how does globalization increase Int'l Trade ....?

Question

how does globalization increase Int'l Trade,Foreign invesment, World Wide Organizaiton (i.e. WTO),
outsourcing&offshooring?

Answer 1

Globalization is the increasing amount of interdependence throughout the world. With the internet, faster and better ways to deliver goods and services and an increasing service industry, international trade is increasing. Kids in America can get tutored on line from Indian tutors (outsourcing). When you call a help line, you never know which accent the person on the other line will have (outsourcing). Countries will locate factories and the such to countries where labor is cheap and labor laws are favorable (offshoring)

Also, the internet and increased awareness about opportunities in other countries and in our own country, increases foriegn investment here and abroad. I can "track" my investment on line and pull out with the click of a button.

This globalization has lead to increased international organizations like the WTO which will have greater role to play(to create international policies) as we become more and more global.

Answer 2

Imagine you are the maker of something or provide some service theat people are paying for. Would you kill off your market by supporting a war (or any violence that gets in the way of business) in their region? One country with a war going on may appreciate a neighboring country helping out - good will is good for buisness.