1. Intel revenues then and now (note: Revenue has grown from about $ 2b a year to almost $ 36b) Intel 2004 Annual Report 1423 45 27 879 23 51 27 23

2. What is globalization?  globalization of production  globalization of markets +  mobility of investment  mobility of labor / skills  dispersion of popular culture

3. Drivers of globalization  Competition (often fierce)  ‘Management innovation’, value chain analysis, etc.  Regional Integration WTO / Predecessor GATT, NAFTA, EU, R.E.I.  Technological change  transport  telecomm / communication  microprocessors

4. ‘ …A vertically integrated model of industrial production… Ford’s Steel Mill Ford’s Glass Works Ford’s Rubber & Tires Plant Ford’s Battery Plant Rouge Plant Detroit Inputs Outputs Fordism’

5. Value chain steps in contributing value added – ‘build / buy question’ Customers Components Financing After sales Support Sales / marketing Design