ARTICLE/HISTORY OF GLOBAL MARKET INTEGRATION - GLOBAL MARKET INTEGRATION DID NOT HAPPEN OVERNIGHT. IT WAS THE RESULT OF THE ESTABLISHMENT OF A GLOBAL ECONOMY THAT INVOLVED THE HOMOGENIZATION OF TRADE AND COMMERCE. PRIOR TO THE TRENDS IN GLOBALIZATION OF THE 20TH CENTURY, INTERNATIONAL TRADE AND EXCHANGE OF GOODS AND SERVICES WERE ALREADY PRACTICED. HARVEY (1990) SEES THAT CITY AND COUNTRIES WERE ABLE TO EXTEND THEIR REACH BEYOND BORDERS AND PATTERNS OF TRADE AND TECHNOLOGY BECAUSE OF DEVELOPMENTS IN SHIPPING AND NAVIGATION. THIS WAS OBSERVABLE IN THE DEVELOPMENT OF MARITIME TRANSPORT THROUGHOUT HISTORY. COLONIALISM AND IMPERIALISM ROSE AS THE NEW WAYS OF PUTTING ORDER TO THE ECONOMIC INTERRELATIONSHIPS AMONG COUNTRIES. EQUITY, CORPORATE OWNERSHIP, MANAGEMENT SUBSIDIARIES, AND CENTRAL HEADQUARTERS WHICH SUPPLY AND DISTRIBUTE GOODS AND SERVICES WERE ESTABLISHED THROUGH COLONIALISM. THE SPANISH GOVERNMENT IN THE 1960S, FOR INSTANCE MADE USE OF ITS COLONIES LIKE THE PHILIPPINES AND MEXICO AS SUPPLIERS OF IT RESOURCES FOR TRADE. THE INTEGRATION OF THE GLOBAL MARKET STARTED WHEN BIG AMERICAN CORPORATIONS BEGAN TO EMERGE AFTER THE SECOND WORLD WAR WITH THE RISE OF NEW CONGLOMERATES. INTERNATIONAL TELEPHONE AND TELEGRAPH BOUGHT AVIS RENT-A-CAR, CONTINENTAL BANKING, SHERATON HOTELS, AND HARTFORD FIRE INSURANCE (AMERICAN HISTORY, 2018). LATER, JAPAN AND EUROPE FOLLOWED SUIT. JAPANESE GLOBA AUTOMOBILE CORPORATIONS LIKE TOYOTA, NISSAN, AND ISUZU TOOK OFF AFTER THE GIANT AMERICAN COMPANIES FLOURISHED. THESE COMPANIES PROSPERED AS THE PRIMARY AND GLOBAL MAKERS OF TRUCKS FOR JAPANESE MILITARY (DOWER, 1992). RENAULT AUTOMOBILES, A FRENCH MULTINATIONAL AUTOMOBILE MANUFACTURER, WAS ALSO USED TO HELP IN THE MILITARY POSTWAR OPERATIONS. THE RISE OF AMERICAN, JAPANESE, AND EUROPEAN GLOBAL CORPORATIONS PAVED THE WAY FOR THE FURTHER DEVELOPMENT OF INTERNATIONAL TRADE. IWAN (2012) IDENTIFIES THE DIFFERENCES AMONG INTERNATIONAL, MULTINATIONAL, TRANSNATIONAL, AND GLOBAL COMPANIES. INTERNATIONAL COMPANIES ARE IMPORTERS AND EXPORTERS WITH NO INVESTMENTS OUTSIDE THEIR HOME COUNTRIES. MULTINATIONAL COMPANIES (MNCS) HAVE INVESTMENTS IN OTHER COUNTRIES, BUT DO NOT HAVE COORDINATED PRODUCT OFFERING IN EACH COUNTRY. THEY ARE MORE FOCUSED ON ADAPTING THEIR PRODUCTS AND SERVICES TO EACH INDIVIDUAL LOCAL MARKET. - GLOBAL COMPANIES HAVE INVESTMENTS AND ARE PRESENT IN MANY COUNTRIES. THEY TYPICALLY MARKET THEIR PRODUCTS AND SERVICES TO EACH INDIVIDUAL LOCAL MARKET. - TRANSNATIONAL COMPANIES (TNCS) ARE MORE COMPLEX ORGANIZATIONS THAT HAVE INVESTMENTS IN FOREIGN OPERATIONS, HAVE A CENTRAL CORPORATE FACILITY BUT GIVE DECISION-MAKING, ESEARCH AND DEVELOPMENT, AND MARKETING POWERS TO EACH INDIVIDUAL FOREIGN MARKET. * AMERICAN CORPORATIONS OPERATING INTERNATIONALLY WERE AT A_ GREAT ADVANTAGE AFTER THE WAR FOR THEY HAD NO COMPETITION. THEY HAD THE CAPACITY TO PRODUCE, ORGANIZE AND DISTRIBUTE PRODUCTS BECAUSE AMERICA WAS NOT DEVASTATED BY THE WAR. LITERATURES OFFICIALLY TRACED THE START OF THE CONTEMPORARY MARKET INTEGRATION FROM THE RETURN OF THE JAPANESE AND EUROPEAN CORPORATIONS TO THE GLOBAL MARKET. IT WAS ACKNOWLEDGED IN 1974 THAT THE MAJOR GLOBAL ECONOMIC ACTORS WERE MNCS. COLLECTIVELY, THEY WERE DESCRIBED TO BE A PARTICULAR CORPORATE FORM TO DOMINATE GLOBAL PRODUCTION AND EXCHANGE (NEUBAUER,2014). CAROLL (2003) TERMED THE EMERGENCE OF INTERNATIONAL, MULTINATIONAL, GLOBAL, AND TRANSNATIONAL COMPANIES READ THIS ARTICLE ABOUT THE MARKET INTEGRATION. AFTER READING IT, NARRATE A SHORT HISTORY OF GLOBAL MARKET INTEGRATION IN THE TWNTIETH CENTURY BASED ON YOUR UNDERSTANDING
ARTICLE/HISTORY OF GLOBAL MARKET
INTEGRATION
- GLOBAL MARKET INTEGRATION DID NOT
HAPPEN OVERNIGHT. IT WAS THE RESULT
OF THE ESTABLISHMENT OF A GLOBAL
ECONOMY THAT INVOLVED THE
HOMOGENIZATION OF TRADE AND
COMMERCE. PRIOR TO THE TRENDS IN
GLOBALIZATION OF THE 20TH CENTURY,
INTERNATIONAL TRADE AND EXCHANGE OF
GOODS AND SERVICES WERE ALREADY
PRACTICED. HARVEY (1990) SEES THAT CITY
AND COUNTRIES WERE ABLE TO EXTEND
THEIR REACH BEYOND BORDERS AND
PATTERNS OF TRADE AND TECHNOLOGY
BECAUSE OF DEVELOPMENTS IN SHIPPING
AND NAVIGATION.
THIS WAS OBSERVABLE IN THE
DEVELOPMENT OF MARITIME TRANSPORT
THROUGHOUT HISTORY. COLONIALISM AND
IMPERIALISM ROSE AS THE NEW WAYS OF
PUTTING ORDER TO THE ECONOMIC
INTERRELATIONSHIPS AMONG COUNTRIES.
EQUITY, CORPORATE OWNERSHIP,
MANAGEMENT SUBSIDIARIES, AND
CENTRAL HEADQUARTERS WHICH SUPPLY
AND DISTRIBUTE GOODS AND SERVICES
WERE ESTABLISHED THROUGH
COLONIALISM. THE SPANISH GOVERNMENT
IN THE 1960S, FOR INSTANCE MADE USE OF
ITS COLONIES LIKE THE PHILIPPINES AND
MEXICO AS SUPPLIERS OF IT RESOURCES
FOR TRADE.
THE INTEGRATION OF THE GLOBAL
MARKET STARTED WHEN BIG AMERICAN
CORPORATIONS BEGAN TO EMERGE AFTER
THE SECOND WORLD WAR WITH THE RISE
OF NEW CONGLOMERATES. INTERNATIONAL
TELEPHONE AND TELEGRAPH BOUGHT AVIS
RENT-A-CAR, CONTINENTAL BANKING,
SHERATON HOTELS, AND HARTFORD FIRE
INSURANCE (AMERICAN HISTORY, 2018).
LATER, JAPAN AND EUROPE FOLLOWED
SUIT. JAPANESE GLOBA AUTOMOBILE
CORPORATIONS LIKE TOYOTA, NISSAN, AND
ISUZU TOOK OFF AFTER THE GIANT
AMERICAN COMPANIES FLOURISHED.
THESE COMPANIES PROSPERED AS THE
PRIMARY AND GLOBAL MAKERS OF TRUCKS
FOR JAPANESE MILITARY (DOWER, 1992).
RENAULT AUTOMOBILES, A
FRENCH MULTINATIONAL AUTOMOBILE
MANUFACTURER, WAS ALSO USED TO HELP
IN THE MILITARY POSTWAR OPERATIONS.
THE RISE OF AMERICAN, JAPANESE, AND
EUROPEAN GLOBAL CORPORATIONS PAVED
THE WAY FOR THE FURTHER DEVELOPMENT
OF INTERNATIONAL TRADE. IWAN (2012)
IDENTIFIES THE DIFFERENCES AMONG
INTERNATIONAL, MULTINATIONAL,
TRANSNATIONAL, AND GLOBAL COMPANIES.
INTERNATIONAL COMPANIES ARE
IMPORTERS AND EXPORTERS WITH NO
INVESTMENTS OUTSIDE THEIR HOME
COUNTRIES.
MULTINATIONAL COMPANIES (MNCS)
HAVE INVESTMENTS IN OTHER COUNTRIES,
BUT DO NOT HAVE COORDINATED PRODUCT
OFFERING IN EACH COUNTRY. THEY ARE
MORE FOCUSED ON ADAPTING THEIR
PRODUCTS AND SERVICES TO EACH
INDIVIDUAL LOCAL MARKET.
- GLOBAL COMPANIES HAVE INVESTMENTS
AND ARE PRESENT IN MANY COUNTRIES.
THEY TYPICALLY MARKET THEIR PRODUCTS
AND SERVICES TO EACH INDIVIDUAL LOCAL
MARKET.
- TRANSNATIONAL COMPANIES (TNCS) ARE
MORE COMPLEX ORGANIZATIONS THAT
HAVE INVESTMENTS IN FOREIGN
OPERATIONS, HAVE A CENTRAL CORPORATE
FACILITY BUT GIVE DECISION-MAKING,
ESEARCH AND DEVELOPMENT, AND
MARKETING POWERS TO EACH INDIVIDUAL
FOREIGN MARKET.
* AMERICAN CORPORATIONS OPERATING
INTERNATIONALLY WERE AT A_ GREAT
ADVANTAGE AFTER THE WAR FOR THEY
HAD NO COMPETITION. THEY HAD THE
CAPACITY TO PRODUCE, ORGANIZE AND
DISTRIBUTE PRODUCTS BECAUSE AMERICA
WAS NOT DEVASTATED BY THE
WAR. LITERATURES OFFICIALLY TRACED
THE START OF THE CONTEMPORARY
MARKET INTEGRATION FROM THE RETURN
OF THE JAPANESE AND EUROPEAN
CORPORATIONS TO THE GLOBAL MARKET. IT
WAS ACKNOWLEDGED IN 1974 THAT THE
MAJOR GLOBAL ECONOMIC ACTORS WERE
MNCS. COLLECTIVELY, THEY WERE
DESCRIBED TO BE A PARTICULAR
CORPORATE FORM TO DOMINATE GLOBAL
PRODUCTION AND EXCHANGE
(NEUBAUER,2014). CAROLL (2003) TERMED
THE EMERGENCE OF INTERNATIONAL,
MULTINATIONAL, GLOBAL, AND
TRANSNATIONAL COMPANIES
READ THIS ARTICLE ABOUT THE MARKET INTEGRATION.
AFTER READING IT, NARRATE A SHORT HISTORY OF GLOBAL MARKET INTEGRATION IN THE TWNTIETH CENTURY BASED ON YOUR UNDERSTANDING
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