«POLISH SCIENCE JOURNAL»
SCIENCECENTRUM.PL
ISSUE 3(36) PART 1
ISBN 978-83-949403-4-8
314
organizations essential to advancement towards a close-knit global economy and global
financial system, such as the World Bank, the International Monetary Fund, and the
International Trade Organization.
As an example, Chinese economic reform began to open China to globalization in the
1980s. Scholars find that China has attained a degree of openness that is unprecedented
among large and populous nations, with competition from foreign goods in almost every sector
of the economy. Foreign investment helped to greatly increase product quality and knowledge
and standards, especially in heavy industry. China's experience supports the assertion that
globalization greatly increases wealth for poor countries. As of 2005–2007, the Port of
Shanghai holds the title as the world's busiest port.
In India, business process outsourcing has been described as the "primary engine of
the country's development over the next few decades, contributing broadly to GDP growth,
employment growth, and poverty alleviation"
With improvements in transportation and communication, international business grew
rapidly after the beginning of the 20 th century. International business
includes all commercial transactions (private sales, investments, logistics and
transportation) that take place between two or more regions, countries and nations beyond
their political boundaries. Such international diversification is tied with firm performance
and innovation, positively in the case of the former and often negatively in the case of the
latter. Usually, private companies undertake such transactions for profit. These business
transactions involve economic resources such as capital, natural and human resourcesused for
international production of physical goods and services such as finance, banking, insurance,
construction and other productive activities.
International business arrangements have led to the formation of multinational
enterprises (MNE), companies that have a worldwide approach to markets and production or
one with operations in more than one country. A MNE may also be called a multinational
corporation (MNC) or transnational company (TNC).
Economic globalization refers to the increasing interdependence of world economies as
a result of the growing scale of cross-border trade of commodities and services, flow of
international capital and wide and rapid spread of technologies. It reflects the continuing
expansion and mutual integration of market frontiers, and is an irreversible trend for the
economic development in the whole world at the turn of the millennium. The rapid growing
significance of information in all types of productive activities and marketization are the two
major driving forces for economic globalization. In other words, the fast globalization of the
world’s economies in recent years is largely based on the rapid development of science and
technologies, has resulted from the environment in which market economic system has been
fast spreading throughout the world, and has developed on the basis of increasing cross-border
division of labor that has been penetrating down to the level of production chains within
enterprises of different countries.
The participation of developing countries in the globalization process can enable them
to better utilize their comparative advantages, introduce advanced technologies, foreign capital
and management experience. It is also favorable for eliminating monopolistic behaviors and
Do'stlaringiz bilan baham: |