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Global Market Trends
Abstract
This chapter provides a discussion of competitiveness, globalization, and trade, including their recent transformations. The global market has witnessed several changes including reductions in trade costs, increased global trade, growth of industrialization in developing countries, and a complete change in the nature of goods traded. The drivers of global market changes include shifts in production and consumption patterns, technological innovations, new ways of conducting business, and policy changes. Many governments have lately opened their economies to international trade, enabling them to reap several benefits. Openness to trade is believed to have supported the growth of many countries and has greatly contributed to the success of most Asian countries, especially China and India. Although the global market offers numerous benefits, many developing countries still face serous limitations to fully access it; they are constrained by factors such as quality inferiority, distance, quantitative restrictions, poor technical skills, bad governance, and border controls.
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