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As markets globalize, and as Japan opens its own market to more competition from overseas, more Japanese companies are likely to break from traditional organization patterns.

A) True
B) False

1 Answer

2 votes

Final answer:

It is true that more Japanese companies are likely to break from traditional organization patterns due to globalization and increased overseas competition. This has been demonstrated in various industries, including automotive, where global competition has intensified, leading to a diversification in market strategies such as outsourcing and offshoring.

Step-by-step explanation:

As markets globalize, and as Japan opens its own market to more competition from overseas, more Japanese companies are likely to break from traditional organization patterns. The correct answer to the student's question is A) True. The forces of globalization and new communications and information technology have indeed increased the level of competition that many firms face by increasing the amount of competition from other regions and countries. This is particularly evident in the automotive industry where traditionally dominant companies in the U.S. market like General Motors, Ford, and Chrysler, saw their market share decline in the face of competition from global players such as Toyota and Honda. Furthermore, the economic rise of Asian countries like Japan, fueled by both post-WWII aid and strategic economic policies, illustrates the shift in economic power and the changes in market organization. Outsourcing and offshoring have also become major strategies utilized by companies looking to remain competitive in the global market.

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