International Business and Globalization

1366 Words3 Pages
bulb-icon

Recommended: Global economic interdependence

1.0 INTRODUCTION

According to Robert J. Carbaugh (2011), the high degree of economic interdependence among today’s economics reflects the historical evolution of the world’s economic and political order. At the end of World War II, the United States was economically and politically the most powerful nation in the world, a situation expressed in the saying, “When the United States sneezes, the economies of other nations catch a cold.” But with passage of time, the U.S. economy has become increasingly integrated into the economic activities of foreign countries.

Recognizing that world economic interdependence is complex and its effects uneven, the economic community has taken steps toward international cooperation. Conferences devoted to global economic issues have explored the avenues through which cooperation could be fostered between industrial and developing nations. The efforts of developing nations to reap larger gains from international trade and to participate more fully in international institutions have been hastened by the impact of the global recession, industrial inflation, and the burdens of high-priced energy.

In short, economic interdependence has become a complex issue in recent times, often resulting in strong and uneven impacts among nations and among sectors within a given nation. Business, labor, investors, and consumers all feel the repercussions of changing economic conditions and trade policies in the other nations.

2.0 GLOBALIZATION

Globalization is the ongoing process that deepens and broadens the relationships and interdependence among countries. Globalization is the process of greater interdependence among countries and their citizens. It consists of the increased interaction of product and reso...

... middle of paper ...

... http://www.ask.com/question/difference-between-globalism-and-globalization [03 April 2014]

3) Hofstra University (n.d.) What is Marketing? [online] available from < https://www.hofstra.edu/Academics/Colleges/Zarb/MKIB/mkib_about.html> [03 April 2014]

4) Answer Corporation (2014) What is International Business [online] available from < http://wiki.answers.com/Q/What_is_international_business#slide=6> [03 April 2014]

5) Carl Dahlman (2006) Technology, globalization, and international competitiveness: Challenges for developing countries [online] available from < http://www.un.org/esa/sustdev/publications/industrial_development/1_2.pdf> [03 April 2014]

6) Emerald Group Publishing Limited (n.d.) Management Decision [online] available from < http://www.emeraldinsight.com/journals.htm?issn=0025-1747&volume=24&issue=4&articleid=1669945&show=html> [04 April 2014]

Show More
Related

  • Economic Globazation-Source Analysis

    778 Words  | 2 Pages

    Our global world is becoming more connected as we become integrated politically, socially and even economically. Due to the Bretton Woods agreement, different countries have been economically dependent on each other in fear of war to erupt. From then on, different organizations and policies tied more countries into being economic globalized. This economic globalization has then given us many opportunities in trade and more access to natural resources in other countries. Unfortunately, there are some negative effects that are brought to less developed countries.

    Read More

  • Interdependence In China

    1222 Words  | 3 Pages

    Moreover, economic interdependence promotes peaceful trade between countries since it is beneficial and avoids war at all cost. For example, “China’s economy is thoroughly integrated in this complex interdependence global economy,” thus it would be suicidal for China to start war (Wong, The Rise of Great Powers, Nov.18). China free trades with the Association of Southeast Asian Nations (ASEAN) and has developed a profitable relationship that led to trade surplus (Kaplan, pg.3). As a result, starting conflicts with the ASEAN will threaten the Chinese economy because it will drastically impact free trade and will cause a downfall in profits. The possibility of war between China and United States is remote because China would rather benefit from resources such as, security, technology, and market that United States provides (Wong, The Rise of Great Powers, Nov.18). Although economic power shifts to China, United States provides security because it has always been the dominant hegemony; therefore, it has a better and powerful economy (Green, pg.34). It is evident that China’s economy is rapidly increasing, but it still has no interest in being the head hegemony and therefore does not challenge United States. That being said, countries choose to avoid conflicts with United States or their trading partners since it will negatively impact their markets and investments.

    Read More

  • Monetary Policy

    1670 Words  | 4 Pages

    Companies. Retrieved July 4, 2008, from University of Phoenix, MMPBL-501 Web site. University of Phoenix . ( 2008). Economics for Managerial Decision Making

    Read More

  • Service based economy in the U.S.

    354 Words  | 1 Pages

    We say that we are heading toward a more global economy because of the fact that competition in today’s markets is global. This means that corporations in the United States can compete in foreign markets and vice versa, therefore U.S. corporations and foreign corporations become interdependent and thrive off each other. This can have a good impact on the United States because it allows U.S. corporations to seek materials and labor outside of the U.S. in countries such as China, India, and Mexico, where workers are paid a lot less money than U.S. workers, thus allowing them to sell their products for significantly cheaper than if they were produced in the U.S.; however, the tradeoff is that many American workers in the industrial sector lose jobs due to this shift of labor to overseas. In the long run this will be beneficial for the U.S. and although some percentage of workers are losing work, new jobs in the services sector, in fields such as computer technology, telecommunications, and language skills are opening up and experiencing growth because of this change.

    Read More

  • The Impact of Multinational Corporations (MNCs) on Developing Countries

    1004 Words  | 3 Pages

    Gilpin, Robert. Global Political Economy: Understanding the International Economic Order. Princeton: Princeton University Press, 2001. Print.

    Read More

  • The World Is Flat by Thomas Friedman

    916 Words  | 2 Pages

    The book, The World is Flat, by Thomas Friedman draws attention to some very good points concerning globalization and the world economy today. Friedman emphasizes the status of America today in relation to the other countries of the world. As I looked at the things in which he warned about or highlighted, I realized the importance of this issue. He talks about a few aspects in which need to be kept competitive in order for America to retain their current standing in the world market.

    Read More

  • The Advantages and Disadvantages of Free Trade

    1549 Words  | 4 Pages

    Interdependence: The possibility that unhindered commerce trade prompts interconnections that make clash too much over the top.

    Read More

  • The Bleak Future of Globalization

    2422 Words  | 5 Pages

    National economies are more connected today than ever before with nations focusing on their comparative advantages and a global economy has been created but because of this, the world’s economies have become increasingly interdependent and volatile. Oil is the backbone of the global economy, but oil is a quickly depleting resource and eventually government protection of oil resources will lead to the collapse of global trade. Globalization causes negative effects on the world’s economies, with increased interdependence leading to issues like Contagion. Governments are steadily becoming more involved in regulating their economies and protecting their own economies will hurt globalization. Government involvement in the economy makes globalization unsustainable.

    Read More

  • Positive and Negative Impacts of the U.S. Economy on the World

    939 Words  | 2 Pages

    Conclusion: World influences of America show its high degree of responsibility. The USA as the engine for world economy, it is the main reason of changes of world economy. Some countries can lose much if the United States gets to recession. This essay showed all positive and negative influence of economy of the USA on world economy. Positive effects more the best in many respects and in the truth the world economy improves.

    Read More

  • Realist and Liberalist Perspectives of Globalization

    741 Words  | 2 Pages

    …world economic expansion should be least robust in a multipolar world where countries cannot be sure of stable alliances, more robust in a bipolar world because alliances are more predictable, and most robust in a unipolar or imperia...

    Read More

  • The Importance Of Global Interdependence

    1705 Words  | 4 Pages

    The basis of the world is built on interdependence. The actions that go on in one country will have some impact in another country. Throughout the past 20 years, global interdependence has created a sense of great competition between many national economies, yet this sense of competition has also created benefits and new opportunities in every part of the world. This kind of mutuality has led to the many politics, developments, conflicts, and social justices that all nations face today. It shapes and continuously changes the world in many ways. The United Kingdom, Mexico, Russia, China, Iran, and Nigeria all are interdependent of each other. This interdependence is how I see the world develop and grow into the communities that are present today.

    Read More

  • Globalization Essay

    1112 Words  | 3 Pages

    The structure of global economy is an evidently dependent structure, depending on several aspects of the government to power its economy and keep it running reliably. The cycle goes on between the government, firms, product markets, resource markets and finally households. Looking at the government, they provide public goods and services to the firms and households and welcome taxes from both aspects. Differently, they make payments to the resource markets, receiving resources in return, and provide prices for the product markets receiving good and services in return. Moving to the firms, they offer wages, interests, rents and profits to resource markets benefiting of their resources production in return and goods and services to product...

    Read More

  • The Issues of Globalization on National Cultures of Indonesia

    1267 Words  | 3 Pages

    The issues of globalization increasingly dominate the universe’s life. The concept of globalization according to Robertson (1992) refers to the narrowing of the world as incentives and increased our awareness of the world, namely the increasing global connections and our understanding of the connection. Globalization is a situation in which no boundaries between the people of the world and links communities in a country with people in another countries. Globalization departs from an idea to unite the nations which is expected to be a mutual agreement and guidelines for nations around the world. Globalization is able to waive the space and time constraints to get the interaction and communication between nations can be done quickly. With the support of information and communication technology, globalization penetrated all sectors of life and make significant influence on world community. In the past, people only connect with the local culture. However, now hundreds of cultures around the world can be accessed.

    Read More

  • Globalization Essay

    2027 Words  | 5 Pages

    Globalization is the connection of different parts of the world. Globalization results in the expansion of international, cultural, economic, and political activities. As people, ideas, knowledge, and goods move easily around the globe, the experiences of people around the world become more similar. (“Definition of Globalization“, n.d., ¶ 1)

    Read More

  • Argumentative Essay On Globalization

    891 Words  | 2 Pages

    Globalization’s history is extremely diversified and began during the beginning of civilization. Now we live in a world that is constantly evolving, demanding people to use resources in locations that are very difficult to obtain certain resources. This could make it completely impossible to operate in these specific parts of the world. However, globalization allows people across the world to acquire much needed resources. Globalization creates the opportunity for businesses to take advantage and exploit the ability to take part of their business to a different country. Nevertheless, globalization is part of today’s society and will be involved in virtually all situations.

    Read More

More about International Business and Globalization

Open Document