Kenichi Ohmae in his work "The Next Global Scenario" presents us with a situation through his experiences as a globetrotter, in addition to what he has been able to study throughout his existence as a professional, academic and researcher.
This work is qualified for its great academic contributions, specialists have compared it with the brilliant works: The End of History by Francis Fukuyama and The Clash of Civilizations by Samuel Huntington, for this reason it is understood that every country that clears the questions raised by the author and can put them into practice, it will become a globalized state, capable of overcoming the obstacles that will arise regardless of the scenario.
Along these lines, we have been able to observe how nations such as China chose new global strategies which have undoubtedly demonstrated their efficiency, for the benefit of all the citizens of their country, which has made other powers tremble as they run the risk to be displaced in a short space of time. You will also have the opportunity as a person, institution and country, to really know what position we occupy in this world of openness.
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In this section, the author looks at some of the growth squares that are impressive and identifies some of the unique ones in the world economy. This part represents the starting point of a new cycle. Finishing this, probing the failure of the traditional economy and the experts in that area trying to understand the functioning of the global economy. The world has not yet achieved its opening to the possibilities of free trade, since, according to Ohmae, the nation state still exercises control over its inhabitants and goods and services, according to them for its interest in safeguarding its territory "The Homeland".
In this part the author argues that in some places, these entry barriers have already been overcome, which he calls the 4Cs, consumers, capital, communications and corporations, stating that countries that have not understood this new order, unfortunately, have not they will be able to continue riding on the prosperity train.
In relation to communications, the development of these tools is transcendental thanks to technological advances such as the Internet, which does not limit the possibilities of meeting other inhabitants distant from the commercial environment so that transactions can be carried out, no matter how far be found. Companies dedicated to the telecommunications business have developed in such a way that most of them are considered global companies.
It is possible to comment briefly on the great contribution that the Internet has made to research, being a source of benefits for educational institutions and companies, and a clear example is the studies carried out using the Internet as a platform, an element that Previous years it was considered difficult not to affirm, it was impossible.
We will be able to understand this situation in a simpler way and this is reflected in the doctorates carried out remotely, as in our case with the ¨¨AIU¨¨.
Everything related to capital: the fact that the dollar currency has become a world monetary platform becomes considerable. Capital markets can move according to their benefit to any nation that offers rates considered more favorable than those offered in their territory where they have always had their center of operations.
Corporations have had to change their ¨ ”mode of operation” since their desire to perceive the world as a business opportunity has led them to change their corporate activities, which is why an organization with its parent company can be seen in some situations in the United States, its production plant in India, its research area in Japan. We find ourselves with a globalized company, that is, looking for the competitive advantage in price that is capable of facing the new order as if it were facing chaos. ¨ ”A new Economic Order”.
In relation to consumers, it can be said that today's consumers have a very different behavior than those of twenty years ago, this is verified when at the time of purchasing goods and services the consumer notices the qualities, facilities, prices, quality and the most important thing is that this consumer has desires that are above the rational need. An individual at the time of acquiring a car has in mind design issues that previously did not interest him, since the markets before were supply, today those markets have changed and have become demand markets, it is then that companies compete for the excellence always thinking of satisfying the client's wishes to the maximum.
The interconnected and interactive global economy is today an irrevocable reality. It should be borne in mind in daily life that confusion seizes entrepreneurs when conducting business operations for reasons of knowing when to carry out operations and with whom.
Due to the astuteness and vision of some rulers, there are widely autonomous countries in the world, with their own economic agenda, such as Dalian in China, whose economy is self-sufficient. With this autonomy it is possible to have, with foreign investments giving as results, the generation of new businesses in the tourism sector. When the country understands how the markets are moving and their trends, it will be easier for them to understand their position in that market and take measures, such as adopting technology that adds value to their operations, allowing them to join forces in pursuit of their success.
The command of languages represents a competitive advantage when doing business is a fundamental tool for the world economy, since they represent competitive advantages, such as the fact of handling English, declared as a linguistic platform of the economy and dominated for a large part of the world population. The great importance that English represents for people in the business field, therefore, lies in the need to carry out operations with this large consumer market, we must also bear in mind that large investigations and discoveries usually require capital investments, we must also bear in mind that to achieve notoriety when presenting research, they must be published in a journal and, the most important ones are published in the English language,that is, no matter where the research is taking place, if it is published in a North American journal, it will achieve a place of relevant importance.
The example of Finland should be shown, where its economy is based on the creation of knowledge and, understanding that they cannot undertake a nation project alone, from which to open the doors to the world, places them in an important place that allows them to emerge before the other nations.
An event of great importance for the global economy was constituted by the events that occurred in the eighties (1985) with the collapse of the Soviet Empire and the communist system in the world. As we understand today there is a world without borders ¨¨ or barriers¨¨. Where countries must compete for excellence with their goods and services.
The author Ohmae states that the loss and massive external debts can also have a destabilizing effect on an economy, causing a greater increase in interest rates, thus achieving an inflationary measure. Other relevant information is represented by the appearance of Microsoft with its Windows operating systems and that thanks to this one of the key technological platforms in our history is created. Its ingenious, visionary and creative author Bill Gates, transformed the system of operations of people, businessmen and the state, because technology, although with its failures, has represented one of the necessary and indispensable tools for nations to achieve their objectives with faster and more efficient.
The eighties ended with an analysis of conventional economics and the thinking of economics scholars about their inaccurate sense of their way of thinking about the global economy. It should be borne in mind that the global economy is a real situation, it is not an assumption and that it has yet to expand and develop its theoretical framework.
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In this second part it is seen how the author, (Ohmae) explores the primordial tendencies that germinate in the global phase. Investigates the development of the nation-state and the dynamics of what is the concept of region-state. It can be said that a very small number of nations have the ability to be considered as a nation, understand their current situation, where they are, what their limitations or weaknesses are and enhance their strengths, take advantage of opportunities and face their threats wisely.
It also carries out explorations, indicating which part of the business field of nations must be improved, and lastly changed, in order to emerge in this globalized world, bearing in mind that the processes, their products, the people involved in this process and the logistics The growth and development on the way of the global economy transfers us to having to modify and in the last case inevitably eliminate the concept that we have of the nation-state indisputably in favor of any part of the world that takes the initiative and decision to adapt current changes.
Another important theme is the "Platform for progress", the author implements new ideas to implement such as the development of technological platforms. It should be borne in mind that communication platforms are as old as human language, it has been thanks to the use of technology at this time that they have been truly recognized.
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Another important issue in this global scenario is represented by the outsourcing of business processes, where they are managed by lower labor costs, without the alteration or loss of the quality concept. Outsourcing across boundaries can be extended in benefits and prosperity to areas of the world where poverty can be glimpsed. With the cooperation of the global platform the use of the Internet, we can affirm that outsourcing crosses national borders. It brings real benefits in terms of good wages for local workers, technology transfer and the development of improved infrastructure.
A palpable example of this situation is represented by the case of India, but not the whole country is in this situation, since there are areas that investors have not yet been able to reach because of their commercial attractiveness due to having very expensive labor to sell. low salary change compared to the standards of the region.
Briefly discussing the subject of Sleeping India, where it should be noted that India is characterized as the nation with high growth despite exhibiting high rates of poverty and calamity belts. Organizations that want to use outsourcing have the following questions, will they actually increase profits? Yes, the entire business process and value chain of being outsourced. This represents many risks for some entrepreneurs because it involves disintegrating the company and starting over.
The growth and development of outsourcing is based on perceived advantages, which are not only of a financial nature, where the areas that work successfully combine their cost advantages with those they already have. Outsourcing in most cases brings financial benefits, but we must analyze to what extent the company may or may not detach itself from activities that are sometimes typical of senior management because they are considered strategic. We must bear in mind that if the activities carried out by the other companies in order to lower costs and the parent company are not affected, it must subcontract in order to lower costs and be more competitive in emerging markets.
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Ohmae provides us with an examination of how changes and trends that occur will affect governments, businesses, and individuals. The author observes some of the regions that could be the hegemonic center that formed the world beyond the global cycle. Lastly, we will mention some elements of his work "The strategist's mind" which establishes a relationship with the need to change the structure based on the development of a globalized corporate strategy.
Ohmae also makes remarks about some regions that could be the economic axes that formed the world beyond the global stage and that are now shown as next global scenarios: British Columbia, Hainan, the Baltic corner, the city of Ho chi Minh, Siberia, Sao Paulo, and Kyushu are some examples of regions with global potential for the next few years. However, there are numerous comments on strategic thinking, Ohmae handles the definition of the strategy of the three Cs: Company, competition and customers.
In this same order, the main thing is to describe the vision, secondly, the strategy must be explained and thirdly, the business plan must be developed. Ohmae proposes us a colossal challenge as components of a nation-state, orienting our strategy towards profit, so that our country has solid foundations for when the opportunity to be a region-state presents itself. In our country we cannot really envision the path that leads us along the path of prosperity, since everything must begin with knowing where we are and where we want to go.
This is why we supported Ohmae's idea of inviting all governments to change their way of acting and to have systems thinking. Our Dominican Republic cannot continue to hold onto centralized powers when developed countries have chosen to sectorize this power, orienting it to the promotion of local rulers to other more important positions, bearing in mind their achievements during their administrations.
We are at a crossroads where we must adopt a modality where transformations are carried out that allow us as a country to move to the concept ¨ "nation project" and, where our government rewards good managers and punishes those, who in one way or another only affect the interests of the great majority, the happiness of a people tired of so much secrecy on the part of a very powerful sector, which at present begins to feel the strong winds that attack to snatch away, everything achieved in all his life as a businessman, the which will go from businessman to pseudo businessman.
Time is short and, if the changes are not initiated, put into practice the advice of our author ¨¨Ohmae¨¨ if so, we will not go from one state to another, we will simply get lost in space like a star without light, because The countries that understand the nation concept will place the batteries and go from one star without light to another with its own light, where there will be space to live with dignity and quality of life, as we can see in the countries with the nation concept, its inhabitants enjoy benefits that allow them to live with dignity as human beings.
Our government must take up the challenge, sacrificing itself as a heroic gesture and, this can be evidenced with the following list of public spending, this, then, making a 75% decrease in current spending and increasing capital spending, which in this At the moment it represents 25%, this will result in hospitals with medicine, quality education and, achieve citizens with security without any anxiety, to know today, if tomorrow there will be food, of course this cannot be achieved with a cabinet of inept, who only seek their personal benefits to the detriment of the large population who naively choose them to direct their destinies.
The relevant role of the government is not that of a provider of wealth but rather a distributor of it, and that the money collected from taxes must be distributed according to needs and priorities, as required. The taxes collected by our Latino governments, a large part of this money, is managed with the wrong concept, where our representatives believe that this should be distributed as if we were still in colonial times, where all the benefits were for the crown.
The distribution of the collections made by the government should be aimed at providing essential services to all citizens. Thus, for example, in our Dominican Republic few regions have the right to enjoy minimum public services regardless of their distance from the National District (capital of the country), on the contrary, the administration of the future must be flexible and urgent, capable to institute changes as quickly as necessary and with the will to provide citizens with services efficiently and effectively.
The government should not insist on doing everything, it should leave a space for the private sector to supply those services wherever it is, it cannot be competitive, in this way it will be possible to achieve productivity and achieve a balance, that is, to become an element that make things easier. The best option that a government can choose to do for its inhabitants is to attract foreign investment so as not to have to use the money they pay in taxes to subsidize low-profit state companies. In our country, the government must subsidize propane gas as fuel for passenger transport due to pressure from the driver unions, this can be seen when last year it had its elimination on its agenda, but it understood that if it eliminated it it could lead to strikes and strikes, resulting in,lowering his popularity among citizens, bearing in mind that he will be re-elected for the upcoming elections.
As an important sign, the government must focus its efforts on the demands for change that demand an intellectual revolution. It is inadmissible to believe that today, the government team is made up of people with a low level of education, which is why, many times they corner the attempts of people more prepared and open to the world and to propose projects that break the borders and allow the progress of the region.
We must also mention those politicians who, even knowing the situation in the world, disguise the truth to try to convince the naive and ignorant people with their speeches in order to fix their position in opposition to the current government with the sole purpose of getting, to be benefited in the next elections with the votes. For a nation to be successful, it must have a skilled and motivated workforce. A region must also have good structural capital, both in technology and logistics, this will depend fundamentally on the vision of the government in power.
To achieve this goal, strategies must be established aimed at training human capital with more capabilities than those it currently has, providing opportunities for preparation not only at the local level, but also knowing new cultures from other countries that allow them to be a country. globalized because they have global companies.
The vision of a globalized country must be open and transparent, with clear and practical objectives that can be pursued and achieved. We must remember that for a country to be able to integrate into a global economic system, it must have highly qualified personnel, state-of-the-art technology and a clear vision. In addition to all this, it is necessary to implement a market-oriented marketing strategy.
In the future market, an approach is made whose foundation is centered on three basic levels:
- Technological: The future of the world depends on technology Personal: It is now when we must be adaptable to the environment Organizational: Innovating and getting rid of unnecessary hierarchies are key to adapting to new global trends.
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Making the adjustments of place will represent the key so that the great opportunities offered by the global economy are seized by the company. The author suggests that we must study administration from a critical point of view, it is not enough to prepare students who can simply acquire administrative history, we must present the different scenarios, including the past, the present, and take measures so that they do not return. To commit the mistakes of the past and those of the present, this means qualifying a skilled person in his area capable of facing the problems or inconveniences in his daily experience.
Companies should not have nationality, because we are facing a globalized world. Our entrepreneurs must make systemic changes, no matter how many adjustments they must make, even failing we must continue, because with failures we understand the complexity of the problem, always keeping in mind that difficult problems are really easy to locate and understand. The present brings us new situations, problems cannot be solved by always using the same formula, since variables and questions unknown to us always appear, which we will resolve, using good sense and common sense, always taking into account the vision of our company.
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Ohmae presents the case of Sweden, a country characterized by its historical contributions to scientific innovation. This country has not remained in lethargy, letting time pass, staying at the forefront of technological innovation, especially with the aim of serving as a global platform in telecommunications and in the securities markets.
Based on the proposal, innovation must be present in the global economy specifically in four areas:
- Business systems: Industries must have suppliers that offer the best quality and the lowest costs. Its development is based on excellent research in manufacturing, sales and services. Products and services: In this part, innovation must be considered of utmost importance. Choosing the territory to explore and conceiving the best work team are necessary, in addition to products and services according to the needs and desires of the client. Entrepreneurs must try to surprise their customers, using effective techniques.Customer interface: With the use of telecommunications, these allow us to have an immediate and direct relationship with our customers, reaching a group of customers or a segment of the Employees, managers and staff in general:In this sense, the author delves into aspects such as the selection process as well as the evaluation and a good remuneration to his employees in pursuit of a better service to his clients. Entrepreneurs must bear in mind that the countries that achieve primacy have achieved these successes by investing in their human capital.
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In this section, the author presents some cases of regions that have achieved success, where he mentions countries such as Dalian and Singapore, as is the case of Hainan Island, south of China's Guangdong province, with a population of eight million inhabitants approximately. The economy of this country is based on the primary sector (subsistence agriculture), also taking into account that it has extensive wealth in gold and iron, in addition to benefiting from the continuous exploitation of oil and natural gas reserves in the sea from the south. Its natural beauty attracts thousands of tourists a year, mainly from Hong Kong and China. Its climate is subtropical and apart from this it has a hotel infrastructure that has nothing to envy Malaysia, Thailand or the Philippines.
Our country, the Dominican Republic, has similarities to this Chinese town of ´´Guangdong´´. Unlike this one, we have much more fertile land, we also have a great variety of metal mines, including iron. The difference is that we do not have a nation capable of shaping these metals and industrializing the products harvested in the agricultural sector.
After this example, Ohmae presents other regions such as Petropavlos (Russia), Vancouver and British Columbia, Sao Pablo, Kyushu in Japan potentially cataloged as next global scenarios.
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Ohmae in his book "The Mind of the Strategist", expresses his way of thinking and point of view on the world situation at the age of 29 to 31 years. We can observe in this author his capacity for critical analysis at a time when most people did not have the vision of perceiving the future.
By using the 4Cs it defines the strategies to be developed to satisfy the customer's needs, making the best use of the relative advantage over the competition. However, now he affirms that we can no longer define the client, the company and the competitors in a clear way, ensuring that companies are really in a situation where when detecting who the competition is, mistakes could be made, because Today's market problems are very complex.
Competition can be found anywhere, even our neighbor can be our strongest competitor. Now the strategy consists of defining the 4Cs very well and then defining their relationship in a sequential and dynamic way over time. Ohmae ends his work, trying to guide companies in the best way to create a vision, not by daydreaming, but on the contrary by mixing the real and the imaginary and at the same time implementing what is necessary to achieve success. Our companies will manage to get out of the crossroads in which we find managers who have their eyes as high as in the clouds, but with their feet firmly on the ground.
Once the vision is established, we must design the strategy, implementing a business plan that details the fundamental resources such as: human and financial resources and a schedule to enforce the established plans. In another vein, it is necessary to have people with an open mind in order to decide the terrain where we will fight our battles and when the time should be. For this we must train our leaders, providing them with the necessary tools to confront potential enemies, with the certainty of being successful in those conflicts.
10- Conclusions
After all this reflection, what remains will depend on each one of us. With the certainty that we will be the protagonists of the next scenario and that only with "attitude" will we be able to face the obstacles that the future holds. Mortals, we have evolved and until this moment we have a great challenge, to improve the quality of life for ourselves and our children and those of future generations, where we will be responsible for our destinies, which we must assume with dignity and respect.
Our Dominican Republic is in a moment of transition from the recently signed free trade agreement with the United States, to which we have gone for reasons of force, that is, we had no other alternative and, where its signature is practically carried out ¨¨Unilateral¨¨, because the people who were chosen for the contract were not the right people, this being the case, because they were politicians, lacking 90% of the negotiation capacity in this type of conflict, on the other hand they are not specialist of negotiated packages.
This recently analyzed book serves as a personal, institutional and governmental guide to understand that we are at a disadvantage compared to countries that did understand that governments must assume that borders do not exist and that we must develop to the maximum our competitive advantages, for our case, that of the Republic as well, we must develop the service sector (telecommunications and tourism) another sector would be the primary sector (agriculture), since we must accompany the latter with the part of "industrial transformations" to that our companies achieve the great dream they cherish, to become a Globalized Company.
Our country has better characteristics than those of the Chima people ¨¨Guangdong¨¨, making the following reservation: we do not have a nation project (Region-State). We finish this essay predicting with all modesty that we do not know where we will go because we do not know where we are as a country
