Leading Through Change
Part One: Globalization Today
With Martin Wolf, Chief Economics Commentator, Financial Times, and Simon Freakley, Chief
Executive Officer, AlixPartners
Why are some nations veering away from globalization?
00:18 | Martin Wolf
The developing and emerging countries remain pretty keen on globalization. They see it as
having been very beneficial to them. So, the doubts really have come in the developed world
and that reflects the crisis, which has a shattering effect, and long periods of rising inequality.
For business it obviously creates the big challenge because they have become globally
integrated, the supply chains now work across borders - it would mean an immense upheaval
if they gave this up. So, what do they have to do? Well, they have to get into the political
debate by proving that it is possible to have globalization, without destroying the living
standards of very substantial parts of the population.
01:00 | Simon Freakley
So for our clients, it's really important that we can move talent around the world, that we can
move goods around the world. Business leaders have to think about how they make sure they
have continuity of supply, but also that the cost of the supply chain doesn't completely get out
of control.
Are corporate and national interests now in opposition?
01:16 | Martin Wolf
In trade, actually it's really the U.S. that's gone protectionist, it's not become a big issue in
Europe, but there is an almost universal hostility to immigration and that's where some big
changes in policy are going to be required.
01:31 | Simon Freakley
Now if we have Amazon, Google, Microsoft, businesses which may be on the U.S. stock
exchanges but are really global companies, they act a bit like sovereign nations too. Their
need to make sure they can move their people, they can move their goods around the world in
a way that isn't impaired by some form of advanced tariff treaties or what have you, is
critically important.
How should business leaders move forward?
01:58 | Simon Freakley
Fundamentally, in my view, the job of a business leader is to lead. They have to set a tone for
their company, set a tone in their industry. But collectively as a group of leaders,