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the globalization of world markets

the globalization of world markets

MGMT 4710

INTERNATIONAL BUSINESS

UNIT 2 DISCUSSIONS

Since the end of World War II, the globalization of world markets has been increasing.

The main characteristics of globalization include free flow of goods and services

(International trade), and capital (foreign direct investments), less government intervention,

and regional and global integration. In addition, globalization is strengthened by cross-

national cooperation and institutions such as the World Trade Organization, the World

Bank and the International Monetary Fund. Globalization is supported by the argument

that international trade and foreign direct investments result in a better allocation of

resources.

In the last few years however, international trade and foreign direct investments

have been challenged as a growing number of governments have been questioning the

benefits of free flow of goods, services, and capital. In particular, the United Kingdom has

left the European Union (Brexit), the North American Free Trade Agreements (NAFTA)

has been revised, the United Stated is threatening to reduce or even eliminate its

contributions to international institutions. As a result, tariffs have started to rise, and

multinational enterprises are under increasing pressures to reduce their operations in

foreign countries and invest more in their home countries.

Question: Do you favor globalization of world markets?

Instructions:

-Your answer should be one single-spaced page or less (but at least 10 sentences). Also, cite inside your answer (e.g.: MacMillan, 2020) two recent articles (no older than 2018) from business periodicals such as Business Week, Forbes Magazine, Fortune Magazine, Wall Street Journal, Financial Times, or any other relevant popular press (no textbook, Wikipedia, or academic journal). At the end of your answer, provide complete references of both articles.