Presented by: Ganesh Haresh

Ohmae started his writing questioning on nation state To define these question he defined 4Is Ohmae tried to explain the disappearing role of nation state The region state itself which no longer recognize traditional political border emerges based on economic interest

Ohame criticizes Huntingtons interpretation about civilization that grouping based on culture By contrast, Ohame presents the peaceful singapore (Lee kwan Yew) and Malaysia( Dr. Mahatir) which both have muliple races and culture

Ohame also believed that economic statistic of one country no longer represent its real economy For instance trade problem between US and Japan is neither ones trade deficit nor another ones surplus Another example: When a US sportswear company retails in Hokkaido garments sewn in Indonesia or Taiwan the sales do not matter to those who count bilateral trade flow

What had been concluded that the economic activity follows neither political boundary lines of traditional nation state nor cultural boundary lines In fact ohmae again emphasize the importance of economic border

Concerning the development in information technology ohmae explains three broad effect

1st
2nd 3rd

In the past economic map drew up based on location of natural resources navigable rivers, deep water ports, railroads, and such other infrastructures including national border Now it is based on such as footprints cast by satellite TV, the area covered by radio signal and so on

Ohame describe that in the borderless economy and increase in demand in one country may boost supply and withit a number of jobs in another
It is affirmed that nation state has no longer role or begin to lose its role in economic activity

Some countries still fight for national interest which corresponds to protect its scarce natural resources with perhaps military force if necessary might suffer from what Ohmae called as resource illusion
Ohmae admitted that nation state are still there exist and playing certain role on the world stage

What emerges then is what being recognized as region state where border is no longer blockage Regions state is absolutely not a political unit Ohame confirm that region states are not and need not be the enemies of central government. In fact it will be their best friend as the ports of entry to global economy

In the past , MNCs were willing to accept the burden of an additional hierarchical level To balance his thesis, Ohmae pointed out the success story of nation states role in which is Malaysia with its Look East policy by Mahathirs administration

At the end Ohame noted that rather than being a primer mover of economic affairs, a healthy and vital role of nation state is to be an effective catalyst for the activity of the region

Thank you