Globalisation and Government Regulation in Uk
Introduction
Think global ', Act local ' is a common phrase used by executives, companies in the UK have been heavily impacted by globalisation due to the benefits of attractive cheap labour available overseas, establish subsidiaries to overcome exportation, producing globally standardised products to achieve economies of scale and gaining a market share in local/region of a country. This is the age of globalisation, a term which has numerous definition (Dunning, 1997), but generally refers to a process of "tighter international linkages on a world-wide scale" (De Wit and Meyer, 1998).
On the other hand, UK has also become a major host country for foreign multinational investment. Corporate interests shed light on market share-hold and thus intensify competition. Consequently, the prospect for enhanced efficiency and welfare gain is created, as increased number of firms promote lower prices, increase output levels and enhance the potential for quality improvements. The consequences of globalisation and such openness to multinationals is still a matter for debate, but a major area of interest is the impact of global integration in the UK environment
Inevitably, the importance of regulation is evident through the significant growth in global regulatory changes throughout the 1990 's. It is estimated that between 1991-2000 some 1,185 regulatory changes occurred in the UK, 95 percent of these changes created a more favourable FDI environment (Hillman and Omar, 2005).
The influence of regulation on UK firms ' and international investment decisions is of the essence. Regional differences between less developed economies has meant that regulation is a statistically significant, and positive, factor influencing international mobile FDI. However, FDI inflows to less developed economies partially reflect Multinational Corporations ' (MNC 's) response to weak governance and the regional predisposition towards corrupt practices.
The purpose of this
Think global ', Act local ' is a common phrase used by executives, companies in the UK have been heavily impacted by globalisation due to the benefits of attractive cheap labour available overseas, establish subsidiaries to overcome exportation, producing globally standardised products to achieve economies of scale and gaining a market share in local/region of a country. This is the age of globalisation, a term which has numerous definition (Dunning, 1997), but generally refers to a process of "tighter international linkages on a world-wide scale" (De Wit and Meyer, 1998).
On the other hand, UK has also become a major host country for foreign multinational investment. Corporate interests shed light on market share-hold and thus intensify competition. Consequently, the prospect for enhanced efficiency and welfare gain is created, as increased number of firms promote lower prices, increase output levels and enhance the potential for quality improvements. The consequences of globalisation and such openness to multinationals is still a matter for debate, but a major area of interest is the impact of global integration in the UK environment
Inevitably, the importance of regulation is evident through the significant growth in global regulatory changes throughout the 1990 's. It is estimated that between 1991-2000 some 1,185 regulatory changes occurred in the UK, 95 percent of these changes created a more favourable FDI environment (Hillman and Omar, 2005).
The influence of regulation on UK firms ' and international investment decisions is of the essence. Regional differences between less developed economies has meant that regulation is a statistically significant, and positive, factor influencing international mobile FDI. However, FDI inflows to less developed economies partially reflect Multinational Corporations ' (MNC 's) response to weak governance and the regional predisposition towards corrupt practices.
The purpose of this