identified four basic aspects of globalization: trade and transactions‚ capital and investment movements‚ migration and movement of people and the dissemination of knowledge International Trade relations : International Trade is usually referred to the exchange of goods‚ and services across international borders or territories. In most countries‚ it represents a significant share of gross domestic product (GDP). In 2010‚ the value of international trade achieved 19 trillion (current US) dollars‚ i
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Topic 10: The Transition Period I. The Free Trade Era in Europe. During the mercantilist era‚ trade was seen as a zero-sum game: one country’s gain was another country’s loss. If Spain imported more from England that she exported to England‚ she had to send specie to England to make up the difference. In the mercantilist view‚ this was viewed as a loss for Spain and a gain for England. So‚ countries established policies to encourage favorable trade balances: they subsidized export industries
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particularly if the industry is unionized. Since all firms will face the same higher costs‚ they can cover these higher costs by all of them simultaneously raising their prices without fear of being undercut or of being placed at a competitive disadvantage relative to their peers. Foreign competition changes the picture since foreign firms’ costs will be unaffected by higher domestic wages and benefits. If domestic firms give in on wages and benefits‚ foreign firms will
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Great Depression in the 1930s‚ there was a reduction of links resulting in reductions on trade and other economic links. However in the late twentieth century efforts to reverse the retreat of nations towards self-sufficiency were widespread. • Great Depression of 1930s had a global impact- experienced an economic downturn. • Major indicators of integration between economies/ globalisation: ➡International trade in goods and services ➡International financial flows ➡International investment flows and
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3.4 Benefits of RTAs Under the current legal system of the World Trade Organisation (WTO)‚ there are two categories of rules on the RTAs in the area of trade in goods: the first is based on the Article XXIV of the General Agreement on Tariffs and Trade‚ which generally applies to all RTAs; the second is based on the so-called Enabling Clause‚ which in exceptional circumstances‚ provide special and differential treatment (SDT) for RTAs among developing countries. 3.4.1. Advantages of Regional
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International Marketing: Exam 2 Notes Chapter 6: The Political Environment * Sovereignty of Nations * Sovereign state is independent & free from external control * Enjoys a full legal equality with other states * Governs own territory * Selects its own political‚ economic‚ and social systems * Has power to enter into agreements with other nations * Sovereignty refers to powers exercised by a state in relation to other countries and the
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The aim of this work is discuss Nigeria’s regional economic bloc (ECOWAS)‚ the implications of this Economic Bloc to International Business and its advantages and disadvantages to Nigeria. Introduction: Nigeria is a country located in West Africa; it has a population of about 160‚027‚000 (World Economic Fact Book 2010). Its main produce is oil and petroleum; the country is also a key
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A multi national enterprise (MNE’s) is defined as a business‚ which owns or controls foreign subsidiaries in more than one country (Host nation). These are also called transnational corporations (TC’s). Multi national enterprises cover the entire spectrum of businesses‚ including manufacturing‚ agriculture‚ service provision and finance. These can be vast‚ well known companies or smaller specialist firms. There are three different types of MNE’s which all have different primary motives. Horizontally
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promoted the international trade and investment‚ which caused the first age of globalization. From the Second World War to now‚ the advent of the computer and the information disseminate the processes efficiency drive the globalization into a new era (Evans‚ Philip‚ Würster and Thomas 1999: 51). The technology promoted the globalization keep going to fit the world’s economies development. Although‚ globalization‚ as defined above‚ it really contributes to international trade and investment‚ it brings
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MS-03 Management Programme ASSIGNMENT SECOND SEMESTER 2013 MS-03: Economic and Social Environment ASSIGNMENT Course Code : MS-03 Course Title : Economic and Social Environment Assignment Code Coverage : MS-03/TMA/SEM-II/2013 : All Blocks Note: Attempt all the questions
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