Redefining Global Strategy: Crossing Borders in a World Where Differences Still Matter »

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.

The Financial Times

. . . a reasoned guide.

Foreword     ix
Acknowledgments     xi
Introduction     1
Value in a World of Differences
Semiglobalization and Strategy     9
Differences Across Countries: The Cage Distance Framework     33
Global Value Creation: The Adding Value Scorecard     65
Strategies for Global Value Creation
Adaptation: Adjusting to Differences     107
Aggregation: Overcoming Differences     139
Arbitrage: Exploiting Differences     169
Playing the Differences: The AAA Triangle     197
Toward a Better Future: Getting Started     219
Notes     231
Selected Resources     247
Index     249
About the Author     259