An incredible increase in production, technological developments, increase of speed of transportation, and ease in
communication helped capital, labour, information and technology movement to get intense between countries besides
goods and services following the Industrial Revolution.
As a result national economies connected to each other with movements which are gradually getting more complex and dense (Ekodiyalog, 2012).
Globalization is the tendency of investment funds and businesses to move beyond domestic and national markets to
other markets around the globe, allowing them to become interconnected with different markets.
Accordingly globalization provides organizations a superior competitive position with lower operating costs, to gain greater
numbers of products, services and consumers.
This approach to competition is gained via diversification of resources, the creation and development of new investment opportunities by opening up additional markets, and accessing new raw materials and resources (øncekara and Savrul, 2012:24)
Economic activities are certainly moving in the direction of globalization and the production and distribution system is evolving worldwide.
In this course the role that international trade plays in connecting countries around the world is clear.
Globalization creates new structures and new relationships, with the result that business decisions and actions in one part of the world have significant consequences in other places.
Underlying and reinforcing these globalization trends is the rapidly changing technological environment, particularly in information processing, and telecommunications.
Changes in telecommunications and data processing capabilities make it possible to coordinate research, marketing and production operation around the world.
Almost instantaneous communications make it possible to trade financial instruments twenty-four hours a day, and thus more return-sensitive are location of resources within firms, industries and countries (Muhammad et. al, 2010:66).