...flow of production factors within the entire globe in order to understand the optimum resource allocation. Different authors provide different definitions of globalisation with their profound research. According to international monetary fund, globalization increases the rapid and extensive transmission of technology along with international commodity, transactions of service and scale of global capital flow. The mutual independence of economy is also strengthened by Globalisation. Economic globalisation builds international capital, production, technology, market, resources and manpower in order to understand reasonable and effective allocation. Competition between the countries are intensified during the effective promotion of global cooperation. This is due to the limited resources and extended capital in economic perspective. In terms of politics each country tends to increase the strength to achieve more profit (Broad & David, 2006). The independent flow of production factors in the world are accelerated though economic globalization which forms a global market. Therefore the global operation of the multinational companies along with the involvement of global industrial structure are promoted. The advantages of capital and technology can be used by the developing countries and by transferring these capital and technology the market can be expanded to the developed countries. The development of global productive force together with the economies of the developing countries...
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...International Food and Agribusiness Management Review Volume 14, Issue 2, 2011 Agricultural Value Chains in Developing Countries A Framework for Analysis Jacques H. Trienekens Associate Professor, Wageningen University-Management Studies and Maastricht School of Management Hollandseweg 1, Wageningen, The Netherlands Abstract The paper presents a framework for developing country value chain analysis made up of three components. The first consists of identifying major constraints for value chain upgrading: market access restrictions, weak infrastructures, lacking resources and institutional voids. In the second component three elements of a value chain are defined: value addition, horizontal and vertical chain-network structure and value chain governance mechanisms. Finally, upgrading options are defined in the area of value addition, including the search for markets, the value chain- network structure and the governance form of the chain. Part of this component is the identification of the most suitable partnerships for upgrading the value chain. The three components of the framework are derived from major theoretical streams on inter-company relationships and from the literature on developing country value chains. The framework is applied in a case example of a developing country value chain. Keywords: Developing country value chains, research framework, upgrading Corresponding author: Tel: + 31 317 484160 Email: Jacques.Trienekens@wur.nl 51 2011 International Food...
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...cross border assimilation can be social, economic, cultural, or political. But most of the people fear cultural and social assimilation as they believe this would have a negative impact on the existing culture of their society. Globalization therefore has mostly narrowed down to economic integration and this mainly happens through three channels; flow of finance, trade of goods and services and capital movement. Globalization is a term that includes a wide range of social and economic variations. It encompasses topics like the cultural changes, economics, finance trends, and global market expansion. There are positive and negative effects of globalization - it all comes as a package. Globalization helps in creating new markets and wealth, at the same time it is responsible for extensive suffering, disorder, and unrest. The great financial crisis that just happened is the biggest example of how negative globalization can turn. It clearly reveals the dangers of an unstable, deregulated, global economy. At the same time, this gave rise to important global initiatives, striving towards betterment. Globalization is a factor responsible for both repression and the social boom. What happens when there is a growing integration of economies across the globe? Majorly there have been positive impacts of this global phenomenon - through liberalization, privatization and globalization (LPG). Due to globalization, there has been significant flow of inward foreign direct investment. MNC companies...
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...Renewable Energy Renewable energy sources have a huge contribution to make in creating a sustainable energy system. They help to mitigate climate change, increase the security of our global energy supply system and give developing countries access to affordable energy in support of the UN Millennium Development Goals. Renewable energy could meet almost half of global energy demand by 2050 according to the International Energy Agency’s ambitious BLUE MAP scenario published in Energy Technology Perspectives 2008. Under this scenario, world greenhouse gas (GHG) emissions are halved. By the end of the century, it is conceivable that global energy needs could be supplied mainly from renewable sources, although their contribution would vary from one region to another. Research and development (R&D) has a vital role to play if the potential of renewable energy is to be fully exploited. Policy measures, such as taxes, cap and trade schemes, obligations and feed-in tariffs, which take into account environmental impacts and, in particular, the social cost of carbon dioxide emissions, will contribute to faster deployment. However, investment in R&D will not be delivered by market signals alone; extensive support at the national and international levels is needed to accelerate the development of renewable technologies. R&D targeted at different stages of the innovation chain will yield benefits in the short-term (up to five years), medium-term (5–15 years); and in the...
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...Electronics Contract Manufacturing: Global Production and the International Division of Labor in the Age of the Internet Boy Lüthje Institute of Social Research Johann Wolfgang Goethe-Universität Senckenberganlage 26 60325 Frankfurt Germany E-mail: luethje@soz.uni-frankfurt.de Submitted for publication to Industry and Innovation – special issue on “Global Production Networks, Information Technology and Local Capabilities”, coordinated by Linsu Kim and Dieter Ernst Comments welcome, please do not quote December 2001 2 The role of information technology for production networks in developing countries cannot be assessed without an analysis of the profound changes in the productive structure of global capitalism. In contrast to the general perception of the “informational economy” (Carnoy e.a. 1993, Castells 1996) as service- or science-based, it has to be stressed that in the "new economy" manufacturing continues to matter (Cohen/Zysman 1987). In the electronics industry, a new model of outsourced manufacturing has emerged as a centerpiece of globalized production networks: Contract Manufacturing (CM) or Electronics Manufacturing Services (EMS). This form of network-based mass production closely linked to the emergence of the “Wintelist” (Borrus/Zysman 1997 model of competition and the rise of “fabless” product design companies in key sectors of the information technology (IT) industry. Our analysis of electronics contract manufacturing explores three interrelated...
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...role of food aid/exports from the developed world to the developing world during the Development Project? How has food aid/exports shaped the kind and conditions of work done in the developing world? To what consequence? Post World War II began a term where development of the new and old world became high priority. The developed world began to inspect new ways to attain additional global capital. The ensuing projects evidently served as a cultural hegemonic movement that promoted Western civilization cultural dominance. Hugely evident during the Development Project, the United States aided food impoverished countries, mostly newly formed nation-states that gained independence after WWII, by exporting food and other goods...
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...globalization and how it affects markets and production. 2. Identify the two forces causing globalization to increase. 3. Summarize the evidence for each main argument in the globalization debate. 4. Identify the types of companies that participate in international business. 5. Describe the global business environment and identify its four main elements. CHAPTER OUTLINE: Introduction International Business Involves Us All Technology Makes It Happen The Global Relay Race Globalization Globalization of Markets Reduces Marketing Costs Creates New Market Opportunities Levels Uneven Income Streams Yet Local Needs Are Important Globalization of Production Access Lower-Cost Workers Access Technical Expertise Access Production Inputs Forces Driving Globalization Falling Barriers to Trade and Investment World Trade Organization Regional Trade Agreements Trade Agreements and Trade Growth Technological Innovation E-mail and Videoconferencing Internet and World Wide Web Company Intranets and Extranets Advancements in Transportation Technologies Measuring Globalization Untangling the Globalization Debate Today’s Globalization in Context The Current Globalization Backlash Leaving the Anarchists Behind Before We Go On Globalization’s Impact on Jobs and Wages Globalization Costs Jobs and Lowers Wages Eliminates Jobs in Developed Nations Forces Wages Lower in Developed Countries Exploits Workers in Developing Nations Globalization Creates Jobs and Boosts...
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...Globalization process Process by which global transnational structures, organizations and societies overtake the national structures, organizations and societies Globalism: ideology World market vs national politics and market Ideology belief in superiority of global structures Globality: consequences of globalization: open societies, destruction of closed societies, awareness of other nations, cultures, and values. Underlying forcesfor globality Increase expansion of international trade Rapid expansion of information technology Expansion of global communication and entertaintment Expansion of multinational, trans-national corporations and industries. Expansion of world organization and world politics. Issues of world poverty. Universal demand for human right and democracy. Environmental issues crossing national boundaries. Cultural conflicts. What was local is now global Economic crisis, financial fluctuations, disasters, inventions, politic events, entertainment, sports. Level of globalization impacts National states, organizations, individuals, facilitated by IT What is information technology is? Blurring of boundaries in IT Computer and phone. Computer and digital media Combination of hardware and software. The roles of IT Reduce costs, sources of innovation, improving quality of life, improving services, increasing access to services, increasing access to markets. Effects of IT Usage Individual usage – cohesive society, business...
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...A. 2 Executive Summary 2 1. What are the capabilities of the XO laptop (especially the latest version, XO-4)? How well-suited is this machine for developing countries? 2 2. How the XO laptop narrows the global digital divide and the potential impact of this machine compared to that of cell phones in developing countries? 4 Section B 5 1. Major factors driving internationalization of businesses. 5 2. Alternative strategies for developing global business 6 3. Using information systems to support different global business strategies. 7 4. Challenges posed by global information systems and management solutions. 8 5. What are the issues and technical alternatives to be considered when developing international information systems? 10 References. 13 Section A. Executive Summary This document aims to explain the system design and hardware blueprint of the XO-4 laptop. While the capabilities of the XO-4 are similar to a regular laptop, it was designed for elementary school children. The primary goal of the hardware design is low-power operation, and for extensive use in developing countries or rural areas where access to classrooms are not always available. 1. What are the capabilities of the XO laptop (especially the latest version, XO-4)? How well-suited is this machine for developing countries? According to wiki.laptop, (2013) the XO-4 are different to other laptops as all components except the keyboard and touchpad are located behind the LCD...
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...Globalization and the Information Economy: Challenges and Opportunities for Africa1 Derrick L. Cogburn, Ph.D. University of Michigan School of Information and Global Information Infrastructure Commission – Africa Catherine Nyaki Adeya, Ph.D. United Nations University Institute for New Technologies Prepared as a working paper for the African Development Forum '99 24-28 October 1999, United Nations Conference Centre United Nations Economic Commission for Africa Addis Ababa, Ethiopia 1 Copyright © 1999 Derrick L. Cogburn (dcogburn@umich.edu) and Catherine Nyaki Adeya (nyaki@intech.unu.edu). This paper reflects the opinions of the authors and not necessarily those of the institutions represented. Comments on the paper are welcome, and an updated version can be found at: www.si.umich.edu/~dcogburn/info_econ.htm. and www.intech.unu Derrick L. Cogburn and Catherine Nyaki Adeya ii ACKNOWLEDGEMENTS The authors would like to thank the officers and staff at the United Nations Economic Commission for Africa for their untiring patience and assistance on the st preparation of this paper. Special thanks to the team organising the 1 African Development Forum. Dr. Cogburn would like to thank his colleagues at the Global Information Infrastructure Commission for their assistance and support on the paper. Also, at the University of Michigan, he thanks his friends and colleagues at the School of Information, the Alliance for Community Technology, and the Centre for AfroAmerican...
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...companies:foreign investment, international subcontracting and production relocation. OUTSOURCING IN THE NEW STRATEGY OF MULTINATIONAL COMPANIES: FOREIGN INVESTMENT, INTERNATIONAL SUBCONTRACTING AND PRODUCTION RELOCATION* WLADIMIR ANDREFF Professor Emeritus University Paris 1 Panthon Sorbonne Centre d’Economie de la Sorbonne. ABSTRACT. The article is dealing in the first place with the definition of (offshore) outsourcing in relation with foreign direct investment and international subcontracting process, as well as with some connected issues such as fragmentation of the production process, international production relocation, de-industrialisation in developed countries and industrialisation in newly industrialising, now coined emerging countries. In the second place, it aims at finding how global strategy differentiates from traditional MNC strategies and how much outsourcing fits with such global strategy. The last section of the article briefly screens the economic impact of outsourcing on the world trade structure – with the two enlightening snapshots of global trade in sports goods and European Union 15’s outward processing trade with Central Eastern European countries (CEECs)-, as well as on home developed and host emerging countries. The article conclusion is that outsourcing has grown faster than world trade in the past two decades and has skyrocketed during the very last years because it is a cornerstone of a new global strategy adopted by multinational companies since the...
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...a dramatic effect on domestic economies of all countries as well as the world market. Being a general term to describe the denationalization of markets and rising of the global economy, the process of globalization has obviously larger impact on the modern world than just unification of national markets into single international one. Globalization has an enormous influence upon all spheres of people’s lives, including economic, political and cultural spheres. The process of globalization has been always accompanied by the establishment of large international corporations, in which the level of production, consumption, export, import and income depends on the decision of international centers situated beyond the certain country’s borders. As any other process that takes in the world, globalization has certain advantages and disadvantages, thus, it has its followers and opponents. For some countries globalization offers multiple opportunities of economic growth and prosperity, however, the other ones are threatened by it, due to the economic inequality and political control it can cause. Developed and developing countries have different fears concerning globalization. While some developed countries anticipate the process of globalization, because it opens new low-cost markets of developing countries and creates new competitive environment, which might not be favorable for domestic markets of developed countries; developing countries are concerned about possible political and economic...
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...been buying and selling to each other in lands at great distances. Likewise, for centuries, people and corporations have invested in enterprises in other countries. This current wave of globalization has been driven by policies that have opened economies domestically and internationally. According to Stanford encyclopedia of philosophy, since the Second World War, and especially during the past two decades, many governments have adopted free-market economic systems, vastly increasing their own productive potential and creating new opportunities for international trade and investment. Governments also have negotiated dramatic reductions in barriers to commerce and have established international agreements to promote trade in goods, services, and investment. Taking advantage of new opportunities in foreign markets, corporations have built foreign factories and established production and marketing arrangements with foreign partners. A defining feature of globalization, therefore, is an international industrial and financial business structure. This process has an influence on many aspects of life. This includes but not limited to culture, education, health, trade, environment, technology and investment. CULTURE Culture plays a significant part of globalization. Many people around the world are coming to question the impact that the worldwide expansion that globalization is...
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...R e se a rc h a n d Stat i s t i c s B r a n c h working paper 16/2009 Impact of the Global Economic and Financial Crisis over the Automotive Industry in Developing Countries UNITED NATIONS INDUSTRIAL DEVELOPMENT ORGANIZATION RESEARCH AND STATISTICS BRANCH WORKING PAPER 16/2009 Impact of the Global Economic and Financial Crisis over the Automotive Industry in Developing Countries Peter Wad Copenhagen Business School UNITED NATIONS INDUSTRIAL DEVELOPMENT ORGANIZATION Vienna, 2010 This paper was prepared by Peter Wad, UNIDO consultant and backstopped by Nobuya Haraguchi, UNIDO staff member, Research and Statistics Branch, Programme Coordination and Field Operations Division. Iguaraya Saavedra provided administrative support. The designations employed, descriptions and classifications of countries, and the presentation of the material in this report do not imply the expression of any opinion whatsoever on the part of the Secretariat of the United Nations Industrial Development Organization (UNIDO) concerning the legal status of any country, territory, city or area or of its authorities, or concerning the delimitation of its frontiers or boundaries, or its economic system or degree of development. The views expressed in this paper do not necessarily reflect the views of the Secretariat of the UNIDO. The responsibility for opinions expressed rests solely with the authors, and publication does not constitute an endorsement by UNIDO. Although great care has...
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...Manufacturing[1]GLOBAL PRODUCTION AND THE INTERNATIONAL DIVISION OF LABOR IN THE AGE OF THE INTERNET Boy Lüthje Institute of Social Research University of Frankfurt Senckenberganlage 26 D-60325 Frankfurt/M Germany Telephone: 069/756183-30, -43 Fax: 069/747709 E-Mail: luethje@soz.uni-frankfurt.de Draft paper for conference Transforming Enterprise Department of Commerce Auditorium Washington, D.C., January 27-28, 2003 Draft! Comments and suggestions welcome, but please do not quote! The impact of information technology on business, economy and society cannot be examined without an analysis of the profound changes in the productive structure of global capitalism. In the electronics industry, a new model of outsourced manufacturing has emerged as the centrepiece of globalized production networks: Contract Manufacturing (CM) or Electronics Manufacturing Services (EMS). This form of network-based mass production is closely linked to the disintegration of the value chain and the emergence of the “Wintelist” (Borrus and Zysman 1997) model of competition and the rise of “fabless” product design companies in key sectors of the IT industry. In contrast to the general perception of the “informational economy” (Carnoy et al 1993, Castells 1996) as service- or science-based, the rise of the CM-model demonstrates that manufacturing still matters in the "new economy" (Cohen and Zysman 1987). This development also highlights the interaction of new information networks with the...
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