GROUP 4

ACTIVITY 2
GLOBAL MARKET INTERGRATION
WHAT IS THE HISTORY OF GLOBAL MARKET
INTEGRATION IN THE 20TH CENTURY

A hundred years ago, the international economy was entering the 20th
century with the freest flow of goods, services and capital in human
history. The previous century had witnessed expansion of global output
and trade, and rising living standards in Europe and North America at a
pace never before seen in human history.
The First World War, however, led to an abrupt reversal in the degree of
globalization. As transport routes were disrupted and countries
experienced different degrees of inflation in response to the differential
strains of their wartime expenditures, the earlier integration of the
international economy was largely reversed. At the end of that decade,
markets were not as integrated as they had been prewar
Since then, of course, there has been an unprecedented revival and
intensification of global integration, supported by technical change, and
by international economic policies resulting from multilateral cooperation
As the depression bit, countries increased their tariff duties to keep
foreign products out of their markets in order to help their own
manufacturers and farmers. In 1932 even Britain, with its deep
commitment to free trade, was forced to turn to protectionism and
surrender the free trade ideal. Free trade and open markets were
unfortunate casualties of the Great Depression, and in fact their
breakdown contributed to the slump's prolongation.
 IDENTIFY THE ATTRIBUTES OF GLOBAL
CORPORATIONS?

1. Very high assets and turnover

2. Network of branches
3. Control
4. Continued growth
5. Sophisticated technology
 IDENTIFY THE ATTRIBUTES OF GLOBAL
CORPORATIONS?

6. Right skills
7. Forceful marketing and advertising
8. Good quality products