Economics and Globalization Essay

Every daylight you hear it on the news, you bear witness it in the papers, you overhear people talking or so itand in every single instance the demesne ball-shapedisation seems to reach a different meaning. So, what is sphericization?, there were a lot of debate rough this issue. At a top political and stinting level, globalization is the process of denationalization of market, political and levelheaded systems. The consequences of this political and stinting restructuring on local economies, human race welf ar and environment argon the subject of an outspoken debate among international organizations, governmental institutions and the academic introduction. (7, www.globalization.com/intro.cfm)What is globalization? Is it the desegregation of economic, political, and cultural systems across the globle? Or is it Americanization and united States dominance of world affairs? Is globalization a force of economic growth, prosperity, and democratic freedom? Or is it a force fo r environmental devastation, exploitation of the exploitation world, and suppression of human rights?( www.globalization101.org)Globalization is not a phenomenon it is not just some passing trend. forthwith it is an overarching international system shaping the domestic administration and foreign relations of virtually every country, and we shoot to understand it as such.Globalization is oftentimes like fire. Fire itself is neither good or bad. Used properly, it can cook good, sterilize equipment, from iron, and aro use our homes. Used c atomic number 18lessly , fire can overthrow lives, towns and forests in an instant. As friedman saysglobalization can be incredibly empowering and incredibly coercive it can democratize opportunity and democratize panic. It makes the whales bigger and the minnows stronger. It leaves you behind prompt and faster, and it catches up to you faster and faster. While it is homogenizing cultures, it is also modify people to share their unique indi viduality farther and wider.*+(web) more(prenominal)over the question here what is private road globalization?, globalizationIs dictated by the strategic responses of sloppeds as they exploit market opprtunties and adapt to change in their technological and institutional environment, and attempt to steer these changes to their advantage. The O E C D groups the factors shaping globalization into four general categories, which are inter-linked-firm demeanour strategic , pre-emptive and imitative behavior.Exploitation of war-ridden advantages use of top-flight engine room , organization, yieldion or marketing.Consolidation of competitive advantages gain access to highly skilled people, good technological and commercial infrastructure, lower Labour costs, and in the altogether material.Organizational changes adoption of lean production methods and more(prenominal) horizontal internal and external organizational structure.-Technology think factorsdeclining computing, talk, co-ordination and transport costs.Increasing richness of R &D , coupled with rising R & D costs. cut down product lives.Shortening of limitation time lags. quick growth of friendship - intensifier industries.Increasing customization of both medium and finished goods.Increasing importance of customer point services.Economic factorsAvailability of key production factorsproductiveness differentials.Fluctuations in exchange rates.Differences in the channel cycle. transmittable up by lagging economies.(changing paradigms , doubting Thomas Claake and stewaat clegg, p90)).But according to Thomas Friedman in his book Lexus and the olive tree he explains three major factoes for the distribute of globalizationWhich are-the democratisation of tecngology. the democratization of finance.-the democratization of learning.International expansion has been driven by firm strategies based on their technologies and organizational advantages shaped by a number of factors of government policies, technological factors driving expansion include the rapid growth of knowledge intensive industries which are foreign investment intensive industries which are foreign investment intensive use intra firm manage intensively andcollaborate externally in phylogenesis the need to recop growing R & D costs find highly ingenious and skilled workers and organize production more efficiently underpinned by declining communication and transport costs. Increase importance of customer sevice.Macroeconomic factors include market development in different countries and region.Avalibility of key production factors, product differentials, fluctuation in exchange ates, differences in business cycle, catching up by lagging economies. political sympathies policies , significant influence firm strategies by liberalizing chapiter investment and trade flows, promptly regional integration and promptly competitiveness. Trade policy of liberalization of trade and invested are enabling factors which have driven global expansion and amplifyd the integration of production and markets.competiton policies(changing paradigms , Thomas Claake and stewaat clegg, p90)).Second, the techmolgy, people have been able to travel the world for the past 500 years, the difference now is that they are connected immediately.Th internet boom in 1990 make people relaise that business could operate more or less unconstrained by geography, 24 a day , 7 days a hebdomad , 365 day a year. This new faster locomote changing business environment have driven companies of all sizes to organize themselves into smaller more reactive , focused unti.The faster that drives globalization is making behavior is more tribal. John Nasibih, author of global pardox argues that the more we become economically interdependent the more we perceptiveness on to what constitute our core elemental identity. Implementing a homogenized western culture, such countries as indousia , Russia , france have passed laws to preserve thei r identity. Matters are further complicaty by the peddle from trdational nation states to network. The percentage of diasporas in developing the economic and political fortunes of legion(predicate) counties is significant . See the role of the chinessdispopora in driving the economic development of many asian states.Technology is driving a global changing in many other areas, change the context of strategic decisions.Laura DSndrea Tyson, dean of capital of the United Kingdom Bsuiness School and a leading economic consultant to Bill Clinton from 1996 to 2000, highlighted the main forces driving globalizationThe basic factor driving is technology .its trite to day but its true ./ the two major development taking place in the world are demographic and interconnectedness. Interconnectedness is about transportation and communication and that driven bytechnolgy. Demographic is actually about biotechnolgyical science. (Kourdi, blood STRATEGY)Tecnhlogy did not inevent a new business p aradigm but it has transformed business opening up a multi trade of ways to add assess, increase sale, reduce costs and manage more efficiently. disposition the nature of this transformation is valuable for decision making.An study firestorm rages in most business and how it is manges is crucial to success. A consequenceas of the increase in line activity is that information can be leverages to create new sources of value . it is important to combine the power of information and technology qwith common sense approach to management.So tech. And infor, are very importat factor what also effect the delivery which also cause globalization. (Kourdi, Business strategy).