Why Is Globalization Important In International Trade

In this chapter, talks about Globalization and Trade. Wheelan starts by using the example of a magical machine that turns corn into stereo equipment. “Imagine a machine that can convert corn into a stereo equipment”. He says that no matter where in the world you look, trade is a machine that can turn anything into anything else. In trading we are practically taking what we produce and turning it into what we can’t or do not produce. The best part of the trade machine is that it allows countries to specialize in producing just one good and then taking that one good and turning it into another good. Since in the trade machine you just need one thing to get whatever you want, you basically take whatever you are better at and focus only on producing that in order to trade it with different people that can offer you what you lack. This is the heart of trade, specialization.

The economy is based of both producers and consumers, but the customers are the ones that ensure the success of each company. More than half of the world’s population lives in a portion of Southeast Asia (Schuman). The population of Southern Asia is affecting the economy of other countries around the world because so many consumers are located in one condensed area. The Countries of China, India, and Japan consume many American goods that help both countries’ economy grow from recovery of the stock market crash. However, the Asian countries seem to be benefiting more from this globalization of the economy than America.

The issue of globalization for the people of the United States has been a long and terrifying problem for them. Although other countries many have had issues with this problem it appears the U.S. is still being affected by it to this day. Although not everyone in the United States may have been affected by the issue. Majority of the people (mid class and lower class) have somehow been affected by it or knows someone that has been affect because of it. This issue of globalization has been talked about by politicians so it appears it had to been a major impact to the country. Thus, this issue of globalization has been an issue for the United States for a long-time way before the twentieth centuries. Therefore, this paper will discuss what is globalization and how it has impacted Americans views and how some people’s views changed because of it and finally, what is the impact of communications technology. All these key topics will help with getting a better understanding of what these issue is and how it has affected society today.

Globalization has influenced the way our world works today. This is the process of international business. Many of the items we are using at this very moment are imports, products produced in another country. Many businesses today rely on exports, products produced in their home country and shipped to other nations. Every country relies on imports and exports. Wether a firm is expanding to another nation or uses imported goods, international business is always involved and will affect the business model. Factors that will affect and alter the international marketplace such as, trade agreements and alliances, exchange rates, and foreign competition.

Globalization is interpreted in a variety of different ways. One way is that it introduces opportunities which further develops regions to progress and prosper in the global economy. In many cases globalization means the shift toward a more integrated and interdependent world economy. The world is moving away from self-contained national economies and toward an interdependent, integrated global economy. There is an insurmountable amount of ways to impact globalization but some include trade, people movement, communication and technology. In all cases, globalization increases the connectivity between cultures and nations, which helps accelerate advancements in society. Also, in a business tense, globalization leads to the creation of global customers as well as connecting the global market together. Many people ask the question, “is it possible to have a compatibility of profits with people and planet?” To answer this question, yes it is possible, but in order to do so companies need a goal of sustainability. Three factors lead to sustainability. People, planet and profit. All of these rely on fair business practices and beneficial environment practices. In order for a company reach sustainability, they will need to restructure the framework to a more sufficient one. This will allow people, planet, and profit to co-exist with one another and allow the company to prosper. This is a major thought for multinational companies to consider when they set up international operations.

Trade between nations has existed for centuries; the main difference is that today it occurs at a greater speed, higher volume, more complexity and geographic reach as a result of the consequent intensification of globalisation and the development of transport and communications (Taylor, 2002). The increase in international trade has brought many benefits such as economic growth, increasing consumption capacity and the reduction of poverty, all as a result of globalisation. However, globalisation does not benefit all countries in the same way. Developing countries do not always have well prepared industries for international competition, which can cause more instability. In addition, some jobs are lost and child labour is often used by countries to reduce production costs. Nevertheless, this essay will attempt to demonstrate that the increasing globalisation of world trade has a positive impact on countries, encouraging the growth and poverty reduction through international trade. Furthermore, it will be shown that even with the loss of some jobs arising from international competition; in general, globalisation through trade creates more demand for employment, generating income growth in the long term, allowing access to more products and raising the standards of living. Thus, the impacts of globalisation are mainly positives.

The global economy needs free trade. Countries need free trade. Trade with other countries occurs at some level in every country globally. There may be some indigenous tribes within some countries that can lay the claim that they are self-sufficient, however, there is not a single country that can say the same. Proponents of an open trading system contend that international trade results in higher levels of consumption and investment, lower prices of commodities, and a wider range of product choices for consumers (Carbaugh, 2009, p26). Free trade is necessary. How do countries decide what to import and what to export?

The huge impact of globalization has caused some challenges in the world of international business. The major problem is the cultural differences among nations. Hofstede believed there is one common thing in all nations and it is called management. This term has different meanings in different countries. Globalization has afforded many opportunities for different countries to work together but it has also revealed some problems relating to the effectiveness of the managing of partnerships among different cultures.

Globalization has been imperative for sustenance of the companies and countries across the spectrum. Growth of free trade has caused changes not only in one aspect. It has brought changes in all the endeavors of people across society. It has been said that globalization is the process of international integration that arises from interchange of world views or products or others aspects of culture (Alon, Jaffe, and Vianelli, 2013). It cannot be delineated to any one aspect. It has caused a number of positive growths across the countries and has caused improvement in the quality of life of the people. However this aspect of globalization is not perfect. There are some inherent gaps and vulnerability to this aspect of

Organisations that operate globally ‘’rely on multicultural teams to perform word-related activities’’. With the international trade growing and globalisation increasing rapidly, one of the main challenges that organisation encounters is how to increase and manage workforce diversity. Majority of the organisations depend on teams that have different attributes to each other. Businesses utilize the deeper knowledge of multicultural teams, and their variety of skills that will take the organisation forward. However, Individuals bring their culture differences to the team which sometimes causes conflict or it divides the team. “Differences of values may become points of discord, and violence may erupt, as people defend their way

The international trade of goods across the world accounts for approximately 60% of the world Gross Domestic Product (The World Bank, 2014). A great proportion of goods transactions occur every second. The primary question is whether international trade benefits a country as an entirety, and, if so, why would a country implement protective trade policies to restrict particular exports? To address this question, this essay aims to explore the impact of trade on various economic stakeholders, including consumers, producers, labour and government and, furthermore, will compare models and theories with reality to ascertain the true winner/ loser in the international trade market.

Globalization is the leading idea that has become the leading factor in business during the previous decades. This trend is affecting the economy, business life, society and the environment in a multitude of ways and nearly all businesses have been affected by these various changes. Some of these changes are related in part to the increasing competition and the rapidly changing technologies for information transfer. Challenging these changes will take some work on the part of companies; they need to keep in mind the key effects of globalization. If companies want to stay productive and relevant that is.

Even though all businesses have the ability to earn profit, but those able to compete in a global market may earn better profits than those only focus in one country. I think that is why so many students choose to study international business. Because it many people are earning a lot money from it. International business mainly deals with business, trade and commerce on a global market. Because laws and cultures different from country to country, businesses have to prepare to deal with whatever issues may come up. With Internet communication, communicate between company are faster which cause global business competition became fiercer.

Using 1997 financial crisis and other examples, discuss how globalization is important to the modern business journalism. Introduction

Dear old friend, it has come to my attention that we have a great epidemic on our hands! Globalization is the next step in the evolution of information, and let me be clear: it is a great step forward in connecting the world, but it will have its detriments to society as well. I believe the digital age has provided the world with unparalleled access to data and history, as well as the ability to communicate in an instance. This leads to growth in many aspects of everyday life including both, social, and a power over the news we can consume on a personal level. These of course all sound great if they did not come with a burden we must all, as a human race, come to fight, and protect ourselves against. This is about the fact that a human