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International Business

International Business

International Business

Since the end of World War II, 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 (e.g., the European Union) 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, the effectiveness of international trade and foreign direct
investments has 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, COVID-19, and the invasion of Ukraine by Russia, are events that have
highlighted the potential risks of relying on international trade and foreign investments. As a
result, trade and investment sanctions have been imposed on some countries for political
reasons, supply chains for critical products have been disrupted, and multinational enterprises
are under increasing pressures to reduce their operations in foreign nations and invest more in
their home countries.

Question: Do you favor globalization of world markets?

cite
inside your answer (e.g.: MacMillan, 2022) two or more recent articles (no older than 2020)
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 the articles cited
(use any acceptable style if it is complete).


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