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The Laws of Globalization and Business Applications

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  • Ghemawat,Pankaj

Abstract

The Laws of Globalization and Business Applications employs a variety of empirical methodologies to establish two broad regularities that apply to international activity at the firm, industry, and country levels - the law of semiglobalization and the law of distance - and explores some of their implications for business. Part I presents evidence in support of the law of semiglobalization at the country and the business levels historically and up to the present. Part II performs an analogous function regarding the second law of globalization, showing that the gravity models that international economists have used to analyze merchandise trade between countries also apply to other types of international interactions - and at the industry and firm levels as well. Part III applies these laws to various challenges and opportunities that distance along various dimensions presents to multinational firms. A free online appendix provides additional data, analysis, and documentation to support research applications.

Suggested Citation

  • Ghemawat,Pankaj, 2016. "The Laws of Globalization and Business Applications," Cambridge Books, Cambridge University Press, number 9781316615027.
    • Handle: RePEc:cup:cbooks:9781316615027
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    Citations

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    Cited by:

    1. Marina Papanastassiou & Robert Pearce & Antonello Zanfei, 2020. "Changing perspectives on the internationalization of R&D and innovation by multinational enterprises: A review of the literature," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(4), pages 623-664, June.
    2. Liang Chen & Noman Shaheer & Jingtao Yi & Sali Li, 2019. "The international penetration of ibusiness firms: Network effects, liabilities of outsidership and country clout," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 50(2), pages 172-192, March.
    3. Davide Castellani & Enzo Rullani & Antonello Zanfei, 2017. "Districts, multinationals and global/digital networks," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 44(4), pages 429-447, December.
    4. Chang, Sungyong & Park, Sanghyun, 2021. "Borders of Network Effects and Early Internationalization as a Latecomer Strategy," SocArXiv d74he, Center for Open Science.
    5. Alexandre Bohas & Michael J. Morley & Aseem Kinra, 2021. "Perlmutter revisited: Revealing the anomic mindset," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 52(9), pages 1695-1723, December.
    6. van Hoorn, André, 2020. "Cross-national distance as an explanatory variable in international management: Fundamental challenge and solution," Journal of International Management, Elsevier, vol. 26(3).
    7. Davide Castellani, 2017. "The Changing Geography of Innovation and the Role of Multinational Enterprises," John H Dunning Centre for International Business Discussion Papers jhd-dp2017-02, Henley Business School, University of Reading.
    8. Shameen Prashantham & Mariya Eranova & Carole Couper, 2018. "Globalization, entrepreneurship and paradox thinking," Asia Pacific Journal of Management, Springer, vol. 35(1), pages 1-9, March.

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