BAR0806-15 GLOBAL

Types of shifts caused by globalization.

1. Output shifts. If trend continues, China will surpass USA as world largest economy.
2. Trade shifts. USA is a net importer. China is the number 1 exporter.
3. Direct investment shifts. FDI moving between countries.
4. Multinational entity shifts. For Fortune 500 companies, in 2015, 25% were headquartered in USA, compared with 2000, 36% were located in USA.