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What Does ‘Global Economy’ Really Mean?

Global forces — political institutions eroding, global climate change, rapid technological advancement — are shaping our world and the way we interact on the world stage. According to the Chron, global forces are affecting every aspect of the goods businesses sell and the services they provide through raw material availability, labor supply, supply chain concerns, growing wages, government regulations and consumer demand.

Put another way, American businesses are being disrupted by global forces and they must adjust to survive.

Young business professionals seeking career advancement can get a leg up on the global business stage by preparing for management roles in international companies through the online MBA in International Business program at Pittsburg State University.

Changing Times

The world has been pushing toward globalization for years through a decrease in trade barriers and open borders — until recently. A growing backlash against these very policies has introduced much uncertainty on the world stage.

And it will have a huge effect on world trade. According to Chron:

  • Free movement across borders in the European Union, which made it easier to relocate for jobs, is becoming a thing of the past. The northern and southern borders of the United States are also tightening. Government attitudes are being shaped by international refugee crises that are uprooting millions of people seeking new homes. The changing attitude will affect the ebb and flow of permanent and seasonal workers, giving businesses that depend on them cause for concern.
  • Abandonment of the North American Free Trade Agreement is a direct backlash against increasing globalization, as the United States looks to improve its trading positions with Mexico and Canada. And the tariff war between China and the United States has cost billions of dollars in trade between the two countries. If your business depends on supplies, services or raw materials from China or Mexico, be ready for disruptions.
  • The rapid pace of technological change has led to complex networks of computers, cameras, monitors and sensors, and increased productivity and easier communication across the world. But with convenience comes concern. Computer breaches are common and can expose businesses to tremendous legal liabilities. And expertise in security is not always easy to find.

Challenges Will Only Grow

But the challenges don’t stop there. A natural disaster in Texas can send ripples across the globe through supply disruptions. A web of local, state, national and international regulations can prohibit a product deemed safe in one place from being sold in another, further complicating efficiencies of scale.

That’s why programs like the online MBA in International Business at Pittsburg State University are gaining traction. Through this advanced degree, you learn about globalization and its effects on economies around the world. The program also offers a broad base of business knowledge, analytical and management skills. In as few as 12 months, students gain a thorough understanding of international trade and finance as well as insights regarding the importance of emerging markets in a global economy.

Learn more about Pittsburg State University’s online MBA in International Business program.


Sources 

What Are Some Ways in which Global Forces Affect Business Today?

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