Friedman argues that the flat world is when technology and collaborative economies come together to offer opportunities to lots more people. It will raise competition and require not only an emphasis on new skills sets, but a much more self-reliant, creative and innovative mindset. With careful choice of anecdotes, use of logos, and irony, Friedman’s proposal that the world is flat, in reference to technology, is legitimate.
There are many anecdotes that the author uses to prove his thesis, and to establish how the author originally developed his thesis. “Jaithirth “Jerry” Rao was one of the first people I met in Bangalore… He was too polite to say it – that he may already be my accountant, or rather my accountant’s accountant, thanks to the explosion in the outsourcing of tax preparation.” (Friedman, 12). This anecdote gives the readers an example of outsourcing, which is one of the leading factors as to why the author believes the world is flattening. Outsourcing is when a company subcontracts a service such as manufacturing to a third party, usually to reduce production costs and to make an efficient use of available labour. The third party companies are usually located in a part of the world where labour is cheap but quality is not compromised with. The author is trying to emphasize that it is easy to outsource manufacturing but to outsource services such as tax returns, done by accountants across the world, is truly an example of an even world. With technology, the initial accountant can scan their customers previous years’ tax returns, and all the other documents needed to file a tax return to an account in India and the third party accountant can do the returns and send it back to the initial accountant in no time. Friedman uses this story to show that individuals in India, now have a chance to excel in what they have a passion for, and make themselves available in the global market, flattening the playing field.
Friedman repeatedly tries to prove that India needs America, just as much as America needs India, creating an even, level economic relationship. It is easy to understand why America needs India: lower costs of labour, but it is hard to imagine why India would need America… well except for Britney Spears and pop culture. Friedman tries to prove his point by comprehensive use of logos.
In addition, 90 percent of shares in 24/7[a call centre in India] are owned by U.S. investors. This explains why, although the united states has lost some service jobs to India in the recent years, total exports from American-based companies – merchandise and service – to India have grown from 2.5$ billion in 1990 to $5 billion in 2003. (Friedman,29)
The increase in revenue for American companies, prove Friedman’s point in a way that qualitative words could not. A call centre is a major, major way of outsourcing. These jobs are low-prestige in America but in India they are seen as one of the more respected position. If an average Joe wanted to work in a call centre in America, he would be disappointed because all the call marketing jobs are shifted to countries with lower labour costs. However, Joe could work at Pepsi Co. because the employees at the call centre in India may be drinking Pepsi Co. products and using other American-based products as proven by the increase in revenue for American0based companies. So even though we will not have American workers practising the Indian accent for some time, the playing field is that much more even because companies need each other more than ever before.
When the opposite of what is expected happens, it always tends to amuse the readers and forces the readers to think about the inference. Friedman tries to persuade his readers that the world is horizontal by the use of irony. “Chinese doing computer drawings for Japanese homes, nearly seventy years after a rapacious Japanese army occupied China, razing many homes in the process.” (Friedman, 33) This emphasizes how ironic it is that the two companies are working together, after a long-lasting hatred for each other. This just goes to show that technology does not differentiate but bring countries together making the world a big technological playing field regardless of the past.
Even though, the world is obviously not flat – Friedman comes on strong to make us believe otherwise, figuratively. The world of technology does not discriminate against countries, cultures, and/or income but welcomes it. Friedman believes that the world is flat because now, it is a lot more convenient for people to get ahead in the global competition using technology such as internet and fibre optics. Friedman persuades us through the use of rhetorical devices such as logos, irony and anecdotes. Friedman acknowledges that there are parts of the world which are not technologically advanced. However, just as the western world was not advanced some hundred years ago, these places will also come forward and be a part of a massive shift in economies, politics and international relationships. Even though there will not be a world-wide singing of Kumbayah, the future looks very bright for the flat world.
It was the noted American economist, Thomas Friedman, who first mooted ‘the world is flat’ theory in his book of the same name. According to him, it is the Internet that has made this possible.
Suddenly, a person sitting in the US could connect to someone in India or anywhere else in the world where computers and Internet connections were available. This opened up exciting possibilities for global commerce. In short, it flattened the world and made it a level field for competition where the best services could be availed of at the best rates.
This in turn led to the ‘outsourcing’ phenomenon. In India, it started with European airline companies outsourcing their back office operations to India. Soon, many American and European companies began outsourcing to India to take advantage of the low cost of labor and the vast pool of English-speaking, literate and skilled personnel in various sectors.
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In the 70s, Concorde aircraft were produced as a joint venture between France and the UK. But today, the world’s largest airlines, the Airbus- 380, sources parts even from India. Thus, it is not just services but also manufacturing that has come under the outsourcing or off-shoring umbrella.
The flattening of the world has brought equal opportunities for developing countries to garner a share of the global economic pie. The growth of BPOs and KPOs in India has transformed the economic profile of all sections of the country from Tier I cities to Tier II and Tier III towns. Growing affluence and improving lifestyles have changed the face of India from a struggling third world country to a global powerhouse.
This is the power of a flat world. Almost any activity can be outsourced to a country where the same thing can be done at half the cost without any compromise on quality. This is possible because of cheaper labor, lower taxes, subsidized energy, etc. This has helped the companies which outsource their work to make massive profits.
At the same time, countries which take up outsourced work also benefit in the form of generating more jobs which help reduce poverty. Medical transcription, legal transcription, advertising, fashion designing, financial operations, etc., are only some among the vast spectrum of activities that are being outsourced today.
Supply-chaining enables ‘horizontal collaboration’ among suppliers, retailers and customers for better global collaboration. Work-flow software empowers people to design, display, manage and collaborate on business data which had been handled manually before. This helped more work to flow faster between companies and continents.
The spread of Internet, email, mobile telephony, etc has compressed distances and the time taken for communication. All these are the tools which man has used to create a flat world.