and the beauty of this book is that he gets deeper into the mechanics, and more importantly to where we are headed in the near and long-term future. Ending agricultural subsidies seems prudent. Many still resist in this. In the future, they may or may not. A good point the author reminded us of was the the fear of Japan by the U.S., not so long ago. "Look out. The Japanese are buying everything." Not so, today. The world has changed, and nations and industries that adapt will survive and prosper. Those that don't constantly adapt, will die out. Now, after years of dismal circumstances, Japan is on the rebound, according to most. What is the number one reason: Japan changed. They had to. We all have to. The Post National Era = Less Influence of Keynesian Economic Policy. As the world has evolved this makes sense. "The Next Global Stage" is a highly recommended, informative, great read.
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1 of 1 people found the following review helpful Think globally, act globally, February 4, 2006 By Joanna Daneman (Middletown, DE USA) - See all my reviews
This is an excellent overview of the challenges and opportunities of BPO or Business Process Outsourcing. Long a subject of controversy in the US, BPO is apparently here to stay and is an institution in countries like India, which have the advantage of native English speakers who can work for a fraction of salaries in the US. (My favorite story about this is calling a call center for a bank. I heard the unmistakeable Indian accent of the person helping me and I asked where I was calling. "Bangalore....I mean...BALTIMORE!" Hmm, it could easily have been either city. The other interesting part of the book is about China and the regions of Asia poised to be the next boom growth areas, like Vietnam. The part of the chapter on China I particularly found helpful was a listing of various regions and their specialities, with maps. China is a huge country. If you are looking for a book to learn about global business, this is one that's readable and a great desk reference as well. A must-read for anyone working in business where outsourcing and international marketing and distribution are important.
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4 of 6 people found the following review helpful How to understand and profit from the global economy, December 9, 2005 By Charles Ashbacher (Marion, Iowa United States) - See all my reviews
Kenichi Ohmae, an expert in the emergence of the international economy, also holds another distinction, he coined the phrase globalization. In this book, he further expounds on the powerful and irreversible process of economic activity moving largely unhindered to the places where it can exist most inexpensively. We all hear of the jobs moving to the Peoples Republic of China, it is an almost daily feature of the daily newscasts. He spends a great deal of time debunking the use of agricultural subsidies and the erecting of legal walls against the importation of cheap food. A great deal of ink is spent in talking about how this leads to the Japanese people spending inflated prices for rice. As you read those pages, you realize how silly it is. And yet, it is also a significant lesson in the internal politics of a country. Nostalgia can be a powerful force, and the populace of every country has a tendency to try to maintain the "good old days", even when they really weren't so good. Small groups, who are vocal, maintain the support of powerful politicians and have at least the acquiescence of the majority of the population can drive a nation to continue wasteful policies that should have ended long ago. Another main thesis is his arguments for the development of the "region state", where the borders of political entities start to be defined by the economic activity of the region rather than political, ethnic or cultural borders. He cites the economic zones of the People's Republic of China as examples. Those zones do not end at the political boundaries, but are
defined by the presence of factories and what the people do for a living. Ohmae also argues strenuously against relying on the legacy of economic thinkers such as John Maynard Keynes and Milton Friedman. While he concedes that Keynes was correct when he first presented his theories, he points out that conditions now are so different that thinking like Keynes will prevent you from understanding the new global economy. Capital now flows easily across borders and that fact is not going to change. Therefore, if it is possible for a manufacturing opportunity to move to a place of lower labor costs, the capital to create the infrastructure will naturally be available and will flow to that region. Given the reality of global trade and the obvious advantages to everyone, it makes you uncomfortable when you see people trying to maintain the old provincial protectionist ways. Capitalism is by design a means of creative destruction, and we must live with the consequences, even when they are not to our liking. In my opinion, the most significant section of the book starts on page 196, where Ohmae discusses how governments traditionally shore up the weakest sectors of the domestic economy. He also discusses the flow of capital into the People's Republic of China and how governments distribute wealth rather than create it. The chart on page 197 shows the level of Foreign Direct Investment (FDI) into the countries in Asia. It is incredible to see how the amount flowing into the P.R.C. is equivalent to that in all other Asian countries combined. I found the data in figure 8.2 on page 198 astounding. In the last years of the Clinton presidency, ('98, '99 and '00) the FDI into the United States was approximately 175 billion, 260 billion and 314 billion respectively. However, in '01, the first year of the Bush presidency, the figure dropped to 144 billion and by '02, it was down to 30 billion. That was the first year in which FDI was higher for the P.R.C. than it was for the United States. Ohmae states bluntly, "It is clear from this that President Bush's policies, such as tax cuts and lower interest rates, have not been well received by the global FDI community." This is one of those books that should be required reading of all executives of companies that either have a global presence or wish to acquire one. Ohmae is one of the leading authorities on how the global economy continues to metastasize into every corner of the globe. Any attempt to turn back the clock is pointless, ineffective and inefficient. There are two paths to success, either become a viable part of the globalization reality or lobby your government for protection. The second may work for a short time, but begging has never been the basis for long-term employment.
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