• KDI Journal of Economic Policy
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• v.35 no.4
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• pp.1-29
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• 2013

This paper examines the effect of trade liberalization or globalization, more broadly, on plants' growth as well as on "bi-polarization". To do so, we reviewed the possible theoretical mechanisms put forward by recent heterogeneous firm trade theories, and provided available micro-evidence from existing empirical studies on Korean manufacturing sector. Above all, the empirical evidence provided in this paper strongly suggests that globalization promoted growth of Korean manufacturing plants. Specifically, evidence suggests that exporting not only increases within-plant productivity but also promotes introduction of new products and dropping of old products. However, the empirical evidence also suggest that globalization has some downsides: widening productivity differences across plants and rising wage inequality between skilled and unskilled workers. Specifically, trade liberalization widens the initial productivity differences among plants through learning from export market participation as well as through interactions between exporting and R&D, both of which increase plants' productivity. We also show that there is only a small group of large and productive "superstar" plants engaged in both R&D and exporting activity, which can fully utilize the potential benefits from globalization. Finally, we also show evidence that trade liberalization interacts with innovation to increase the skilled-unskilled wage inequality.

• Korea Trade Review
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• v.42 no.6
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• pp.51-67
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• 2017

This study analyzes the relationship between globalization and income inequality. The empirical model is developed based on Kuznets' hypothesis of the inverse U curve. The effects of factor abundancy and globalization which is characterized by trade and FDI on income inequality are analyzed. 127 member countries of WTO are classified into 4 groups according to GNI. The period of analysis is 21 years from 1995 to 2015. Results show that 3 groups of countries excluding one group that is high income countries supports Kuznets' hypothesis which is the inverse U curve. Secondly, expansion of trade decreases income inequality of middle income countries but increases high and low income countries. Thirdly, FDI increases income inequality of middle and low income countries. Finally, the increase in capital abundancy lowers income inequality because the capital accumulation increases the productivity of labor.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.56
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• pp.101-120
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• 2012

Changes in the global business environment continue at an accelerated pace. The 21st century maybe remarked, perhaps, for its hot issues on globalization and diversity. Diversity may arise in terms of ethnic, gender, age and culture. Cultural diversity out of all stands out in front in modern times as more multinational companies operate internationally resulting more people to start living abroad and work with people from different cultures. In recent years, these multinational companies realized the important roles human resource management play in international trade since cultural diversity is very influential on their work performance. A well-managed human resources will ensure organizations' success to a great extent. This paper touches the field of cultural diversity and introduces human resource management of international trade as a way to handle diversity matters faced by international organizations.

• Journal of the Economic Geographical Society of Korea
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• v.3 no.1
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• pp.35-51
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• 2000

International trade flows have been determined by social, cultural and political environment around the world as well as economic elements. The environment of international trade has changed rapidly as the world has globalized. Significant changes have been generated in the international trade flows. This study investigates the influences of economic globalization on the international trade flows. The changes in international trade flows examined comprehensively by integrating trade with industrial locations, investment, and the various trade related environments. The focus laid on the integration of world economies, such as widening and intensifying international linkages in economic, political and social relation. Special concerns are laid on the impacts of Foreign Direct Investments (FDI) by Trans National Corporations (TNCs), which affect the supply-demand distributions of commodities by industrial relocations, and the expansion of intra-firm trade flows on the international trade flow patterns. The geographical characteristics of tile origins and destinations of FDI flows analyzed, since the spatial patterns of the intra-firm trade flows are determined by them. The FDI and intra-firm trade flow patterns have changed significantly over time.

• The Journal of Economics, Marketing and Management
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• v.11 no.5
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• pp.57-67
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• 2023

Purpose: An evaluation of Uzbekistan's steps towards competitiveness for FDI globally is presented in this paper. Specifically, the purpose of this paper is to analyze the case of Uzbekistan, and to determine the strategies that can be implemented to increase the competitiveness in attracting foreign investment. Research design, data and methodology: To investigate the FDI environment and identify effective strategies, Global RPM and QSPM analyses were conducted in addition to in-depth interviews with experts. In particular, this study uses the method of Global RPM analysis to make a comprehensive evaluation and analysis on globalization, rationality, and professionalism and morality dimensions of FDI in Uzbekistan. Results: According to the analysis, the conditions of political situation, financial stability, legal frameworks, as well as economic environment of the country play a significant role in bringing in FDIs from abroad. Moreover, based on the results, Uzbekistan scored lowest on globalization, indicating that the country has a low level of integration and openness to the global economy and society. Conclusions: Uzbekistan can boost its productive capacity and GDP growth with FDI, but it has to overcome many structural and logistical obstacles. Furthermore, adhering to the chosen strategies, policymakers can leverage FDI to stimulate economic growth, leading to the generation of new jobs and expanded opportunities in Uzbekistan.

• International Commerce and Information Review
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• v.8 no.4
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• pp.301-322
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• 2006

The change of the global environment, especially the development of the communication and transportation and the decrease of the trade barrier promotes the progress of globalization. Under this background, the globalization progress of Chinese electronic firms is also pushed forward, compared with the early firms, which is being quickly shortened. This study has some purposes. First, this tries to investigate the growth process of the Chinese electronics firms, by which reveals the progress of the global competition ability and the background of promoting their rapid globalization. Second, this study estimates and analyzes the implemented process of Haier's globalization strategy, which is the Chinese most representative global Firm. Finally, this article elaborates the globalization of Chinese firms and the apocalypse of the Korean firms and also shows the corresponding projects for them.

• Journal of Korea Trade
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• v.25 no.7
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• pp.41-55
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• 2021

Purpose - This paper empirically investigates the relationship between the Economic Complexity Index (ECI) and the level of development. Moreover, this research attempts to discover the determinants of ECI in the globalization wave. Design/methodology - Our empirical model considers the relationship between ECI and the level of development in middle- and high-income economies from 1995 to 2010 by using systemic qualitative analysis, including OLS, fixed-effects, and system GMM. Next, this research used OLS regression to find the determinants of ECI. In particular, we compared the effects of different factors on ECI in the different development stages. Findings - Our main findings can be summarized as follows: 1. If the ECI increases by 1, it could lead to an increase of about 30% in the level of development in middle- and high-income economies. 2. Human capital plays an important role in the development of and increase in ECI. 3. GVC participation and outflow FDI enhance an increase in ECI, in particular in middle-income economies. 4. The development of manufacturing industries is helpful to increase ECI; however, middle-income economies should pay more attention to their comparative advantage industries. 5. R&D has positive effects on the ECI. Originality/value - To the best of our knowledge, this is the first paper that uses systemic qualitative analysis to investigate the relationship between ECI and the level of development. The paper provides suggestions for policy makers to increase ECI under the current wave of globalization, in particular in middle-income economies.

• Archives of design research
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• v.19 no.3 s.65
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• pp.71-92
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• 2006

People have their own cultural backgrounds and experiences in terms of visual perceptional thinking so that they could misunderstand the cultural symbols, trademarks, Brand Identities, and trade characters, especially, animal trademarks. Sometimes Easterners and Westerners seem to not comprehend the different meanings of the cultural symbols. The signs of twelve Chinese zodiac animals are the typical symbol of the Asian mythology. What I wanted to focus on emphasizing the different views and perspective of an animal trademark is according to the Chinese Zodiac between Eastern and Western cultures. Generally, multiple symbolisms are difficult to comprehend, because they are created by individual ideas and incorporate several mythologies and histories. How do Westerners interpret the implied meaning of Eastern animals in general? How are they going to understand the Eastern animal logos or marks accurately? How can we solve the problem to make people understand their different meanings? There were some confusing pictorial images in the area of the design field when a designer creates an animal mark for globalization and localization. Creating of hybrid symbol is the best way to break the communication barriers with people all around the world.

• International Commerce and Information Review
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• v.16 no.4
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• pp.151-167
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• 2014

The aim of this study is to examine the relationship between globalization and income distribution in Korea. In order to identify the key determinants, the study investigates the effects of trade openness, inward and outward FDI flows, and per capita GDP on income distribution. The study uses methodology of unit root and co-integration technique as well as an error correction model over 1992 to 2011 by using annual data. The empirical findings showed that income inequality is reduced as trade openness and the per capita GDP increase. Meanwhile, income inequality is deteriorated as inward and outward FDI flows increased. In addition, the study revealed that the negative effect of inward FDI flows on income inequality is greater than that of outward FDI flows. This result supports the Feenstra and Hanson (1997) hypothesis. Overall the globalization process can be beneficial for the Korean economy, but its nature should be closely monitored regarding income distribution.

• East Asian Economic Review
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• v.22 no.3
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• pp.275-306
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• 2018

Amid a general rise in protectionism and a trade war between the world's two largest economies, this paper analyzes changes in gains from trade for the world over a decade marked by rapid global economic integration preceding the global financial crisis of 2007-08. It employs state-of-the-art quantitative trade models based on the gravity equation to estimate autarky gains from trade, as well as a recently introduced ANOVA-type structural estimation of the gravity equation to obtain trade costs free of residual trade cost bias. Between 1995 and 2006, the cost of moving to autarky increased by about 45% on average. A decomposition exercise suggests most of the increase in autarky gains from trade on average was due to increases in import shares in total spending, with a limited role for reallocations of spending across sectors with varied trade elasticities. Changes in trade costs between 1995 and 2006 are found to have increased autarky gains from trade, as measured in 2006, by up to 100%.