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Papers > Politics > Global to Local
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Global to Local |
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Global to Local: Glocalisation Introduction: In recent times globalisation has become a fashionable phrase used (perhaps misused) by many from all professions, such as business managers, researchers, marketers, etc. There is an abundance of literature proclaiming a new global era, with giant corporations becoming increasingly powerful, some even argue that they are becoming more powerful and influential than nation states themselves. But are these corporations truly global, are they becoming so powerful and so important that local matters will cease to be of any importance? ... Where unique and country specific local factors such as the Irish people and culture is the main promotional tool and “pull factor” for an industry, which despite recent difficulties due to external factors has been very successful. ... Hyperglobalists take a relatively extreme view of globalisation, one in which there is a new global age where firms converge towards a universal uniform global organisational form and therefore inevitably leading to the deterioration in the importance, power and identity of the nation state. ... When it came to videocassette recorders the difference was only three to four years and eventually with the advent of the compact-disc global user numbers evened up after one year (The Evolving Global economy, Part IV, Ch4, Kenichi Ohmae, Harvard Business School Press, Boston MA). ... But perhaps this “national container” has merely become more permeable, even with the existence of this global economy countries still have the power to respond as they like, for example although Ireland does not discriminate between indigenous and foreign-owned companies, many other countries impose a wide range of barriers to the operations of foreign-owned companies in their markets, for example: restrictions on the legal form foreign investment must take i. ... compulsory partnerships with local enterprises, restrictions on repatriated profits or compulsory technology sharing with local companies. Therefore, perhaps Local factors do still have an impact, Dickens (2002), quotes the chairman of the Dow chemical company as saying: “ I have long dreamed of buying an island owned by no nation and of establishing the world headquarters of the Dow company on the truly neutral ground of such an island, beholden to no nation or society. If we were located on such truly neutral ground of such an island we could then really operate in the United states as US citizens, in Japan as Japanese citizens, and in Brazil as Brazilians rather than being governed in prime by the laws of the Unites states” In the Dickens paper this quote is used to reinforce the globalisation concept of the giant “placeless” global corporation, which it does but it also has a glocalisation aspect to it that is not mentioned (a reflection of the paucity of literature relating to glocalisation). ... The difference between an indigenous company and a foreign company has to be influenced by those local factors unique to an area and its inhabitants, such as company culture and a deep knowledge of the local/national market. Coca cola: For example, Coca Cola a company with an undisputed global brand in recent years has undergone a major strategic overhaul switching from a truly global to a multi-domestic strategy. This “think local, act local” strategy came at a time when the market was demanding greater flexibility, responsiveness and local sensitivity. Examples of ways in which Coca Cola have been implementing this strategy are: Giving back responsibility to local teams and encouraging local managers to be sensitive to the consumers in their area. |
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Title: Global to Local
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