What is Globalisation How does it affect the multinational enterprises Essay

What is Globalisation How does it affect the multinational enterprises exempt taking an example of any single multinational enterprise of your choice - Essay Examplelity of roof across countries that enables firms to relocate and invest overseas and repatriate their profits, while the development of derivatives and other complex monetary products collect enabled the rapid growth of global credit markets. Moreover, as trade increasingly becomes freer with economic relaxation after the fall of Communism, which has increased the rate of imports and exports between industrialized and emerging economies. Finally, the growth of multinational companies and brands akin Apple has also driven the mould of globalization (Dunning, 2012 p14). This paper will discuss globalization and its cause on multinationals with Apple organism a case study in the latter discussion.Globalization refers to the process through which the world is increasingly becoming interconnected due to a massive incr ease in cultural and trade exchange (Dunning, 2012 p33). In turn, this process has increased services and goods production with the largest companies today being multinationals, rather than national firms. Although this process has been occurring for centuries, its pace has increased dramatically over the last fifty years. This has been as a result of reduced differences between different economies, leading to increased trade between and indoors different countries. One important aspect of globalization is that of integration where, while economies in the past were by and large self-contained and export and imports occurred almost co-incidentally, economies today are more closely dependent on one another for markets and raw material (Dunning, 2012 p34). Today, when one economy, alike Japan, is in recession, many other economies also remain firm the effects of recession.The process of globalization has been greatly influenced by improved transportation with transportation costs fo r MNCs like Apple decreasing, specifically as larger cargo ships and planes can transport more products (Rugman, 2014 p28). Moreover, economies of scale have led to a