How Distances Still Matter in an Age of Globalization

Knowledge Center


Next Topic

Globalization > Best Practices > How Distances Still Matter in an Age of Globalization

How Distances Still Matter in an Age of Globalization
Anneke Zwart, Student (University), Netherlands, Member
Although globalization has increased global interconnectedness and interdependence of countries, and even if distances seem to vanish, in doing global business there are 4 types of distances that certainly still matter. Ghemawat clearly outlines these four types of distances:
  1. Cultural Distance: This is about the way people interact with each other and with business and institutions. Cultural attributes can be very apparent such as religions, languages, races or more subtle such as norms and values deeply rooted in countries. All of these factors can greatly influence trade, because cultural distances that influence personal preferences affect the choice between substitute products. Minimizing cultural distance facilitates the trade process.
  2. Political/Administrative Distance: Trade between countries is strongly influenced by both historical and political associations. One example is that of colonizers and its colonies: if this link exist, then trade is usually h (...) Read more? Sign up for free

Please register now to read all responses and to join this discussion yourself. It's easy and 100% free.

Sign up for free     Log in

  Globalization is Nothing New
Jaap de Jonge, Editor, Netherlands

Special Interest Group Leader

Interested? Sign up for free.

🔥Globalization After COVID-19: In-house Manufacturing or Outsourcing?
Mapping Out your Strategy to Win in the Frontier Economies
One World, Two Management Systems
Best Practices
🥇7 Myths about Business Globalization
🥈Globalisation of Labour
🥉Disadvantages and Negative Consequences of Globalization. CONs
Global Tax on Wealth (Piketty)
Is Globalization Ethical?
Advantages and Benefits of Globalization. PROs
Cultural Globalization
Globalization Forces
Is Globalization an Autonomous Process?
What Leadership Qualities are Required in Global Firms?
History of Globalization?
Globalization and Differentiation
Globalization in Higher Education
Research on Global Marketing
Barriers to Globalization. Obstacles
Local R&D Support versus Global Valorization
What is Globalisation? Definition and Types
Globalisation Changes the Rules of the Game
Succesful International Business
Currencies and Globalization
Does Economic Progress Lead to Social Progress?
How Distances Still Matter in an Age of Globalization
Globalization and Integration

Knowledge Center


Next Topic

About 12manage | Advertising | Link to us / Cite us | Privacy | Suggestions | Terms of Service
2020 12manage - The Executive Fast Track. V15.5 - Last updated: 26-5-2020. All names of their owners.