This means that organizational rationalization, in and of itself, may not guarantee significant breakthroughs in international competitiveness. A new era of organizational transformation is sweeping over the universe of electronics multinationals. The Internet is being used to streamline communications and transactions between corporations and their major stakeholders and business partners customers, suppliers, distributors, investors, employees, and regulators. It is widely believed that the degree of success in implementing Internet-based business models will have a great deal of influence over which companies will be tomorrow s market leaders. While this thesis has yet to be proven, it has become conventional wisdom.
Japanese companies are aware of the transformational potential and importance of the Internet.
In order to ensure that their relative international competitiveness continues to improve, the Japanese majors are beginning to build increased use of the Internet into their programs for organizational streamlining and rationalization. This has led to a growing number of high-profile joint ventures to operate strategic businesses.