Globalization has significantly affected the business environment such that the level of interconnectedness or interdependence between different markets has sharply risen. They also believe that the effect globalization has gone beyond the business aspect, since the dramatic increase in international trade and finance has helped establish more profound cultural exchanges that in turn increased the impact of global issues at the local scale (Waters 2001).
Historically, globalization resulted in the faster rate of increase in international trade and flow of capital including foreign direct investment in a country. Furthermore, there is the notable increase in the market share attributed to corporations that have established global presence ("Computer Desktop Encyclopedia" 2005). As globalization progressed, experts also observed that living conditions, as gauged by broader indicators of well-being, have been enhanced in most countries ("Globalization: Threat or Opportunity" 2000).