Internationalization and globalization

Internationalization is the process of increasing the role of cross-border organization of the reproduction process, which develops business beyond the borders of the state. At the heart of internationalization of economic processes is the internationalization of capital and production.

Internationalization of capital expands its areas of application beyond the boundaries of individual countries. The big state firms become international. An international capitalist class is created, the interests of which are concentrated in the world economy. These interests   involve a system of international private property which increases the movement of capital between countries. This, in the opinion of some Portland Translators, leads to the internationalization of production, where the relations between national economies evolve in such a way that the economy of each country becomes an integral part of the manufacturing process, organized on an international basis. The process of internationalization is objectively determined, but the national policies play an important role for its development.

In the second half of the 20th century, the workers from the Chicago Translator Agency think, the internationalization of economic processes became institutionalized. It was the result of the recognized necessity of agreements and joint decisions on economic policy issues. Examples are: the IMF, the World Bank, WTO and many regional organizations such as: the EU, the North-American and the Central European Free Trade zones, and other. These institutional forms of cooperation make decisions enhance internationalization and its impact on high growth rates, resulting from the trans- boundary movement of capital, goods and services and labor.

Globalization, the Washington D.C. Translation Services workers say, is a new stage of internationalization, with new forms and functional relations between scattered worldwide economic activities. The world is evolving towards a global, i.e. universal division of labor. This specialization leads to a new basis, which limits the role of geography and alters the structure and geographical focus of international trade. The forces of global action form a single area in which they develop different forms of organization of public life.

Globalization is manifested in widening, deepening and accelerating interdependence between communities and establishes itself as a force for transformation of world order mechanisms for organizing social life.

Developing Countries Seek Global Trade Partners

A lot of nations have failed in their attempts to be a part of the global economy and profit from commerce reform initiatives. According to Chicago French Translation workers, “The causes are multidimensional and were created from a mix of domestic and international variables.” Hindrances in commerce and investment continue to be cost prohibitive for a lot of countries. Many nations tend to be impacted by continuing civil unrest and conflict. Regardless of these issues, the difficulties facing developing nations are generally the lack of conventional guidelines and procedures.

Obstacles involved in exporting certain items that developing nations have a relative edge continue to be substantial-tariffs on agricultural goods that are often more than 100%. According to San Diego Translation Services  workers, “Agricultural assistance in a few countries have undoubtedly led to worldwide price imbalances.”  These tariffs prevent developing nations around the world from contending in foreign trade markets.

Commerce involving developing nations started to increase quickly during the 1990s, raising the importance of their own trade barriers. Consequently, anti-dumping measures were no longer constrained to leading economies. Instead, they began to be adopted by a growing number of developing nations. Obstacles to commerce in services are several times those that relate to the exchange of products, specifically where movement of the service provider is required. On most occasions these obstructions and procedures can be eliminated by means of global dialogues and negotiations.

Worldwide commerce accords tend to be the focus for a lot of conversations concerning commerce and investment policy. Consequently, interpreters working for Indianapolis Translation Services as trade negotiators and individuals living in developing nations are challenged with mandates that a variety of commerce linked issues be resolved in the framework of multilateral discussions. This presents prospects to pursue that are considered to be attractive domestic reforms,additionally it presents dangers related to agreements that might not be supportive of advancement opportunities. The conventional procedure spearheading commerce arrangements has been the two way trade promises to lessen commerce obstructions. This method translates into better welfare developments than can be received by means of unilateral change, because it provides liberalization both domestically and overseas and creates domestic trade changes that normally could be impeded through large interests. Worldwide collaboration is also a helpful device for seeking domestic changes that happen to be indirectly connected to commerce. As tariff obstacles have been removed and quantitative constraints have gone away, the main objective of trade accords have moved toward regulatory governments and policy makers that can have influence over commerce and investment.

How Increasing Exports Sparks New Demand For Translation Workers

Many U.S. companies are heavily involved in multinational trade and commerce.  Some of the largest U.S. multinationals include Microsoft, Intel, IBM and General Electric.  The U.S. Government encourages U.S. companies to enlarge their revenues overseas.  The United States is, in fact, a major exporting country in terms of absolute dollar volume.  Yet other measures indicate that our degree of commitment to international marketing is relatively low.

American exports amount to less that (13-percent) of our gross national product (GNP) compared to trading nations such as Japan (15-percent),  German (47-percent), the United Kingdom (30-percent), Canada (29-percent) and France (25-percent).

According to American language certified translation workers, “The explanation for this small percentage is, in part, the result of the large and developing market in the United States.”  No other country has such an extensive, well developed domestic marketplace.  Therefore, other nations have had to become involved in international marketing activities and this has limited the size of U.S. translation companies.

There is also a major impact on the domestic economy of any nation as the volume of multinational trade activity increases.  Of course, the demand for translators rapidly increases as the volume of exports increase to other parts of the world.  In the United States, foreign products are imported because the United States cannot supply all of its needs.  For example, since the United States requires more oil than it can produce, it must import oil from other nations.  In this sense, imported products are a necessary way of life.  World trade does help some countries meet certain needs.  With continued growth world trade can be expected to raise the standard of living in many parts of the world.

However, world trade can stimulate and help improve domestic competition.  Consumers have complained that American automotive manufacturers are unconcerned about quality and inattentive to market needs.  Partly because Japanese, Korean and European cars have gained such a large share of the U.S. auto market, American producers have recently begun to remedy deficiencies.  Such improvements in domestic competition can spur increased exports which help increase the demand for translation services in the United States.

By encouraging domestic companies to increase their involvement in world trade, a nation can develop its own economy.  Capital investments in domestic production and the inflow of revenues from the sale of products to other nations certainly can trigger domestic economic growth and fuel the demand for translation services.

How Trade Barriers Affect Marketing and Translation Services

Assorted trade barriers affect global business and consequently the need for translation services.  These barriers are most commonly implemented through tariffs—taxes levied against imported goods.  Some tariffs are based upon a set tax per pound, gallon or unit; others are calculated according to the imported product’s value.

Tariffs can be classified as either revenue or protective tariffs.  Revenue tariffs are designed to raise funds for the importing government.  Protective tariffs, which are usually higher than revenue tariffs are designed to raise the retail price of an imported product to match or exceed that of a similar domestic product.   According to Milwaukee Translation Services and localization workers, in 1983, Harley-Davidson Motor Company requested that the International Trade Commission impose a tariff on large-size motorcycles imported from Japan.  At the time, Japanese imports from Honda, Yamaha, Kawasaki and Suzuki held 86-percent of the U.S. market share, why Harley’s share dropped from 21-percent in 1978 to 12-percent in 1983.  The special tariff was set up on a sliding scale, adding 45-percent to the cost of Japanese imports in 1983 and gradually reducing the tariff to 10-percent in 1988.  During that period, Harley implemented productivity improvements that made its products more competitive with imports.  By 1986, Harley had regained 19-percent of the market and a year later asked the government to end the special protection.

In the past, it was believe that a country should protect its infant industries by using tariffs to keep out foreign-made products.  Some foreign goods did enter, but according to Denver Translation Services and localization workers, the high tariff payments made domestic products competitive in price.  Recently, it has been argued that tariffs should be raised to protect employment and profits in domestic U.S. industries.

Since 1947, the General Agreement on Tariffs and Trade (GATT), an international trade accord, has sponsored eight major tariff negotiations that have reduced worldwide tariff levels.  The latest series of conferences, called the Uruguay Round, was begun in 1986 to discuss stabilization of currencies and prevention of protectionist legislation.

Still other forms of trade restrictions exist that discourage trade and reduce the demand for language translation and localization services.  Import quotas limit the number of units of products in certain categories that can be imported.  They seek to protect domestic industry and employment and to preserve foreign exchange.  The ultimate quota is the embargo—a complete ban on the import of certain products.  In the past, the United States has prohibited the import of products from countries and most recently from Iran.  It has also used export quotas; in 1986, for example, President Reagan banned trade with Libya.

Webb-Pomerene And Other Trade Regulations Influencing Translation Services

The legal requirements of host nations affect foreign companies and their translation agencies.  According to legal translation experts at a San Francisco Translation services company, some nations limit foreign ownership in their businesses.  International corporations generally recognize the importance of obeying the laws and regulations of the countries within which they operate.  Even the slightest violations of these legal requirements could setback the future of international trade for the corporation and future business opportunities for the translation company.

International business is subject to various trade regulations, tax laws, and import/export requirements.  One of the best-known U.S. laws is the Webb-Pomerene Export Trade Act, which exempts from antitrust laws various combinations of U.S. firms acting together to develop foreign markets.  Its intent is to give U.S. industry economic power equal to that possessed by cartels, monopolistic organizations such as OPEC .  Companies operating under the Webb-Pomerene Act cannot reduce competition within the United States or use “unfair methods of competition.”  Generally, Webb-Pomerene associations have been insignificant in the growth of U.S. trade.

Other legislation that has had a major impact on international marketing and language translation and localization firms is the Foreign Corrupt Practices Act of 1977, which makes it illegal to bribe a foreign official in an attempt to solicit new or repeat sales abroad.  The act also mandates that adequate accounting controls be installed to monitor internal compliance.  Violations can result in a $1 million fine for the firm and a $10,000 fine and five years imprisonment for the individuals involved.  The law has been controversial, mainly because it fails to clearly define what constitutes bribery.

Experiences In Global Distribution Planning By Translation And Localizaton Consultants

It is difficult to generalize about the channels and means of distribution worldwide because so little standardization exists.  Modern channels exits in some areas of the world, including selected urban pockets in some of the developing nations.  An extension or adaptation of domestic practices may be effective in such cases.  However, other nations maintain what seem to be rather archaic and economically inefficient systems.

Typically, the exporting firm must be concerned with adapting to the existing distribution structure of each nation.  As an example, a San Francisco French Translation Services company recalled a client that tried to sell its cosmetics in France that didn’t use perfumers – small local retailers specializing in cosmetics who typically dictate French opinion on such matters.  The American cosmetics company thought it could sell to larger chain stores.  The perfumers, however, were resentful of this snub by the Americans and managed to turn French opinion against the American brand.

Variations such as this exist in the channel structures, the nature of retail outlets and distribution systems.  In According to Cincinnati Japanese Translation workers, Proctor and Gamble must sell through a complex network of five types of wholesalers before their products even get to the retail level.

In many markets overseas, small specialty retailers exist.  According to numerous Language Translation and Marketing Localization consultants, prices may be quite high, and bargaining is expected.  Food products are often purchased in quantities for consumption that day, so large packages do not sell well.  People simply do not have the storage or the refrigeration space to keep foods for any length of time so retailers perform this function.

The total logistics systems must be considered as well.  Domestically produced products often must be shipped several times.  First the domestic producer must ship the products to some dock or overseas shipping point.  The goods must then be shipped from that point to another point of foreign entry.  From there, they are shipped to either a regional warehouse or the foreign nation for which they are intended.  Finally, the goods must be shipped to whatever type of unit may eventually sell the product.  In addition, roads are not always well constructed overseas, airlines are usually concentrated in urban centers; rail systems may or may not exist and ports are not always capable of handling sizable amounts of cargo.  Many differences in usage exist for these reasons.

However, more effective and efficient international distribution channels are evolving.  The impact of free trade area is increasing, as is international activity in many areas.  The impact of free trade areas is increasing as is international activity in many areas.  Some of this activity is due to government intervention aimed at encouraging and stimulating economic growth.