An examination of the effect of globalization on international companies.
Written in 2002; 1,873 words; 4 sources; MLA; $ 59.95
Paper Summary:
This paper discusses how international firms are taking a global perspective today to a much greater degree than in the past and how globalization is a particular way of looking at the markets of the world and a particular way of responding to international pressures. It examines how companies today are arranging their entire business structure to respond to global demands. Manufacturing is done at different points around the world, distribution is shaped to different requirements, products are repackaged and even reformulated for different world regions and marketing is shaped to appeal to people in different parts of the world. It analyzes how the globalization debate addresses issues of social change, cultural challenge and technological development as well as economic change.
From the Paper:
"The economic benefits of globalization have been given considerable attention. In the last ten years, global trade in goods and services has grown twice as fast as world output, while the flow of foreign direct investment has grown three times as fast. In 1973, about $15 billion was exchanged daily on foreign currency markets, while today the figure is $1.2 trillion. Technological developments have made much of this trade possible and has clearly contributed to the ability to transfer capital in real time around the world. For U.S. companies, globalization means lower costs for imported inputs, raw materials, and capital equipment, and this has benefited the development of computer technology as America's computer industry has virtually tariff-free access to components such as flat-panel display screens, disk drives, and DRAM semiconductor chips."
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