The Neoliberalism Phase Of Globalization

1980 Words8 Pages
The Neoliberalism phase of globalization that has been going on from the 1970s until present day took place after the Imperialism juncture and the Keynesian stage; which lasted from the 1820s through the 1920s and the 1930s through the 1960s, respectively. The stage of globalization that is taking place in our daily lives now, is mainly to benefit from economies of scale, exploit cheap labor, respond to the increasingly global competition, benefit from low wages, and take advantage from reduced taxes and regulations by moving into developing countries where there are cheap subcontractors rather than manufacturing in developed countries where the cost of production is very high and costly, in other words they went global to find financial gain. Unlike, the Imperialism and the Keynesian phases which were mainly to benefit from declining transport costs, gain access to new and foreign markets, and to compensate for inadequate domestic demand (selling their product in a nation where the demand for a certain product is higher than the demand in the origin country). Nike, a transnational corporation located in Oregon; the leading supplier and developer of athletic shoes and apparel goods; with $27.04 billion USD in sales revenue for 2014 (http://www.forbes.com/companies/nike/) in contrast to Adidas, which has a sales revenue of $19.24 billion USD in 2014(http://www.forbes.com/companies/adidas/); experienced an explosive growth since the 1970s, the industry has globalized widely
Open Document