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Globalization is the “shift toward a more integrated and interdependent world economy” (Hill, 2004, P6). In simpler terms, globalization is a business expansion in the different countries (Department of Commerce, 2007). Wal-Mart is an example of a business’s global expansion. Wal-Mart has successfully expanded its businesses in 4 different areas such as Europe, Canada, South America, and Asia.
International trade theories play a major role in globalization. Free trade is an example of the international trade theory. Free trade is “where a government does not attempt to influence through quotas or duties what its citizens can buy from another country or what they can produce and sell to another country” (Hill, 2004, P144)...
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