Redefining Global Strategy: Crossing Borders in a World Where Differences Still Matter (Hardcover)

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Key Phrases: globalization apocalypse, semiglobalized world, global value creation, United States, Global Generalizations, North America (more...)

Editorial Reviews

Review

...Ghemawat warns...that businesses suffer when they follow such globalization logic too far. The real state of the world is neither globalized nor local...It is semiglobalized, and will remain so for decades to come. --Reuters News, December 13, 2007

...a reasoned guide. --The Financial Times, October 11, 2007

This book deserves to be a bestseller. --The Economist, November 1, 2007

Product Description

Why do so many global strategies fail - despite companies' powerful brands and other border-crossing advantages? Seduced by market size, the illusion of a borderless, "flat" world, and the allure of similarities, firms launch one-size-fits-all strategies. But cross-border differences are larger than we often assume, explains Pankaj Ghemawat in "Redefining Global Strategy". Most economic activity - including direct investment, tourism, and communication - happens locally, not internationally. In this "semiglobalized" world, one-size-fits-all strategies don't stand a chance. Companies must instead reckon with cross-border differences.Ghemawat shows you how - by providing tools for: assessing the cultural, administrative, geographic, and economic differences between countries at the industry level and deciding which ones merit attention. Tracking the implications of particular border-crossing moves for your company's ability to create value. Creating superior performance with strategies optimized for adaptation (adjusting to differences), aggregation (overcoming differences), and arbitrage (exploiting differences), and for compound objectives. In-depth examples reveal how companies such as Cemex, Toyota, Procter & Gamble, Tata Consultancy Services, IBM, and GE Healthcare have adroitly managed cross-border differences - as well as how other well-known companies have failed at this challenge. Crucial for any business competing across borders, this book will transform the way you approach global strategy.

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Product Details

• Hardcover: 304 pages
• Publisher: Harvard Business School Press; 1 edition (September 27, 2007)
• Language: English
• ISBN-10: 1591398665
• ISBN-13: 978-1591398660
• Product Dimensions: 9.2 x 6.1 x 1.2 inches
• Shipping Weight: 1.2 pounds (View shipping rates and policies)
• Average Customer Review: 4.1 out of 5 stars  See all reviews (9 customer reviews)
• Amazon.com Sales Rank: #98,157 in Books (See Bestsellers in Books)

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Customer Reviews

Most Helpful Customer Reviews

15 of 16 people found the following review helpful:

4.0 out of 5 stars Global strategy manual , October 1, 2007

By	Rolf Dobelli "getAbstract.com" (Switzerland) - See all my reviews (TOP 50 REVIEWER)    (REAL NAME)

Proponents and opponents of globalization have one thing in common: They believe globalization has arrived. The former cheer this change; the latter lament it. But both are wrong. Most business takes place within - not between - those anachronistic entities called "countries." If you assume "the world is flat," you'll founder. You will do far better, argues Pankaj Ghemawat, if you accept the reality of "semi-globalization" and navigate with the clever tools and in-depth case histories he provides. Ghemawat's noun-heavy prose suggests that he's been reading too many academic journals. Even so, we are well satisfied with this dense read, which provides far more nourishment than the insipid, fatty "globaloney" served by many business gurus. This book is a feast.

3 of 3 people found the following review helpful:

5.0 out of 5 stars A must read for those aspiring to understand global strategy, November 9, 2007

By	Lilach Nachum (Baruch College, City University New York) - See all my reviews (REAL NAME)

This book is a delight to all of us engaging with global strategy, as scholars, teachers and practitioners. Based on a thorough and deep analysis, Ghemawat provides a much-needed counter statement to the journalistic-style thinking that has threatened to dominate the common wisdom on globalization. He forcefully illustrates the inherent tension between the forces of globalization and localization, and the complex relationships between them. In doing that, he advocates a nuanced view of the impact of globalization on business, in which its diversity and plurality are explicitly recognized. A most important argument made by Ghemawat that should not be overlooked is that differences between countries are not only an obstacle to overcome, as commonly believed; In addition, they open up important opportunities, for the companies able to take advantage of them.

1 of 1 people found the following review helpful:

4.0 out of 5 stars The best book for those looking to make real and informed decisions , June 15, 2008

By	M. McDonald (Chicago, IL United States) - See all my reviews (TOP 1000 REVIEWER)    (REAL NAME)

Redefining Global Strategy (RGS) reminds us that conventional wisdom is often falls apart in the clear light of analysis and research. This is an excellent book for those looking to understand the realities of global strategy and operations. Based on extensive research and deep case study analysis, Pankaj Ghemawat delivers a book leaders need to make real decisions.

Ghemawat starts with reminding us that the world has changed as commuincations, information technology and global logistics have created new opportunities for companies. He then reminds us that just because you can extend your company to Asia it does not mean that those markets are the same as yours. Ghemawat introduces and uses his CAGE framework through out the book to good effect. CAGE is a framework based on distance and expresses distance in the following ways:

Cultural distance - how different are the cultures in which you are looking to devise and implement a strategy

Administrative distance - the distance between standard policies, frameworks, the rule of law, business norms. We frequently brush past this type of distance but Ghemawat shows how important it is.

Geographic distance - how far apart or how hard it is to do business between your corporate center and the local market. That last point is particularly important as you may have a local plant but your decision center is the place to measure this distance.

Economic distance - the payment, financial and growth and development gaps that exist between countries and companies.

Ghemawat uses these distances to explain the results achieved by leading companies ranging from Phillips, Coca-cola and Wal-Mart. The in depth analysis provides the real world examples needed to inform those setting global strategies. That in depth analysis also makes this a book for people looking for real insight and data that they will have to work to understand. This means if you are looking for a light read, one that will not challenge your thinking and one that is easy to agree with - this is not the book for your. In fact the research and the depth behind these ideas require some reflection and study to get the most out of the book.

Redefining Global Strategy is not breezy book that you can read to gain a few buzz words or slogans for your strategy. It is the best bridge between good and practical scholarly research and application of that to business decision.

Clayton Christensen once commented that there was a need for more rigor, research and analysis in business books and literature. Ghemawat delivers on all of these counts.