ABSTRACT
This chapter discusses the reasons for the Silicon Valley to reposition itself for the future, reviews expert advice for its renewal, and, finally, provides a managerial framework for it to create and sustain new comparative advantages. As Silicon Valley forges ahead towards the twenty-first century, it must redesign itself in conformance with the new economic and technology realities. Many experts have offered suggestions on reinventing American and Silicon Valley businesses. Changing managerial frames of reference entails discarding old management concepts about competition, markets, and economics. Managerial frame of reference is defined as "the assumptions, premises, and accepted wisdom that bound or 'frame' a company's understanding of itself and its industry." Silicon Valley firms need to successfully apply megamarketing concepts and therefore gain market access in order to satisfy, create or alter consumer demand.
