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Redefining Global Strategy: Crossing Borders in A World Where Differences Still Matter by Pankaj Ghemawat

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Global Value Creation

The ADDING Value Scorecard

I conceive that the great part of the miseries of mankind are brought upon them by false estimates they have made of the value of things.”

—Benjamin Franklin, “The Whistle,” 1779

CHAPTER 2 DISCUSSED the similarities versus differences between countries and worked through the CAGE distance framework as a way of understanding how much they matter at the country and industry levels. This chapter discusses why—if at all—firms should globalize in a world in which distance still matters.

The chapter begins with a brief review of how global strategy often addresses—or fails to address—the question “Why globalize?” It then illustrates—using the example of Cemex, the Mexico-based ...

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