globalization and the electronics industry

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GLOBALIZATION AND THE ELECTRONICS INDUSTRY 1 EST 450 Management Problems in the Electronics Industry Assignment Number Three Globalization and the Electronics Industry Prepared for Craig T. Neville ESTIS Visiting Assistant Professor By Garland Anderson Southern Illinois University Abstract Globalization has a powerful influence on the electronics industry today, companies that use this influence will thrive those who don’t will fail. In our global economy leaders must have a plan and focus to exploit the positive effects of globalization while reducing its negative impact. Retaining talent, maintaining the competitive edge and promoting a company’s internal success will be supported by globalization. April 27, 2013

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GLOBALIZATION AND THE ELECTRONICS INDUSTRY 1

EST 450 Management Problems in the Electronics Industry

Assignment Number Three

Globalization and the Electronics Industry

Prepared for

Craig T. Neville

ESTIS Visiting Assistant Professor

By

Garland Anderson

Southern Illinois University

Abstract

Globalization has a powerful influence on the electronics industry today, companies that use this influence will thrive those who don’t will fail. In our global economy leaders must have a plan and focus to exploit the positive effects of globalization while reducing

its negative impact. Retaining talent, maintaining the competitive edge and promoting a company’s internal success will be supported by globalization.

April 27, 2013

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 2

Globalization and the Electronics Industry

Since the agricultural revolution, technological and industrial improvements have

influenced growth in our economy. Globalization has had a profound impact and will

increasingly be an important consideration for electronics companies. The biggest

challenge for leaders, business owners, and CEOs is to understand the effect of

globalization. It influences the electronics industry in several arenas including economic,

political and employee relations. It is paramount for electronics companies of today to

have a corporate vision and plan to use the effect of globalization to their benefit, those

who do will succeed, and those who don’t will inevitably fail.

The global political climate driving business practices today has ever changed

the landscape. Outsourcing for cheap labor oversees, buying cheaper products from

Asia and the development of multinational corporations have helped several electronics

firms’ bottom lines, but at what cost. The lack of true national goals and gains without

responsibility has gutted our competitive edge here at home. We must return to a

unified internal vision and business strategies that not only improve business but also

ensure we will have an edge in the future.

Kearney, (2012, para. 1) found the information and communication technology

(ICT) sector in Europe is in decline. The United States is also experiencing the same

trend. What does that mean for the US electronics industry? Changes must be put in

place to combat it. A recent study suggests a strategy that relies on long term desirable

and emerging high tech products, planning investments and taking advantage of high-

tech regions.

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 3

The disturbing thing is demand for computing products and consumer electronics

is on the rise. Statistics (McGregor, 2012, para. 5-6) show demand in developing

countries will be going up because of population growth and improved economic

conditions. Though the computing segment has slumped in the past, it usually has

rebounded to double in size every four to five years. If demand for high-technology is

going up why is the U.S. market declining? McGregor (2012) goes on to say our

optimism about continued growth in the computing sector may be unwarranted. How

long can the rapid growth in the sector be sustained (para. 11-14)?

According to U.S. Bureau of Labor Statistics, (2013, p. 1) electrical and

electronics engineer opportunities are on the decline. Why? Cheap labor in developing

countries is desirable in this economic downturn many corporations are outsourcing off

shore which leaves a vacuum here at home. Also a shift from manufacturing to services

in the United States has deleted many entry level manual labor jobs.

Schraeder, (1999, para. 3) describes the lack of qualified workers as an

important factor impacting employment policy. Butz, Kelly & Adamson, et al. (2004)

posed a question “Is the Federal Government facing a shortage of scientific and

technical personnel?” If the government is experiences a shortage of technical specialist

what does that say about the US high-tech industry?

The research points to problems in the U.S. high tech industry that must be

addressed. My objective is to gather information from various sources to determine the

long term impact of globalization and ways it can be used to benefit the electronics

industry in America.

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 4

Political Impact of Globalization

The World Trade Organization (WTO), (Fischer, 2000, p. 3-4) United Nations (UN),

General Agreement on Tariffs and Trade (GATT) and North American Free Trade

Agreement (NAFTA), have all made it increasingly difficult for countries to have a

nationalistic approach. Separationist attitudes are counterproductive to growth and

gaining a competitive advantage. The electronics industry has been a forerunner in

developing international requirements and procedures to make electronics components

and services available to countries throughout the world. No longer can there be a

national economic policy that ignores global pressure in the three major trade blocs

including the Americas, Europe and the Pacific Rim.

International and domestic influences. Fischer (2000) remarks, “The lines

have been blurred between public and private international law, when the government

enters into a GATT with the intent of creating jobs, stimulating the economy, and

protecting business, there is fundamentally no difference between the two.” and “no

national interest can long hold out against a contrary global interest” (p.4).

In fact, “Since the U.S. has lost it position of hegemony and is unlikely to regain

it, it needs partners. Co-venturing by nations and companies ought to be encouraged

and the interdepence of people and economies ought to be emphasized. But that is not

always how it works” (Fischer, 2000, p. 33). I agree with this philosophy but would add

that alliances must be beneficial to US objectives at all cost. Alliances must have

specific strategic goals they will help accomplish.

“Destructive independence” is described by Fischer (2000, p. 4) and although I

agree a pure nationalistic approach is counter-productive; corporations must develop

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 5

alliances that benefit them and the country long term. “Denationalization” losing national

identity and agenda for a joint international one, what does that mean? Government and

corporate personnel responsible for policies involving foreign powers must make

decision that first of all benefit our country. Anxiety to attain a market share in foreign

markets has blinded many from their greatest responsibility, to remain in business.

The collaboration between business and government is a necessity to effectively

globalize world trade. Key areas corporations must consider are market access,

balance trade and monetary stability. The trade deficit (Fischer, 2000, p.150) in the U.S.

is one reason economic recovery is so slow. It is impossible to borrow and spend a

country out of an economic slump.

The International Monetary Fund (IMF) (Morris, D. & McGann E., 2012, p. 30) is

attempting to control economic conditions in sovereign nations. They recommend

replacing the U.S. dollars as the global reserve currency with Special Drawing Rights

(SDRs). The issue is the IMF has no taxing power so the U.S. taxpayers will be

responsible for backing this new virtual currency controlled primarily by European elites.

John Perkins (2007) author and former economic hit man, describes in minute

detail the interrelation of the corporate sector and the United States Agency for

International Development (USAID). The economic aid countries are receiving is tied to

corporate programs that allow the US to prosper through benevolence. The negative

sentiment many Middle Eastern countries hold for the U.S. is warranted, due in part to

tactics used by the C.I.A. and the State Department to control leadership and political

situations abroad for economic gain.

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 6

The China dilemma. The United States is (Morris, D & McGann E. 2012) losing

its’ position of sovereignty due to the increase control of international organizations. In

order to control (Morris, D & McGann E. 2012, p. 35) our destiny at home we must fight

against any control of the monetary system and reduce the influence of the Federal

Reserve Bank. Few citizens really understand the far ranging impact the GATT and

WTO are having on our relations with China.

China has (Morris, D & McGann E. 2012, p. 82) an unfair and criminal advantage

over the U.S. and all markets due to several practices that continue unpunished;

currency manipulation, pirating of intellectual property and spying on the military. The

agreements (Navarro, 2007, p. 3) China has made to open free trade to outside markets

are not being fulfilled but they are still allowed to take part in the benefits of their status

through the WTO.

China promises (Morris, D & McGann, E., 2012, p. 83) to open their markets but

have no intention of doing so, this has caused the loss of 2 million American jobs and

increased the trade deficit. The lackadaisical policy of the Obama administration is to no

effect in changing this trend. To suggest there are conduits to a beneficial trade

relationship with China without confronting the illegal strategy is ludicrous.

To give an (Morris, D & McGann, E., 2012, p. 103) idea of the impact of

espionage on the American business industry, the Office of National Counterintelligence

estimates it costs U.S. companies $50 billion per year. China and Russia are the

primary culprits and are using cyberspace to do their dirty work.

Domestic spies (Morris, D & McGann, E., 2012, p. 108-110) legally residing in

the U.S. have been charged with stealing trade secrets, Hanjuan Jin, a software

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 7

engineer was accused of taking hundreds of millions of dollars in trade secrets from

Motorola. In March 2011, a grand jury indicted Steve Liu, on eight counts of exporting

defense-related technology; he has lived in the United States for eighteen years and

worked for L-3 Communications’ Space & Navigation division in New Jersey. In 2003,

U.S. technical giant Cisco Systems sued Huawei a Chinese state supported company

for using pirated software and infringing on their patents. $76 million dollars of

counterfeit Cisco products were seized from government agencies and military

contractors. How did these make into our supply system? Contracts go to the lowest

bidder and who is that…you got it China.

There is an organized and strategic agenda to take America down by any means

necessary. If the American business sector does not learn from past and current

onslaughts on technology they will be unable to compete in the future.

Economic Impact of Globalization

In the United States many manufacturing and production jobs have been lost to

overseas markets due to cheaper labor/manufacturing costs, many jobs have been

produced in the service sector to make up for the loss in manufacturing jobs. In 1950,

(Volti, 2000, p.35) manufacturing jobs accounted for over 20 million workers in the U.S.

while over 28 million were in the service sector. After adding nearly 71 million jobs by

1998, 27 million were manufacturing workers and 93 million were in the service sector.

So there isn’t a job shortage per se but a movement to the services industry, what some

may call a paradigm shift.

Where are the jobs. New job growth drives the economy in a positive direction

so why is this not a priority of the Obama administration. Stimulus packages in the

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 8

trillions have had marginal if any impact on the economy. Where are the technical jobs?

The move to the service sector and globalization of business and economy has

decreased the importance innovation. The lack of innovation and focus on maintaining

an edge is causing the U.S. to slide behind competitors like China. I will agree that there

are many information technology (I.T.) jobs in the marketplace but everyone can’t be a

computer type. The lack of hands on manufacturing jobs in the U.S. has destroyed a

positive job outlook for most technical types. Where are the industrial, mechanical,

electronics, and electrical engineers? These jobs have moved to India several tech

companies have research and development hubs in Asia.

These sectors have not disappeared altogether but they are definitely

diminished. Senator Kaufmann (Hunter, 2009, para.9) urges that the government get

back to supporting and seeking out innovation. He comments that 52 years ago he

wanted to be an engineer; programs in the government supported his quest and those

of many others. This focus as a nation allowed the United States to weather the storms

of the time to become a world power. Kaufman implores the government to return to a

culture of innovation and research, to support programs that bring attention and

resources to engineering and scientific sectors. This will help the economy rebound and

produce technology that will give us a competitive edge.

Fundamental domestic error. Job growth increases the tax base which allows

the government to bring in more revenue; it also increases the productivity of the

corporations involved and helps them to prosper. This in turn produces more job

opportunity and gives the businesses involved the human capital to expand. Which

again increases the tax base….and on and on…you get my drift.

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 9

If our economy was focused on creating jobs and lowering taxes the revenue

generated would be more than we need. Every time this has been done in the past the

economy has thrived. Totally moving away from manufacturing in the U.S. cost more

that the loss of jobs; technical knowledge passed on by carrier technicians, engineers

and laborers to the new generation is lost forever.

The consumer driven economy in the United States is also a major factor. As a

country the United States of today is entirely different from that of the baby boomers.

They produced more wealth in their work years than any other generation, $44 trillion to

be exact. The reason I bring this up is because the baby boomers advanced U.S.

technical prowess like no other. The space race and cold war were instrumental in

developing the national goals that drove the entire country; business, government,

research and development, all saw massive strides during their work lives. The United

States had to prosper.

The business sector is no longer focused on producing technology for the future;

most sectors are more focused on order taking. This bent has hollowed out the tenacity

needed for innovation and when innovation is sought it is focused on consumer

products.

To lead economically America must lead in production, (Ensinger, 2009) Japan

has passed the U.S. as top car producer, China is the world’s top producer of high-

technology products, including aerospace, computers, pharmaceuticals, scientific

instruments and electrical machinery. America’s failed trade policies are the reason we

are falling behind.

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 10

“The global sales (Kearney, 2012) of information and communications

technologies amounted to $2.8 trillion in 2011, of which $815 billion were generated by

the largest segment, IT services, followed by consumer electronics $378 billion,

semiconductors $317 billion and software $297 billion” (para. 3). How much of that pie

should U.S. companies be gathering? We are behind China in about all categories.

No national (Fischer, 2000, p. 5) market can suffer a significant shock without its

impact being felt in throughout the world. It’s clear that not even the United States can

permanently influence market conditions on its own. Inflation caused by devaluing the

dollar has a negative impact on U.S. clout in the global market. China and other nations

are moving away from the dollar due to it weakness and American economic woes.

The U.S. Congress refuses to live on budget, social programs like, Social

Security, Federal Retirement and Welfare equate to 60 percent of the national budget.

The lack of fiscal responsibility in the government is a picture of the attitudes many

Americans have. Delaying the inevitable, U.S. citizens are bankrupting the future. The

U.S. trade deficit and debt load with China is creating havoc on U.S. economic growth.

Business Cultural Impact of Globalization

Although outsourcing to cheaper labor markets helps a corporations’ bottom line, what

effect is that having on the U.S. economy and employment picture? America is

experiencing those negative effects right now, a depressed economy and an

unemployment crisis with no true remedy in sight.

This is having a profound impact on college graduates and young professionals who

believed the story of the American Dream; go to school, get a good education and get a

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 11

good job. The problem is where are all the jobs? Shrinking profits and lean initiatives will

call for most of these accomplished professionals to go it alone.

Business leadership considerations. Any real change in an organization starts

with a leader. Good leaders (Drucker, 1992, p. 122) need not be liked but trusted. The

attributes of a good leader is that he has followers. Charisma is overrated and is usually

very deceptive in determining leadership. Leaders are effective at getting productive

results through others. They are also experts at duplicating themselves which further

increase their personal corporate stock. The message of the media and popular culture

is all about looks and charisma, where has that gotten us. Scandals involving personal

issues like infidelity, insider trading, and conspiracies abound.

Drucker (1992) elaborates “What distinguishes the leader from a misleader are

his goals. Whether the compromise he makes with the constraints of reality—which may

involve political, economic, financial or people problems—are compatible with his

mission and goals are lead away from them determines whether he is an effective

leader” (p. 121). Is this description in contrast to the U.S. current business policies?

The corporate policies in the U.S. banking and technology sectors have been off for

quite a while which is the reason so many vital sections of U.S. enterprises are

overseas.

Are American companies sticking to their corporate goals or just aimlessly

following popular culture looking for the next money maker. Speculation is the rule of

the day and the consequences of gambling ways have been shown twice in the 2000s

by the dotcom and housing crashes. Drucker (1992) makes several poignant

observations that must become a measuring stick for leaders in the electronics industry.

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 12

In these times of rapid change a strategy that increases productivity and revenue

is of utmost importance. Companies have to properly measure their progress and do

their best to insure success. Eli Schragenheim, (1998, p. 65) describes a case of a

bottleneck caused by a backlog of electronic devices needing repair. The magnitude of

the problem was underestimated by the manager causing him to get further and further

behind. Using the theory of constraints Schragenheim (1998) provides tools to help

determine the root cause and the solutions. It would be very instrumental for

corporations and government agencies to use these planning tools to determine the

need for new programs, areas for improvement or business process changes.

In the future (Jellison, 2012, para. 3) companies may need to develop four or

more business models. Software and hardware companies, who traditionally were

accustomed to a limited business model, must evolve to incorporate the choices

consumers expect. Traditional software companies may need to offer licensed software,

Software as a Service (SaaS), integration of software and hardware into appliances,

and an advertising model for certain customers.

UBM announced Dec 2012, (PRWire, 2012) they had made extensive amounts

of training material available for electronics and design engineers through

techonline.com. This type of initiative allows workers to take the lead on getting the

information as they need it. Provides value added resource that will produce a more

competent employee.

This is a tall order but will open up many electronics firms to the innovation and

new technology the economy and job market are crying for today. Jellison (2012) has

shed light on one key attribute that maybe exploited for the benefit of electronics firms.

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 13

Trade deficit impact on business. Globalization has had a negative impact on

job growth in the United States because of the trade deficit with China and companies

moving off shore to cheaper markets. This reduces opportunities for workers here in

America, due to the fact we are not actively combating the trend the economy and job

market continues to suffer.

There are so many different ideas popular today on what America needs to do to

repair the economy. Globalization is contrary to the development of a better economy

here. Forty percent (Morris, D & McGann, E., 2012, p.89) of factories with over 250

employees have closed since China entered the WTO. The most important rule in

business is to stay in business, many corporations have lost focus, making shortsighted

decisions that effectively initiated their ruin.

The U.S. must prepare and find ways (Brown, 2010, p. 160) to increase exports

to Asia. Corporations need to develop plans and determine what the needs will be so

these bases of billions can be exploited. India and China are showing positive growth

numbers but their consumption is less than ten percent of global market. Brown (2010,

p. 161) suggests encouraging China raise consumption faster to benefit their growing

middle class.

Unproductive corporate climate. The trend of rapid employee turnover,

corporate takeovers and selfish ambition have caused workers and corporations to have

an, us against them attitude. Several companies have engendered a positive corporate

climate and thrive because of it. The lack (Goleman, 1998, p.39) of emotional

competence has a serious impact on turnover. The real loss to a company for the loss

of one employee is a full year’s salary. If this loss happens at the executive level losses

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 14

can be in the hundreds of thousands of dollars to millions. It was not uncommon in the

past to have an employee complete an entire career at one company. Why is it not that

way anymore? The lack of loyalty in the corporate sector and misunderstanding the

value of one great employee, have caused many to sacrifice productivity for long term

viability.

Companies need to get back to grooming and providing long term career paths

for their employees. This goes for entry level and executive positions. Many times entry

level personnel are relegated to their tasks and that’s the end of it. Many of these skilled

and unskilled workers could be great candidates for management or maybe a CEO in

the future. Upward mobility is a great motivator for those who have ambition to be and

do more.

Electronics industry (Hunter, 2009, para. 10) would gain a serious edge by

developing partnerships with the public and private school system to motivate and

create excite in the country’s future technical experts. Giving back society by producing

informational briefs, speaking about upcoming technology and even requesting the help

of students to solve a problem or improve a product.

Many young people develop their aspirations from contact they had with adults

who were interested in them. What better way to pull young Americans into technical

fields. Government technical agencies would also do well in creating the same type of

partnerships.

Labor relations and legal aspects. The increased use of the Internet,

teleworking, and conference calls have also made it important for companies to monitor

the performance of their workers whether they are in the office or at home. Some

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 15

companies are moving away from this laid back work environment while others are

continuing the effort; it all depends on the goals of the company.

Computer software security company Symantec has implemented an effective

telework program and is currently rolling it out all over their international structure. Chief

human resource director, Rebecca Ranninger (Divol, R., & Fleming, T., 2012) describes

in detail what’s working for them. Employees are not held to rigid work schedules but

required to make contact with manage and submit work projects on time. She remarks

that though results are positive, getting together face to face has no equal in the

business world. Relationships are built and true mentoring takes place sitting around a

table working through things together.

The complex (Kuykendall, 2007) culture today requires the due diligence of

corporations to protect themselves. An aging workforce, persons with disabilities,

increase of women in the workplace, and the fight for same-sex equality make it

imperative for human resources personnel are informed and capable of training

employees on their rights and responsibilities. The advances in the medical field have

made it possible veterans severely injured in combat to lead somewhat normal lives,

increasing the number of workers who have disabilities. The laws governing employee

relations are dynamic corporations and employees must stay abreast of changes.

What can clog up a productive team in two days flat? Bad managers avoiding

personnel issue, (McKee, 2007) there are several reasons why the do it.

It is easy to avoid people

They haven’t been trained properly

They believe leadership is full of it

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 16

They don’t care

This may seem kind of odd but all of us have avoided dealing with an unpleasant with

situation. Circumstances do not get better by avoidance; let’s talk about the ugly baby

maybe we can fix it together.

If an organization is implementing fair hiring practices one would expect their

demographics to look much like that of society in general. For many organizations

including the U.S. military that is not the case. So why is there an ethnic gap, age or sex

gap? There are several factors that drive this phenomenon but corporations must

ensure they are not biased, unfairly discharging or refusing to hire a qualified candidate

because of these differences is against the law.

The reduction of employee benefits, like retirement accounts and medical

insurance make it more important for electronics firms to provide training and avenues

for employees to take care of their own business. Classes in personal financial

management would be beneficial in showing employees you care although you are not

providing the service as a part of employment.

Intellectual property as well as specific company trade practices must be

protected. Several companies have dealt with leaks of information and disgruntled

employees exploiting their access to the businesses intellectual property. Policies must

be in place to address how intellectual property and company specific trade practices

must be handled and the consequences if the policies are not followed explained and

recorded.

To maintain the competitive edge, attract and retain talent and ensure longevity

managers in the electronics industry must address the issues detailed. Although there

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 17

are negative aspects of globalization businesses that make the correct adjustments can

thrive. Companies who learn how to make globalization work for them will succeed the

ones who don’t will fail.

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 18

Summary

The global political culture is having an increasingly important impact on the

American way of life. The United States is a sovereign nation but the WTO, GATT and

IMF are attempting to control policy within the country. This trend along with trade

imbalance with China is threatening political freedom in the U.S. There is increase

pressure on the U. S. to abandon the freedoms we have become accustom to for a

more global agenda.

Due to the interconnection of national economies to the global market, the U.S. is

in a position; it cannot get out on its own. Changes must be made immediately to

combat the negative impact globalization is having on U.S. economy. The consumer

driven and service oriented economy served America well for a few years but, now we

are seeing the consequences poor decisions. The lack of a budget in Congress is a

good picture of the attitudes many Americans are dealing with today.

Electronics companies have moved to the services industry causing a vacuum in

the technical trades in the U.S. The government has moved away from the engineering

field, in part due to out-sourcing and decrees in U.S. manufacturing. To maintain

American top nation status and long term viability U.S. companies must develop a

concerted effort to save it. It will not happen by mistake.

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 19

Problem Resolution

There seems to be a runaway influence of globalization going on, and many companies

believe they are at the mercy of it. Although the effects of globalization are strong and

will have an impact on every business in the marketplace, I believe there are several

strategies that will help electronics companies maintain the competitive edge and

flourish no matter the economic climate. For every company that fails to take advantage

of positive influence of globalization there are several that do.

Strategies to Maintain Competitive Edge in Global Economy

Electronics firms must develop a strong mission and internal objectives. All the talk

about the inevitability of globalism has blinded most leaders to the fact they must have a

strategy to win on their own terms. If this is not developed and communicated

throughout the organization the market will drive the business instead of the business

driving the market. Companies must be proactive and write their own destiny, riding the

wave of the market is great when your segment is up, but what happens when it is

down.

Renewing Dedication to National Corporate Goals

We are experiencing the negative attributes of that lack of identity in our country we are

also seeing it in business. Without a strong internal strategy to win companies will ride

the wave in the market up and down, many losing their businesses altogether at the

bottom. The dotcom crash and the recent real estate implosion are two examples of

what happens when business people don’t understand what’s driving their profits.

Understanding business cycles will also help to solidify a great winning formula no

matter the market conditions. Knowledgeable investors make a profit in up and down

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 20

markets, they know where and when to invest and are patient enough not to panic when

novices run and hide.

Market strategy economically sound and viable in every market condition

This step will take a lot of thought and planning but will be invaluable to the company’s

success. This is where management and employees must determine their current niche,

where they are different and how that position is equitable to customers and marketed

properly. As an example, the fight between Betamax and VHS for market share in the

late seventies. The two technologies were well received but the VHS message and

niche was communicated and marketed more effectively. Just because you have the

best product doesn’t mean you will be a leader in the market. Electronics firms must

evoke emotion and communicate the need for their product or service, explaining why

they are better and get that message to their target market often.

GLOBALIZATION AND THE ELECTRONICS INDUSTRY 21

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