Exercises 6 How The West Became Dominant In Business6 1 Do You Thin ✓ Solved

Exercises 6. How the West became Dominant in Business. 6-1. Do you think Yali, the politician and religious leader in New Guinea, was happy with his life? Why or why not?

6-2. With respect to farming or the domestication of animals, which was more important for the development of the modern world? Explain your reasoning. 6-3. Why was North America unable to develop less rapidly than Europe?

6-4. Given the thesis of Diamond's book, it seems strange that China, India, and East Asia did not develop to rival the West. Do you agree? Explain your reasoning. 6-5.

Specialization leads to more rapid social and economic development of a region. Do you agree? Explain your reasoning. 6-6. Of guns, steel, domesticated animals, training, maritime technology, and writing, which was most important to explain the rise of the West?

Explain your reasoning. 6-7. What is the lesson learned from Diamond's book on guns, germs, and steel? Exercises 7. Overcoming Vulnerability for Business Success.

7-1. What is the lesson learned from Sheffi's story about Phillips, Nokia, and Ericsson? 7-2. What is the lesson learned from the story about financing a customer's purchase of computer equipment? 7-3.

Sheffi said a company could avoid disruption by being flexible and using redundant systems. Do you agree? Explain your reasoning. 7-4. What is the lesson learned from Haynes and Grady? à‚ Exercises 8.

How Collaboration Changes Everything. 8-1. What is the lesson learned from the Tapscott and Williams story about GoldCorp? 8-2. What is the lesson learned from the Tapscott and Williams stories about the accuracy of Wikipedia?

8-3. What is the lesson learned from the National Geographic story about swarm theory? 8-4. Airbus was not being managed well when its Power8 program failed to include airport risks. Do you agree?

Explain your reasoning. 8-5. Why do you think swarm theory worked in the situation with Air Liquide?

Paper for above instructions

How the West Became Dominant in Business

The dominance of the West in modern business and global affairs is a complex phenomenon that has arisen from various historical, geographical, and social factors. Jared Diamond's book, "Guns, Germs, and Steel," provides an analytical framework for understanding these dynamics, while exploring the reasons behind disparate developments across civilizations. This assignment delves into specific questions based on Diamond’s arguments, as well as broader themes connected with business resilience, collaboration, and innovation.

1. Yali's Happiness

Yali, a politician and religious leader from New Guinea, may not have been happy with his life due to several factors tied to socioeconomic disparities. According to Diamond (1997), traditional societies like Yali's faced significant challenges in accessing the technological and economic advancements that define western civilizations. Stagnation due to environmental limitations, lack of resources for agricultural practice, and insufficient exposure to markets and trades could lead Yali to a life filled with frustration and longing for what others achieved (Diamond, 1997; McNeill et al., 2006). The disparity created a gap that could affect Yali's sense of fulfillment and happiness.

2. Farming vs. Domestication of Animals

The domestication of animals has played a critical role, perhaps more so than farming, in facilitating the development of the modern world. Domesticated animals provided not only food but also labor, which was essential in terms of increased agricultural productivity (Diamond, 1997). This increased productivity allowed for population growth, the establishment of surplus, and ultimately, societal specialization, forming the bedrock of modern economies. While farming served as the initiation point for civilization, the role of livestock in enhancing the efficiency of agricultural practices arguably pushed societies toward greater technological advancements (Boserup, 1981; Smith, 1998).

3. North America's Development

North America’s slower pace of development vis-à-vis Europe can be attributed to its geography, resulting in the concentration of resources and trade networks in Europe, which spurred competition and innovation (Diamond, 1997). The fragmented nature of North America’s indigenous populations—alongside geographical barriers—hindered similar forms of competition and collaboration that became prevalent in European states (Pomeranz, 2000). Historical factors, including colonization efforts, also played a role in shaping economic infrastructures, revealing inconsistencies in developmental trajectories.

4. East Asia and the West

The thesis of Diamond suggests that environmental and geographic advantages propelled Western dominance. However, the failure of countries in East Asia, such as China and India, to rival the West is tied to internal socio-political volatility and missed opportunities. For instance, the Mongol invasions set back Chinese technological advances (Diamond, 1997). Furthermore, a notable bureaucracy limited exploration and innovation, unlike the entrepreneurial spirit that flourished in Western Europe during the Renaissance (Acemoglu & Robinson, 2012; Marks, 2006). The restrictive social order and rigid hierarchical structures may account for these civilizations' failure to leverage their resources effectively.

5. Specialization and Development

Yes, specialization significantly contributes to the rapid social and economic development of a region. The division of labor leads to enhanced productivity, innovation, and efficiency (Schumpeter, 1939). In contemporary economies, deliberative practices allow companies and communities to develop specialties and cater to niche markets, driving innovation and growth (Porter, 1990). Diamond (1997) supports this notion, indicating that specialized skills forged synergies within societies that propelled technological advancements and economic growth.

6. Key Factors in the Rise of the West

Of the various factors, the most crucial explanation for the rise of the West could be attributed to a combination of steel production and maritime technology. Steel's transformative impact on weaponry and tools gave Western nations a significant advantage in military confrontations and resource extraction (Diamond, 1997). Concurrently, advancements in maritime technology enabled exploration, trade, and colonization, creating networks for economic expansion that outpaced other regions (Brenner, 2007). Together, these elements fueled a loop of growth and dominance that continued into the modern era.

7. Lessons from Diamond's Book

The overarching lesson from Diamond’s "Guns, Germs, and Steel" centers on the importance of understanding the historical and geographical context behind societal development. It emphasizes that chance, environment, and resources greatly influence societal evolution rather than inherent differences among peoples (Diamond, 1997). This perspective urges the consideration of broader systemic factors when assessing success and dominance in global business.

Overcoming Vulnerability for Business Success

7.1 Lesson from Phillips, Nokia, and Ericsson

The lesson learned from the story surrounding Phillips, Nokia, and Ericsson underscores the importance of adaptability and responsiveness to market changes. Companies entrenched in technological advancements often overlook emerging trends or consumer needs, leading to missed opportunities (Sheffi, 2007). Their stories highlight that foresight, agility, and innovation are critical in a rapidly changing business landscape.

7.2 Financing Customer Purchases

The financing story about purchasing computer equipment emphasizes the role of understanding customer needs and financial capabilities. Providing financing options can enhance customer loyalty and extend market reach by facilitating access to vital technology (Sheffi, 2007). It demonstrates the importance of strategic financial planning and customer relationship management in promoting business growth.

7.3 Flexibility and Redundancy

I concur with Sheffi's assertion regarding flexibility and redundancy as a buffer against disruption. Utilizing redundant systems ensures operational continuity and fosters responsiveness during crises (Sheffi, 2007). In an age where unpredictability is common, businesses that incorporate flexibility in their systems and processes can mitigate impacts and leverage opportunities.

7.4 Lesson from Haynes and Grady

The lesson learned from Haynes and Grady emphasizes the importance of collaboration and understanding interdependencies in business operations. This perspective encourages organizations to create synergies that foster innovation and collective resilience, ultimately allowing for shared success in competitive markets (Sheffi, 2007).

How Collaboration Changes Everything

8.1 Lesson from GoldCorp

The case study of GoldCorp illustrates the transformative power of collaboration and open innovation. By crowdsourcing ideas from a diverse range of experts, GoldCorp transcended traditional barriers to mining efficiencies and identified new opportunities effectively (Tapscott & Williams, 2006). This approach emphasizes that engaging external expertise can yield unexpected solutions and revenue streams.

8.2 The Accuracy of Wikipedia

The lessons from Wikipedia show that collective knowledge creation can yield reliable content despite its open-access nature. This challenges conventional views on expertise and invites businesses to reconsider how knowledge can be assembled and disseminated (Tapscott & Williams, 2006). In contrast, it also stresses the importance of maintaining quality control mechanisms in collaborative environments.

8.3 National Geographic and Swarm Theory

The National Geographic story on swarm theory illustrates how collective human wisdom can unveil complex solutions that might elude individual knowledge. This concept supports the idea that decentralized decision-making can lead to efficient outcomes and innovative strategies, advocating for collaborative practices within organizations (Tapscott & Williams, 2006).

8.4 Airbus and Power8 Program

I agree that Airbus’s failure to manage risk adequately within its Power8 program underscores the need for comprehensive planning that considers all potential risks. Overlooking external factors can lead to diminished results, urging businesses to incorporate holistic viewpoints in their strategic initiatives (Tapscott & Williams, 2006).

8.5 Swarm Theory and Air Liquide

In the case of Air Liquide, swarm theory could have worked due to its intrinsic promotion of diverse thought and collective problem-solving. This environment can enable organizations to react swiftly to challenges while fostering innovation and adaptability (Tapscott & Williams, 2006).

Conclusion

The examination of the various factors contributing to Western dominance, the resilience in business operations, the transformative power of collaboration, and the dynamic elements of specialization are critical in understanding the narrative. From Diamond’s analysis to Sheffi's insights and the lessons learned through collaborative models, it becomes evident that historical context, adaptability, and engagement foster growth and prosperity in the modern business landscape.

References

- Acemoglu, D., & Robinson, J.A. (2012). Why Nations Fail: The Origins of Power, Prosperity, and Poverty. Crown Business.
- Boserup, E. (1981). Population and Technological Change: A Study of Long-Term Trends. University of Chicago Press.
- Brenner, R. (2007). The Economics of Global Turbulence. Verso.
- Diamond, J. (1997). Guns, Germs, and Steel: The Fates of Human Societies. W.W. Norton & Company.
- Marks, R. (2006). The Origins of the Modern World: A Global and Environmental Narrative. Rowman & Littlefield.
- McNeill, J.R., et al. (2006). The Human Web: A Bird's-Eye View of World History. W.W. Norton & Company.
- Porter, M.E. (1990). The Competitive Advantage of Nations. Free Press.
- Schumpeter, J.A. (1939). Business Cycles: A Theoretical, Historical, and Statistical Analysis of the Capitalist Process. McGraw-Hill.
- Sheffi, Y. (2007). The Resilient Enterprise: Overcoming Vulnerability for Competitive Advantage. MIT Press.
- Tapscott, D., & Williams, A.D. (2006). Wikinomics: How Mass Collaboration Changes Everything. Portfolio.