Competence Allocation in International Competition Policy
Chapter 2: Globalisation of Competition and Business Structures
1. THE INTERNATIONALISATION OF BUSINESS ACTIVITY AND COMPETITIVE MARKETS In the context of this book, only the economic dimension of the otherwise (ostensibly) ubiquitous process commonly called ‘globalisation’ is of interest. Speaking very generally, economic globalisation means the integration of formerly separated markets across national borders. Thus, the emergence of international and global markets is addressed. Although it does not represent an inevitable ingredient of globalisation as such, more often than not an increasing speed of the globalisation of markets and economic activities is also connected. Globalisation in terms of worldwide economic integration is not a unique phenomenon of the last few decades. There have been eras of economic internationalisation and globalisation before, for instance through the period of the Gold Standard from the 1880s until the outbreak of the First World War. However, what is in the focus of this book is the process of international economic integration in the last two or three decades. It seems to be beyond controversy that an internationalisation of economic activities has occurred in these times. Therefore, or nonetheless, it suffices to point towards the development of few particularly important economic figures, namely the development of foreign direct investment (FDI), which include both greenfield investments and mergers and acquisitions, and the development of trade flows (here: exports of goods), compared to the development of overall economic activity (world gross domestic product (WGDP)) (Klodt 2005: 9–15). Table 2.1 shows that international trade and, in particular, FDI have grown at higher rates than the...
You are not authenticated to view the full text of this chapter or article.