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''The Lexus and the Olive Tree: Understanding Globalization'' is a 1999 book by
Thomas L. Friedman Thomas Loren Friedman (; born July 20, 1953) is an American political commentator and author. He is a three-time Pulitzer Prize winner who is a weekly columnist for ''The New York Times''. He has written extensively on foreign affairs, global tra ...
that posits that the world is currently undergoing two struggles: the drive for prosperity and development, symbolized by the
Lexus LS The is a full-size luxury sedan (F-segment in Europe) serving as the flagship model of Lexus, the luxury division of Toyota. For the first four generations, all LS models featured V8 engines and were predominantly rear-wheel-drive. In the fourt ...
, and the desire to retain identity and traditions, symbolized by the
olive tree The olive, botanical name ''Olea europaea'', meaning 'European olive' in Latin, is a species of small tree or shrub in the family Oleaceae, found traditionally in the Mediterranean Basin. When in shrub form, it is known as ''Olea europaea'' 'M ...
.


Narrative

Friedman explains "
globalization Globalization, or globalisation (Commonwealth English; see spelling differences), is the process of interaction and integration among people, companies, and governments worldwide. The term ''globalization'' first appeared in the early 20t ...
" by recounting stories of his actual experiences in interfacing with many of the global movers and shakers. He proposes that "globalization is not simply a trend or fad but is, rather, an international system. It is the system that has replaced the old Cold War system, and, like that Cold War System, globalization has its own rules and logic that today directly or indirectly influence the politics, environment, geopolitics and economics of virtually every country in the world." The "Big Idea" in ''The Lexus and the Olive Tree'' is found on page 223 where Friedman explains that: "if you can't see the world, and you can't see the interactions that are shaping the world, you surely cannot strategize about the world." He states that "you need a strategy for how to choose prosperity for your country or company."


Golden Arches theory

The book puts forward a
capitalist peace The capitalist peace, or capitalist peace theory, or commercial peace, posits that market openness contributes to more peaceful behavior among states, and that developed market-oriented economies are less likely to engage in conflict with one anot ...
theory, first published as an opinion piece in ''
The New York Times ''The New York Times'' (''the Times'', ''NYT'', or the Gray Lady) is a daily newspaper based in New York City with a worldwide readership reported in 2020 to comprise a declining 840,000 paid print subscribers, and a growing 6 million paid ...
'' in December 1996, called the Golden Arches Theory of Conflict Prevention; although slightly
tongue-in-cheek The idiom tongue-in-cheek refers to a humorous or sarcastic statement expressed in a serious manner. History The phrase originally expressed contempt, but by 1842 had acquired its modern meaning. Early users of the phrase include Sir Walter Scott ...
, it states:
No two countries that both have a McDonald's have ever fought a war against each other.
He supported that observation, as a theory, by stating that when a country has reached an
economic development In the economics study of the public sector, economic and social development is the process by which the economic well-being and quality of life of a nation, region, local community, or an individual are improved according to targeted goals and o ...
where it has a
middle class The middle class refers to a class of people in the middle of a social hierarchy, often defined by occupation, income, education, or social status. The term has historically been associated with modernity, capitalism and political debate. Commo ...
strong enough to support a McDonald's network, it would become a "McDonald's country", and will not be interested in fighting wars anymore. Friedman's point is that due to
globalization Globalization, or globalisation (Commonwealth English; see spelling differences), is the process of interaction and integration among people, companies, and governments worldwide. The term ''globalization'' first appeared in the early 20t ...
, countries that have made strong economic ties with one another have too much to lose to ever go to war with one another. Regardless of whether the statement is true, the conclusions to be drawn are unclear. The global expansion of McDonald's restaurants is a relatively recent phenomenon when put into the context of the
history of warfare Military history is the study of War, armed conflict in the Human history, history of humanity, and its impact on the societies, cultures and economies thereof, as well as the resulting changes to Politics, local and international relationships. ...
, and, with a few notable exceptions, has proceeded into relatively stable markets. Shortly after the book was published, NATO bombed Yugoslavia. On the first day of the bombing, McDonald's restaurants in
Belgrade Belgrade ( , ;, ; Names of European cities in different languages: B, names in other languages) is the Capital city, capital and List of cities in Serbia, largest city in Serbia. It is located at the confluence of the Sava and Danube rivers a ...
were demolished by the Serbian people and were rebuilt only after the bombing ended. In the 2000 edition of the book, Friedman argued that this exception proved the rule: the war ended quickly, he argued, partly because the Serbian population did not want to lose their place in a global system "symbolized by McDonald's". Critics have pointed to other conflicts as counterexamples, depending on what one considers "a war": * The 1989
United States invasion of Panama The United States invasion of Panama, codenamed Operation Just Cause, lasted over a month between mid-December 1989 and late January 1990. It occurred during the administration of President George H. W. Bush and ten years after the Torrijos– ...
* In 1999, India and Pakistan fought a war over
Kashmir Kashmir () is the northernmost geographical region of the Indian subcontinent. Until the mid-19th century, the term "Kashmir" denoted only the Kashmir Valley between the Great Himalayas and the Pir Panjal Range. Today, the term encompas ...
, known as the
Kargil War The Kargil War, also known as the Kargil conflict, was fought between India and Pakistan from May to July 1999 in the Kargil district of Jammu and Kashmir and elsewhere along the Line of Control (LoC). In India, the conflict is also referr ...
. Both countries had (and continue to have) McDonald's restaurants. Although the war was not fought in all possible theatres (such as the Rajasthan and Punjab borders), both countries mobilised their military all along their common borders and both countries made threats involving their nuclear capabilities. * The 2006 war between
Israel Israel (; he, יִשְׂרָאֵל, ; ar, إِسْرَائِيل, ), officially the State of Israel ( he, מְדִינַת יִשְׂרָאֵל, label=none, translit=Medīnat Yīsrāʾēl; ), is a country in Western Asia. It is situated ...
and
Lebanon Lebanon ( , ar, لُبْنَان, translit=lubnān, ), officially the Republic of Lebanon () or the Lebanese Republic, is a country in Western Asia. It is located between Syria to the north and east and Israel to the south, while Cyprus li ...
, following hostilities ongoing since 1973, with
South Lebanon Southern Lebanon () is the area of Lebanon comprising the South Governorate and the Nabatiye Governorate. The two entities were divided from the same province in the early 1990s. The Rashaya and Western Beqaa Districts, the southernmost distric ...
occupied until May 2000. (McDonald's franchises were established in Israel and Lebanon in 1993 and 1998, respectively.) However, the
Lebanese Armed Forces ) , founded = 1 August 1945 , current_form = 1991 , disbanded = , branches = Lebanese Ground ForcesLebanese Air Force Lebanese Navy , headquarters = Yarze, Lebanon , flying_hours = , websit ...
were not a party to the fighting, the Israel Defense Forces action being taken instead against the paramilitary group
Hezbollah Hezbollah (; ar, حزب الله ', , also transliterated Hizbullah or Hizballah, among others) is a Lebanese Shia Islamist political party and militant group, led by its Secretary-General Hassan Nasrallah since 1992. Hezbollah's parami ...
. * The 2008
Russo-Georgian War The 2008 Russo-Georgian WarThe war is known by a variety of other names, including Five-Day War, August War and Russian invasion of Georgia. was a war between Georgia, on one side, and Russia and the Russian-backed self-proclaimed republics of Sou ...
. Both countries had McDonald's at the time (restaurants began in the two countries in 1990 and 1999, respectively). * The
2014 Crimean Crisis In February and March 2014, Russia invaded and subsequently annexed the Crimean Peninsula from Ukraine. This event took place in the aftermath of the Revolution of Dignity and is part of the wider Russo-Ukrainian War. The Revolution of Dign ...
and
War in Donbass War is an intense armed conflict between states, governments, societies, or paramilitary groups such as mercenaries, insurgents, and militias. It is generally characterized by extreme violence, destruction, and mortality, using regular ...
between Russia and
Ukraine Ukraine ( uk, Україна, Ukraïna, ) is a country in Eastern Europe. It is the second-largest European country after Russia, which it borders to the east and northeast. Ukraine covers approximately . Prior to the ongoing Russian inv ...
. Both countries had McDonald's at the time. McDonald's closed its restaurants in the Crimean peninsula following the annexation. * In 2022, Russia launched an invasion of Ukraine, bombing several major cities, including its capital city, Kyiv. At the time, Russia had 847 McDonald's outlets while Ukraine had 108. McDonalds suspended operations in Russia on March 8, 2022. The war later prompted McDonald's to announce, on May 16, 2022, that it would permanently leave Russia. In the 2000 edition of the book, Friedman countered criticism of his theory as follows: :I was both amazed and amused by how much the Golden Arches Theory had gotten around and how intensely certain people wanted to prove it wrong. They were mostly realists and out-of-work Cold Warriors who insisted that politics, and the never-ending struggle between nation-states, were the immutable defining feature of international affairs, and they were professionally and psychologically threatened by the idea that globalization and economic integration might actually influence geopolitics in some very new and fundamental ways. He also explains how globalization can cause "Brazilification" — the loss of the middle class and increase in
income gap There are wide varieties of economic inequality, most notably income inequality measured using the distribution of income (the amount of money people are paid) and wealth inequality measured using the distribution of wealth (the amount of we ...
—of countries impacted by the trend. Brazilification is a
neologism A neologism Greek νέο- ''néo''(="new") and λόγος /''lógos'' meaning "speech, utterance"] is a relatively recent or isolated term, word, or phrase that may be in the process of entering common use, but that has not been fully accepted int ...
included in
Douglas Coupland Douglas Coupland (born 30 December 1961) is a Canadian novelist, designer, and visual artist. His first novel, the 1991 international bestseller '' Generation X: Tales for an Accelerated Culture'', popularized the terms ''Generation X'' and ''McJ ...
's 1991 book '' Generation X: Tales for an Accelerated Culture''. The expression was used in a similar way by the American writer
Michael Lind Michael Lind (born April 23, 1962) is an American writer and academic. He has explained and defended the tradition of American democratic nationalism in a number of books, beginning with '' The Next American Nation'' (1995). He is currently a pro ...
as "Brazilianisation of America" in his book '' The Next American Nation'' and by the German sociologist
Ulrich Beck Ulrich Beck (15 May 1944 – 1 January 2015) was a German sociologist, and one of the most cited social scientists in the world during his lifetime. His work focused on questions of uncontrollability, ignorance and uncertainty in the modern a ...
as "Brasilianisierung des Westens" in his book ''Schöne neue Arbeitswelt'' (). In 2005, Friedman said that he framed this theory in terms of McDonald's
Golden Arches The Golden Arches are the symbol of McDonald's, the global fast food restaurant chain. Originally, real arches were part of the restaurant design. They were incorporated into the chain's logo in 1962, which resembled a stylized restaurant, and i ...
"with tongue slightly in cheek".Friedman, Thomas. (2005)
The Guardian ''The Guardian'' is a British daily newspaper. It was founded in 1821 as ''The Manchester Guardian'', and changed its name in 1959. Along with its sister papers ''The Observer'' and ''The Guardian Weekly'', ''The Guardian'' is part of the Gu ...
, 21 April 2005.
In his 2005 book ''
The World Is Flat ''The World Is Flat: A Brief History of the Twenty-first Century'' is a book by Thomas L. Friedman that analyzes globalization, primarily in the early 21st century. The title is a metaphor for viewing the world as a level playing field in te ...
'' he offered an updated theory he labelled the Dell Theory of Conflict Prevention.


See also

*
Islam and modernity Islam and modernity is a topic of discussion in contemporary sociology of religion. The history of Islam chronicles different interpretations and approaches. Modernity is a complex and multidimensional phenomenon rather than a unified and cohe ...
* List of countries with McDonald's franchises *
Technocapitalism Technocapitalism or tech-capitalism refers to changes in capitalism associated with the emergence of new technology sectors, the power of corporations, and new forms of organization. Corporate power and organization Luis Suarez-Villa, in his 200 ...
Books: *''
Jihad vs. McWorld ''Jihad vs. McWorld: How Globalism and Tribalism Are Reshaping the World'' is a 1995 book by American political scientist Benjamin Barber, in which he puts forth a theory that describes the struggle between "McWorld" (globalization and the corpor ...
'' *''
The End of History and the Last Man ''The End of History and the Last Man'' is a 1992 book of political philosophy by American political scientist Francis Fukuyama which argues that with the ascendancy of Western liberal democracy—which occurred after the Cold War (1945–1991) ...
'' *''
The World Is Flat ''The World Is Flat: A Brief History of the Twenty-first Century'' is a book by Thomas L. Friedman that analyzes globalization, primarily in the early 21st century. The title is a metaphor for viewing the world as a level playing field in te ...
''


References


External links


Official page on author's site


by Holman W. Jenkins, Jr.
Review in Washington Monthly
by
Paul Krugman Paul Robin Krugman ( ; born February 28, 1953) is an American economist, who is Distinguished Professor of Economics at the Graduate Center of the City University of New York, and a columnist for ''The New York Times''. In 2008, Krugman was th ...

Summary on BizSum


{{DEFAULTSORT:Lexus and the Olive Tree, The 1999 non-fiction books Political books Sociology books Books about globalization Books about foreign relations of the United States