Sunday, October 25, 2009

Asia's competitive edge

It is true that Asia is going to be the next leader of the world in many different arenas. The sheer will and mentality of the Asian psyche reflects this less than new trend.

I have personal experience in examining this psyche. In high school I took the Chinese foreign exchange student to prom and had the opportunity to examine what made her tick.

As a student in our school she was very aggressive compared to the rest of us. My last semester was mostly blow off classes to coast the remainder of my year. She on the other hand took four college credit classes and entry level French and Spanish (both of which were being taught to her in English when her English was still shaky). I remember talking to her host mother and she told me that the Chinese culture in general has a drive that its American counterpart does not.

The Japanese auto markets are a testament to Asian ingenuity. For the past several years Japanese car makers have innovated both in process management and personnel training and company culture. I can recall an interview with a former GM employee who worked in quality control. To make a long story short the plant manager sent the defective car down the line and the employee felt that his job was pointless because his voice was ignored. After the plant went into a joint venture with a Japanese firm everything changed. Workers opinions were valued and quality control became a top priority.

On a stronger note most economists say that China, not the US will be the global powerhouse in terms of economic strength within the next two decades. The world of business is evolving and if American firms are going to survive then they must evolve with it.

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