GMS 723 Lecture Notes - Lecture 1: Franchising, Portfolio Investment, Foreign Direct Investment

• School: Ryerson University
• Department: Global Management Studies
• Course: GMS 723
• Professor: Franklin Ramsoomair

Document Summary

Globalization has become a major socioeconomic force and topic of debate in the twenty-first century. Chapter one examines the forces that are driving this phenomenon, as well as the often passionate criticisms of the process. It reviews the objectives that firms pursue when they engage in international trade activities and describes the various modes of entry that may be used. It also notes the terminology that has come into existence as new types of organizations have evolved. The chapter concludes with a discussion of the ways in which international trade differs from domestic. As people, firms, and other organizations have expanded their access to resources, goods, services, and markets across wider geographical areas, they have also become more deeply affected (positively and negatively) by conditions outside their home countries. Globalization refers to the broadening set of interdependent relationships among people from different parts of a world that happens to be divided into nations.