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May 20, 1994


By CBR Staff Writer

The case against using trade as a weapon to force the fearful gerontocracy in Peking to improve its woeful human rights record is a strong one, but there’s no need to kowtow either, so it seems an odd time for IBM Corp to consolidate management of IBM Taiwan and IBM China/Hong Kong into the IBM Greater China Group, a sucking-up that should please the Chinese mightily, appearing to endorse their claim over Taiwan, while playing like Heaven’s Gate in Taipei; the new group will not have a headquarters but will be headed by travelling executives; in contrast, Microsoft Corp has stood out and angered the Chinese by developing software in Taiwan, and perhaps the move is a reward for the Chinese government’s decision to endorse the PowerPC.

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