Within the next couple of years the company will erect a building just south of Tokyo, and begin working on a new type of phone technology. The logic is that they will be able to interact better with the Japanese consumers to better fit their needs. Another element of criteria that Ericsson fulfills is that they transfer management well between production and marketing. Staying ahead ten years, gives more than enough leeway. There is not a pressure between marketing and production.
Marketing can always go to something new, and production can always deliver it.
The rules and criteria seem easy to understand and run, however many companies cannot effectively run a decentralized chain of command. One reason that companies tend to fail is that they waste time trying to maintain interdependence. They may fight over resources, or positions, possibly even over sales. Managers get caught up in doing similar if not the same research thus taking time away from actual management time. An example would be a company in California that produces some item and another branch of the same company just miles away.