Operations Management

SUMMARY: Globalization refers to the process of integrating the economy of a country with that of the rest of the world. The pace of globalization has increased due to changing customer preferences, the opening up of various national economies, the setting up of international trade treaties, saturated local markets and so on.

There are several sources of advantage for global competition: comparative advantage, economies of scale, and proprietary product technology. Globalization is a complex process in which organizations have to deal with different cultures, business environments, government regulations, etc. The various types of impediments to the process of globalization are economic, managerial and institutional impediments.