Thursday, March 7, 2019
Difference between internationalization and globalization Essay
What is the difference among the phases of internationalization and of orbiculateization? internationalization and Globalization are two terms that are often assimilated and sometimes utilize as synonyms. This is a mistake because these terms have many an(prenominal) differences, starting with the time they began to occur. Internationalization started as part if the Industrial novelty between 1870 and 1914, whereas globalization is a post 1960s phenomenon. Other differences between these two terms include their impact on fast(a)s, on global trade, and on society and culture.First of all, while globalization is often used to describe the change in the world economy to a to a greater extent lib geological eral and interdependent system, internationalization refers more narrowly to the activity of firms on an international scale and the resulting impact of their decisions. Internationalization is, for example, a European firm trying to export its product overseas, and the causes a nd the consequences of this act. A firm trying to govern its products on an international scale is also considered as internationalization. Secondly, many new advances in technological fields such as communication and superman have helped globalization increase worldwide trade and investment. The beginning of this free-trade era started when the Soviet Union was defeated by the United States, and the end of the frosty War.This helped many organizations such as the WTO (World Trade Organization) or the IMF (International Monetary Fund) verify free markets, making the economy less state dependent. These organizations have helped to pull in a more widend economy by the creations of TNCs (Transnational Corporations). This resulted in the rapid and prospered industrialization of some nations (NICs) and on a different way of dividing yield worldwide (NIDL). On another hand, internationalization did not really globalize the economy but rather promoted the activity of a nation and i ts companies internationally. A typical example would be signing a trade or investment contract with another country (or countries) to install good economic relations between them.