JOLO BALANDO BALDOSTAMO BSIT-First Year Major in Electrical

Learning Centered and Outcomes Based

Activity No. 5
“The Structures of Globalization”

Direction(s): Answer the following questions comprehensively.

1. Discuss the implications of the spread of capitalization in the

global economy.

• The increasing integration of global capital markets now makes it easier for
firms to access capital outside of their home countries. Firms access
international capital markets through a variety of means such as initial public
offerings (IPO), seasoned equity offerings (SEO), cross-listings, depository
receipts, special purpose acquisition companies (SPACS), shelf offerings,
private equity and other informal equity capital channels. Firms can also
access debt resources outside their market through bank loans, and foreign
bond issues. Finally, cross-border flows of venture capital (VC) continue to
increase rapidly. The objective of this Special Issue will be to explore the
challenges firms face in capital markets beyond their domestic boundaries, be
it equity, debt, or VC markets.
While IB research continues to evaluate the challenges facing firms in foreign
product markets, IB scholars have yet to adequately address the underlying
reasons why firms face challenges in foreign equity markets. These include
underpricing, higher underwriting and professional fees, higher listing fees,
audit fees (Bronson, Ghosh, and Hogan, 2009), and greater risk of lawsuits
(Bhattacharya, Galpin, and Haslem, 2007), and home bias on the part of
investors (French and Poterba, 1991). Further, research suggests the
existence of a "foreign firm discount" relative to host market firms (Frésard
and Salva, 2010).
Venture capital and private equity have truly become global phenomena and
take many forms such as cross-border investment, foreign acquisitions, VC
firms opening offices overseas, and influencing their portfolio firms to enter
and exit international stock exchanges. Foreign firms raise significantly more
debt than equity in the U.S. Indeed, the largest component of the
international capital market is the bond market.

2. Describe the outlook of the global economy in 2018.

• The economy during the year 2018 was at up high growth, because of the
opportunities that was brought by the capitalization along side with
globalization. In this year, the values of assets, bonds, shares, etc. also
increases, before it gradually slowed for the next two years.

3. Discuss the leaders of national economies (US, China, Japan,

Germany, France, Korea, Russia, etc.).

• It was said that the approach made by some leaders are somewhat
outdated, because mostly of the national economy are growing at slower
rates than they were five years ago. As to our generation these days, there
are various principles that are opposing one another that results to the conflict
of decision making made by the leaders. Courage, open-mindedness and
integrity are the propose leadership values for them to ease the conflict that
may arise
 Learning Centered and Outcomes Based
Activity No. 6
“The Structures of Globalization”

Direction(s): Write a 500 word essay on the topic “ Market Integration: The
Asian Perspective.” Provide your title.

“The Asian Perspective on Market Integration”

In a business perspective, Asia has long been a fascinating but disjointed mix of
small and large markets,but that is rapidly changing. They have created the
Association of South East Asian Nations, which is an association where Asian
countries encourage one another to prosper economically (ASEAN). It
allowsregional and international investors to grow their businesses. ASEAN needs
to maintain its momentum in the path of integration. The organization should
make trade connection among countries a prioritythrough effective trade
governance, which has grown in importance in the global trading system inrecent
years. Preferential or free trade agreements (PTAs or FTAs) are spreading
globally, including in Asia. Many Asian economies have been enlightened on free
trade negotiations with their trading partners, both within Asia and outside.
Through this we the countries in Asia are enable to interact too ther countries in
terms of their goods without sacrificing big expenses. Furthermore, Asia is a vast
continent with diversified physical traits, cultures, linguistics, politics, and
economic stability. The region includes some of the world's most competitive
economies, as well as large emerging ones which are fast becoming important
global players. At the same time, they co-exist with numerous smaller, poorer and
more vulnerable economies. That's why integrating a connection infinancial
aspects like investing to other countries can be a big help in terms of up bringing
their economic stability. Furthermore, Asia should not only be connected through
organizations, but also through real infrastructure that allows Asian countries to
link more. The physical flow of products and people necessitates physical
infrastructure. It also plays an important role in connecting various parts of the
Asian region and allowing them to reap the full benefits of economic integration.
To sum it up, the world trading system has changed fundamentally over the past
years that influence the Asian region to gain improvements. In the longer term,
better connectivity in Asian regional is vital interms of making trade rules and
global trade governance. Through united principles of making decisionsin our
country and also with the help of other Asian countries, huge improvements can
be achieved. The Asia along with ASEAN is working to become a common
market, which presents new opportunities in various South East Countries. Little
did we know that ASEAN is one of the most diverse, dynamic and complex
regions in the world, considering this, ASEAN has a huge competitive edge
among the other regions. In the year 2015, the Economic Community of ASEAN is
launched marking an important economic and political commitment to the region’s
shared and connected common market. It may be still a work in progress, but it
already has a solid headway towards promoting the movements of goods,
services, capital, skilled labor and communication in various part of the region. It
also achieved the free trade agreement with Australia and New Zealand as they
set a new high-water mark in the relationship. This brought the “once in a
generation” opportunity that this region offers. In line with this, domestic business
is eager to be part of ASEAN’s growth and its move to create a common market.
This agreement also increased the appeal of the ASEAN’s large, young workforce
and strategic location, which makes the region an attractive production base. By
this, the Asia or the ASEAN region shine all thought out the world. Making their
story vibrant on other regions, and follow their track of success on market
integration.
 Centered and Outcomes Based
Activity No. 7
“The Structures of Globalization”

Direction(s): Write a 500 word essay in the form of a position paper on the
issue on “The Global Interstate System” . Provide your title.

“The Global Interstate System”

One of the most prevalent conceptions is of an international society in which each

state has the characteristics of a person inside a community. It is a place made up
of states, linked groups, and individuals with diverse cultures, races, and social
classes who deal with a variety of concerns, particularly in the area of global
interstate integration. Although the goal of the global interstate system is to handle
global problems in each state, it has certain drawbacks. First, states are
considered unitary, and their activities are described in terms of the system's
structural properties. The interstate system's most notable aspect is that it is
anarchic, or devoid of laws; each state just follows its main leader. Furthermore, it
is believed that in an interstate system, the people follow the dominant authority.
Irrational acts can be taken by a leader who is stupid and exclusively makes
decisions for himself, resulting in hegemonic ruling. Adolf Hitler was an insane
leader who caused various conflicts throughout his period, and his fellow
countrymen suffered as a result. On the other hand, the integration of modern
world system is now in a global economy which is concerned with global political
system. It also includes all the cultural aspects and interaction among people in
different states. Wherein the global interstate system today integrated rules for
having systematic process in resolving such problems. Through this the system is
enable to help the states that needs immediate actions in their problems. To sum
it up, the arise of global interstate system can have a positive or negative effects
to a particular state if their leader is irrational. We can't deny that through global
interstate system, our problems in our own country can be resolved through the
help of other state. And the main goal of a particular state is to cater the needs of
their people and prevent any conflicts to other countries that can resulted to war.
The Global Interstate System or most commonly known as the International
System, is the whole system of human interactions. This system is structured
politically as an interstate system of competing and allying states or region around
the world. Also, it was said that interstate system is the political side of capitalism
and its survival is dependent on the operations of the institution which are
associated with the capital-accumulation process. It takes diplomacy and
international treaties to cultivate the most viable business
environments for global cooperation. International treaties shall form part of the
laws that govern citizens of members of the state. The countries are sovereign in
governance and law, but they make economic and legislative compromises for
mutual benefit with another sovereign jurisdiction. In line with this, they ought to
contribute peace and security by promoting international collaboration through
educational, scientific and cultural reforms in order to increase universal respect
for justice, the rule of law, and human rights along with fundamental freedom.
 Learning Centered and Outcomes Based
Activity No. 8
“The Structures of Globalization”

Direction(s): Read the lecture on Global Economy and answer the

following questions:

1. Write an assessment of the present state of the global economy.

• Due to the pandemic, it has caused the high and rising human costs
worldwide, and the necessary protection measures are severely impacting
economic activity. As a result, the global economy drops to financial crisis
again, but much worst that in 2008.

2. Discuss the outlook of the global economy in 2018.

• The steady expansion underway since mid-2016 continues, with global
growth for 2018-19 projected to remain at its 2017 level. At the same time,
however, the expansion has become less balanced and may have peaked in
some major economies. Downside risks to global growth have risen in the past
six months and the potential for upside surprises has receded. global growth is
projected to reach 3.9 percent in 2018 and 2019, in line with the forecast of the
April 2018 World Economic Outlook (WEO), but the expansion is becoming
less even, and risks to the outlook are mounting.
The global economic upswing that began around mid-2016 has become
broader and stronger. This new World Economic Outlook report projects that
advanced economies as a group will continue to expand above their potential
growth rates this year and next before decelerating, while growth in emerging
market and developing economies will rise before leveling off. For most
countries, current favorable growth rates will not last. Policymakers should
seize this opportunity to bolster growth, make it more durable, and equip their
governments better to counter the next downturn.
 Learning Centered and Outcomes Based
Activity No. 9
“The Structures of Globalization”

Direction(s): Read the lecture on “ Market Integration.”

1. Discuss your concept of “ Market Integration” .

• Market Integration are said to be integrated if assets of similar maturity
give the same the risk-adjusted returns in various markets. As it is a situation
in which separate markets for the same products became one single market.
2. Differentiate and discuss in your own words the types of market integration:
a.) Horizontal integration
• is the process of a company increasing production of goods or services at the
same part of the supply chain. This is also the acquisition of a business operating
at the same level of the value chain.

b.) Ownership integration

• This is the summed percentage ownership by an individual or entity in another
entity.

c.) Contact integration

• Contact integration, also known as customer integration, is any system that the
organization utilizes to allow direct contact with its customers. This benefits the
company through cost savings and customer retention and it benefits the
customer by making it convenient to do business with the entity.
 Learning Centered and Outcomes Based
Activity No. 10
“The Structures of Globalization”

Direction(s): Write a 5 0 0 - w o r d essay on the topic “Global Interstate

System: A Critical Analysis” . Provide your title.

Global Interstate System: A Critical Analysis

Improvement stepping stone Interactions are primarily spontaneous, and

fundamental relationships are largely determined by free market processes. No one
can predict how society will develop. Multiple and diverse local, regional, and
worldwide connections exist among members of the global society,depending on
the parties' interests system paves the way for the whole world to have systematic
policies and interaction that can positively or negatively affect the people.
Interpersonal relations are those relations between citizens of different states
having interactions in their personal interests. Also, included in intersocietal
relations are companies selling goods to citizens of other states. Furthermore, we
can't deny that each concept has its own positive and negative effects. Concerning
to this is the Interstate relations where authoritative actions, understandings, or
commitments of the government leaders of one state with the governmental
authorities of another state to impose connectivity through conducting international
organizations. For example, this would include the international conferences, state
visits, and the like. But it also applies in governmental policies such as expelling
foreign products that can cause harm, arresting a foreign national, and etc. Thus,
any authoritative actions of a state's government against any citizen or group or
another state is part of interstate relations. Through this each state is building
interactive actions that could benefit one another positively. Moreover, global
interstate system also shows intersocietal relations where authoritative actions of
the authorities within one state with those citizens of another state impose
socializing and understanding one's perceptions or culture. On the latter part it
includes multinational corporations with foreign help, or international professional
associations. Also, included in intersocietal relations are companies selling goods to
the citizens of other states, contacts between foreign firms and domestic firms open
opportunities for market integration. In addition, interpersonal relations are also
involved in global interstate system which positively benefits the people.
Interpersonal relations are those relations between citizens of different states
having interactions personal interests. This may include being a tourmigrantgrants,
foreign stand etc andetc. Liand etc, another way of showcasing such interpersonal
relations can be in terms of international mail, telegrams, phone calls, The global
etc. global interstate system paves the way for the whole world to have systematic
polinteractionsnteraction that can positively or negatively affect people. In other
words, we can't deny that the global interstate system helps a certain country in
many aspects as was stated above. It brings people closer to each other for one's
improvement.