ch 1 lecture notes

Globalization

fundamental shift for more integrated and interdep driven by advancements in COM

importance of globalization for biz

grow biz

find cost effective production

interconnect global econ

what led to globalization

tech and globalization

2 aspects of globalization

mkt and production

globalization of mkt

co has standardized products

change in consumer taste has opp

globalization of production

dec cost

land/topography, labor/specialization,energy, and cap

what comp opens plant in us

volvo

emergence of global institution

GATT

WTO
IMF

UN

GATT

general agreement of tariffs and trade

GATT purpose

legal agreement to reduce trade barriers

WTO

world trade org

WTO purpose

police world trade and promote lower barrier

IMF

international monetary fund

IMF purpose

maintain order in international monetary system

UN purpose

peace in international coop like diplomacy

drivers of globalization

declining trade barrier and tech

international trade

firm export goods and service in another country

FDI

foreign direct investment

FDI purpose

firm invest in biz activities outside home country

MNE

multinational enterprise

MNE purpose

biz w production in over 2 countries

role of tech change

COM, internet, and transportation tech

who did navigating our global future ted talk

Ian Goldin

Goldin said globalization is

not inclusive and system risk

Goldin tedtalk pro

production is cheaper

free trade

more opp

Goldin tedtalk con

less jobs cuz low wage nation

no equal trade

political and econ disruption