5
Aggregation
Overcoming Differences
We intend to continue moving forward with globalization . . . by further enhancing the localization and independence of our operations in each region.
—Fujio Cho, Toyota, 2003
CHAPTER 4 DEALT WITH the first of our AAA strategies for dealing with distances and crossing borders successfully: adaptation to adjust to differences. This chapter deals with the second of the three As, aggregation to overcome differences. Aggregation is all about using various grouping devices to create greater economies of scale than country-by-country adaptation can provide.
Aggregation means inventing and implementing cross-border mechanisms that operate at levels somewhere between an individual country ...