Chapter 1 PPT: Globalization

Flashcards covering the key concepts of globalization and its effects on international business.

Globalization is a shift toward a more integrated and __ world economy.

interdependent

The globalization of markets involves the merging of historically distinct and separate __ markets.

national

The globalization of production refers to the sourcing of goods and services from locations around the globe to take advantage of __ differences.

national

The World Trade Organization (WTO) polices the world trading system and ensures nation-states adhere to the rules established in __ treaties.

WTO

Two macro factors driving globalization are the decline in barriers to free flow of goods, services, and __, and technological changes.

capital

The role of technological change in globalization includes reducing constraints of __, scale, and time zones.

location

The __ is comprised of finance ministers and central bank governors of the largest world economies.

Group of Twenty (G20)

Declining trade and investment barriers have led to an increase in outward stock of foreign direct __.

investment

Critics of globalization argue that it has detrimental effects on __ standards, wages, and the environment.

living

The lack of labor and environmental regulations in less developed countries is said to attract __.

investment

Globalization is the process of increased interconnectedness and __ among countries.

interdependence

The integration of global markets is driven by technological advancements and reduced __ barriers.

trade

Globalization merges separate national markets into a __ marketplace.

global

The World Trade Organization (WTO) aims to facilitate international trade agreements and ensure smooth __ flows.

trade

Benefits of globalization include economic growth, expanded business markets, and cultural __.

exchange

Common criticisms of globalization include job losses, worker exploitation, and increased __.

inequality

The Group of Twenty (G20) is a forum of major economies discussing financial __ and cooperation.

stability

Technological advancements impact globalization by lowering communication and transportation __.

costs

Globalization encourages increased foreign direct __ as companies seek opportunities across borders.

investment

Social and environmental issues arising from globalization can include environmental degradation and labor __.

exploitation