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Globalisation of Clothing Industry in Sweden

In: Business and Management

Submitted By veronica2
Words 1826
Pages 8
KARELIA UNIVERSITY OF APPLIED SCIENCES
International Business Degree Program

Swedish Clothing Industry

Global Business Environment
November 2013

Introduction

The distance between people in the world is decreasing. In stores in Sweden we find goods from all corners of the world. We are intertwined in a world of mutual dependences and it is what we now call globalization. Economic globalization is a historic process and the result of human innovation and technological development. The economies in the world are integrating, particularly through trade and financial flows, but globalization can also involve movement of people and labor, as well as knowledge and technology across international borders. This means that countries can specialize and produce what they are best at. Countries across the world wills also have access to more capital, better technology, cheaper imports and major export markets. This does not mean that all countries have access to the benefits of globalization, in the poorest countries, the international community help with contributions.
The question is that is globalization a treat or an opportunity? Some believe that the difference between the rich and poor countries only increased with globalization, while others argue that the difference in income or GDP between countries across the world has increased, but it is not the whole truth. Wider measurements of welfare that takes social conditions in the calculation shows those developing countries have made a great progress (www.imf.org). A well-known concept is that the industries that do not require skilled labor, and is a labor-intensive industry moves to the countries where it is possible to get goods and cheap labor. Cloth production is a well-known example of such and industry. To use low-wage labor for clothes production has always been given and has therefore made these...

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