Page 237 - Grow from Within Mastering Corporate Entrepreneurship and Innovation

222 grow from within

conditions was complex enough when most of the world’s for-
mal economic activity occurred in selected parts of the Pacific
Rim, Europe, and North America. The relatively recent rise of
major economies all over the world, from South America and
South Asia to Africa and the Middle East, has intensified the
challenge. Companies that are eager to serve these fast-growing
markets must consider a much wider range of needs and fac-
tors. What works in Tulsa or Tokyo might not work in Tashkent.
For most of corporate history, entering emerging markets
often meant opening a sales and service office and providing
essentially the same products to the local market that the com-
pany would provide in its home country, typically the United
States, Europe, or Japan. While many companies consider
themselves “global”’ simply by virtue of having a presence in
many countries, a truly global company appreciates the dif-
ferences among consumers and contexts in the varied markets
it serves. Selling the same products in the same way around
the world does not make a company global. Engaging with
markets on their own terms and serving the unique needs of
customers in varied locations worldwide while maintaining
the competencies and culture that make a company great—
these are the characteristics that distinguish truly global firms.
As a result of accelerating globalization, many of the best
long-term growth opportunities have been shifting to develop-
ing economies. While there are similarities, the realities of doing
business differ among countries and regions, sometimes dra-
matically. While this is not a book about globalization per se,
globalization compels companies to recognize that playing in
varied markets requires an ability to design businesses that are
suited to different conditions. The complexity is clear, but if com-
peting in varied contexts were easy, then there would be no
money in it. The profit opportunities will accrue to those who
figure out how to serve consumers with business systems suited