Sovereignty, Globalization & Democracy - Essay Example

However, since globalization "() can be described as a process by which the people of the world are unified into a single society and function together"3, globalization might be considered a hinder to exercising democracy principles for some nations, since this practice differs from one state to the other based on differences of cultures, laws, and regulations. Global management can be directly affected by such factors. A reason for which any organization considering an international expansion must first run a PEST (political, economic, social and technological) research of the market in which they intend to operate in order to be able to restructure their managerial processes and procedures in order to fit in the new environment they are entering.

The relationship between public policy, trade regimes, global trading, and global economy can be illustrated as follows: Public policy and Trade Regimes are intertwined. Together, they directly influence Global trade, which eventually affects the global economy.