Business survival in a global village

Post 108 Nationalism

I am really not surprised that many multi-national supermarket giants have called it a day in Japan and Korea. These giants sold off their stores because of the strong nationalistic and patriotic complexes among the Japanese and the Koreans. Unlike in China, foreign shopping chains are doing brisk business there.

If one goes to Korea or Japan, one can hardly see German, French or American cars on the road. This has prompted intervention by the World Trade Organisation (WTO) and protest by the European Union (EU). Though the two governments have reduced red tapes, lowered import taxes and other restrictions to make it easier for foreign cars to be imported there, to sell them is not easy. The owners might be looked upon as not patriotic. Hence foreign manufactured cars which are prestigious and expensive are as good as rocking horse droppings in these countries.

People in other developed and developing countries tend to buy anything that is cheap and good even if they are foreign. That is why Japan and Korean can sell their TV, Hi-fi, cars, air-conditioners, and refrigerators in these countries but not vice versa. Thus, we see many Japanese and Koreans cars and household appliances on our streets and in our homes.

A global village can be an open or a gated one.

6 September 2011
(On leave - 30 August 2011)