A "Rebordered World" Rises, Threatening Global Companies

Markets are becoming disconnected puzzle pieces

For decades, businesses have operated in a borderless world. Whether it was physical, economic, ideological, or cultural, beyond compliance, borders did not matter much. This was especially so for American firms or technology companies.

For example, it took TikTok, the Chinese app, just five years to reach 1 billion users. A year later, the app reached 1.7 billion users. Separately, Starbucks is opening up a new store in China every 24 hours. Even as the US and China clash, the Chinese want the American lifestyle.

But now, as geopolitics heats up, borders are returning across the spectrum.

The world is becoming “rebordered.”¹

And the main group that is being squeezed or cut down is global companies.