Sweden and new age of globalization
In the last recent years, world trade had an outstanding growth in domestic product leading to spread more about the word ’’globalization’’. However, the new market’s demand is reason of this development, yet the trade practices reduction that prevent movement of services from one state to another thru World Trade Organization (WTO) had an important impact on this growth in world (Christopher, 2011). In the start, globalization recognized as a solution to insufficiency and assistance to overcome the inadequacy, however, this view has changed after the US Presidential election speech in 2008 and globalization became a concern for both the U.S and Europe ...view middle of the document...
* Sweden’s commitment to equality of gender in both society and work.
* Communication, use of information & technology in daily lives are other elements making this model successful and helps Sweden and other Nordic countries to stay stable and secure compared to other countries such as US.
Furthermore, according to Taylor (2005) Scandinavian countries and companies are strong and well managed in technology and research which express the strong growth and low joblessness and – so forth as most competitive economics countries in the world. However, Anders Borg chief economic adviser of Sweden’s Prime Minister Reinfeldt named Sweden as one of the countries in Europe which globalization has provided extraordinary benefit for, rather than being a threat (Economist, 2006).
Thus, I confirm Mendelson words concerning rising of economic challenges however, there is an opportunity for Europeans like Sweden to overcome these challenges thru use of remarkable manpower and resources to create better market. And as Christopher (2011) stated ,in order to stay competitive in today’s global market companies must focus on strategies to decrease the cost and enhanced the service which is possible thru three different strategies: ‘’ focused factories, centralized inventories and postponement’’. This is what Scandinavian countries considered; using manpower and logistic strategies to overcome challenges related to globalization.
Another fact mentioned by Mandelson (2008) is that global economy of Scandinavian countries and the States are very similar; however, their political choices on prosperity distribution are different. In other words, different countries have different strengths. Additionally, increasing concern on globalization in the US is because of the different welfare system as well as stabilizing wages of middle class society. Taxation could be a similarity between these two countries; however, open economy and redistributive welfare along with heavy taxes differs Sweden from other countries when it comes to welfare system and impact of globalization (Steinmo, (n.d.).
As shown in Appendix 1 economy of the Sweden is mixed of several segments. The most important sectors which play a huge role on country’s economy are forestry, iron and fuel industries (Borrelli, (n.d.).Chemical and pharmaceutical industries are other sectors playing role in country’s economy.
Globalization has a positive effect on Sweden’s production and high skilled labor services which is very important advantage for the country. Taking to account demand of well skilled workers along with low skilled import of goods are other elements showing the influence of globalization on EU countries and on top of them Sweden. Appendix 2 has shown the impact of globalization in comparison to other countries. There are other differences between European countries e.g. Sweden and USA, for instance in 2004 Sweden accomplished the first place in bank sustainability group, yet the...