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Global Business ( Chap 4)

Global Business ( Chap 4). Dept of Technology Management for Innovation (TMI), Graduate School of Engineering Professor Kazuyuki Motohashi 工学系研究科 技術経営戦略学専攻教授 元橋一之 http://www.mo.t.u-tokyo.ac.jp. Development in emerging economies Such as China and India. New markets. New competitors.

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Global Business ( Chap 4)

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  1. Global Business(Chap4) Dept of Technology Management for Innovation (TMI), Graduate School of Engineering Professor Kazuyuki Motohashi 工学系研究科 技術経営戦略学専攻教授 元橋一之 http://www.mo.t.u-tokyo.ac.jp

  2. Development in emerging economies Such as China and India New markets New competitors World GDP Shift Developed -> Emerging Econ, such as BRICs Catching up of Firms in Emerging Economies • Global Business Strategy • Shift to “good enough market” and improvement in cost competitiveness • Business model re-organization by service dominant design (Product base -> Complex system integration business) World in not so flat, understanding distance Consistency with corporate strategy

  3. Competitiveness index by products(Export-Import)/(Export+Import)

  4. Decreasing international competitiveness

  5. Difference in product architecture Modular architecture Integrated architecture

  6. Product architecture and value creation Aircraft (CoPS) Modularization Mainframe computer Unbundling, competition Size of value added EV? Auto-motives IT services Scalability in services? Service science PC Level of complexity (difficulty in imitation)

  7. “Smile” Curve by IT and globalization Modularization by Digitalization & Fragmentation of production activities world-wide High Profit Parts Design Customer Service Low Assembly Value Chain Down stream Up stream

  8. Response to competitive pressure from catching up economies Aircraft (CoPS) Growing “Good Enough Market” Protection of propriety technology (IPR), increasing complexity, strategic investment in complex system innvation EV? Auto-motives Size of value added PV panel Scientific approach for innovation (digitalization, modularization..) and technological catching up PC Level of complexity (difficulty in imitation)

  9. Service Dominant Logic of Marketing(Vargo and Lusch, 2004)

  10. What is complex service system? Value Proposition to the customer Local environment Organizational factors Low cost/ high performance Operation and Controlling Functions Complex system of products

  11. Example: Railway as a complex LTS Geyer and Davis, Research Policy 29 (2000), pp. 991-1013

  12. UK system of operation (after EU directive) Geyer and Davis, Research Policy 29 (2000), pp. 991-1013

  13. German system of operation (after EU directive) Geyer and Davis, Research Policy 29 (2000), pp. 991-1013

  14. Introduction: Neemrana Industrial Park Hariyana State Dehli Gurugaon Neemrana Rajasthan State Gujarat State DMIC(Delhi Mumbai Industrial Corridor) Pune Mumbai (Bombay) Bangalore Chennai (Madras)

  15. Neemrana Smart Factory Plan Phase 1、2(Indian companies area) Contribution Stage 2 (to Indian companies (Power, Water treatment service and Logistics information to Phase1,2 area ) • Water treatment system • Contribution to environmental protection- Collaboration with power plant • Increase water efficiency Phase 3(Japanese companies area) ② Mitsui Prime 09-6 Contribution Stage 1(Power, Water treatment and Logistics information to Phase3 area) - Water treatment system - Water park Logistics center Information of traffic conditions • Improve logistics efficiency • Reduce environmental burden Mega solar power plant (NEDO demonstlation project) - Gas power plant - Control server

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