Globalization in Kenya

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Globalization:

According to Elsabe Loots, 2002, the key driving forces behind economic globalization are: reduced transport and communication costs in the private sector, reduced policy barriers to trade and investment by the public sector, increased availability of and access to information and technology and the speed with which information and technology can be transmitted. Indeed, the internet has been sited to be spearheading a global communications revolution and turning the world into a virtual "global village".

Important aspects of globalization are the breaking down of national economic barriers, freedom of international trade, the growing power of transnational corporations (TNC's) and international financial institutions. This results increases in international trade, financial inflows and foreign direct investment (FDI). Important aspects of globalization are the breaking down of national economic barriers, freedom of international trade, the growing power of transnational corporations (TNC's) and international financial institutions. This results increases in international trade, financial inflows and foreign direct investment (FDI).

Many see globalization as a means to alleviate poverty, to create wealth and raise the standards of living of marginal communities and promote the exchange of information and understanding of different cultures. Others argue that globalization has benefited the developed western countries at the expense of the poorer developing nations. Global income of the poorest people in the world has dropped by 0.9 % in the last decade.

Industries in many countries are under threat as TNC's move their production centers overseas to countries with low wage economies and where labor costs and labout laws are less prescriptive and restrictive.

Although Kenya has attracted the bulk of the region's FDI, through its adoption of the Internation Monetary Fund's debt programs, its transformation of the political and economic ...