Englisch - Fakultät für Wirtschaftswissenschaften - Universität ...

CIE: Center for International Economics
Globalization and technical change are
the driving forces behind growth and
competitiveness both at firm and country
level. During the last three decades,
asymmetric global growth has led to
the appearance of exceptionally large
economies such as China and India,
and has given rise to a number of very
successful emerging economies. These
are major competitors and enormous
markets alike. A large share of the
world’s industrial production has shifted
from traditional industrialized countries
in Europe and North America to
these emerging countries. This shift in
competitive advantages has changed
the way we live and work.
Understanding the impacts of globalization
on the real economy is just as
important as understanding the inner
workings of the world’s financial and
stock markets, which are very closely
linked. In the last decade alone, major
currency and financial crises have
affected industrializing countries from
East Asia to Latin America. Countries
in Europe have given up their national
currencies in favour of one common
currency.
www.c-i-e.org
Multinational enterprises, consumers
and governments drive gains from trade
and investment, economic efficiency
and incentive structures, and the pro -
cess of globalization itself. A primary
advantage of a multinational enterprise,
as opposed to a national corporation,
lies in its ability to transfer real
and financial resources through a global
network of other multinational corporations,
international organizations,
and governments. Strategic research
analysis provides the framework for
understanding how resources ranging
from information and influence to the
use of advanced technology and capital
in cooperative ventures and financing
schemes affect the globalization
process.
The importance of strategic alliance
building for economic viability in global
markets is a recurrent theme of analysis.
Thanks to the success that multinational
enterprises have in sharing information
and maximizing influence, they
have become the primary strategic
vehicles for the globalization of production,
trade, and management.
Businesses that want to succeed must
first understand the behavior of the
other organizations in their market.
They are part of networks involving
other players, including national gov-
ernments and international organizations
such as the IMF and the WTO, that
all act strategically. These games in
global markets display elements of
cooperation and strategic interaction,
both at the firm and at the government
level. Governments may compete for
international capital, while firms may
fight for market share. System competition
may lead to an upgrade or downgrade
in global welfare.
The Center’s research activities also
focus on the multinational coordination
of corporate and governmental policies,
network development, the introduction
of economic rules, and efficient mechanism
design of markets and decisionmaking
processes.
Analyzing data to decide between competing
theories and hypotheses, to predict
the effects of political changes,
and to forecast economic development
is significant for economists working
in academia as well as in the private
and public sectors. The Center’s profile
therefore also extends to cover research
in applied econometrics concerning
financial time series models, labor
markets, the empirical economics of
education, and conflict analysis.
CIE researchers conduct joint research
projects with scholars all over the
world.
Faculty of Business Administration and Economics
CIE: Center for International Economics
25