Are multinational firms the driving force behind globalisation?
They are one, but not the only driving force. They transfer capital overseas, and they step up trade. A large part of global trade actually takes place within corporations, with one division supplying goods or services to another. But the political will behind globalisation also matters, and so does technological change – consider the use of containers for sea cargo in the 1950s or the global spread of the Internet in recent years. Globalisation skeptics would object that it is corporations that drive technological change, and that governments all too often only act on behalf of corporate interests. What came first – the chicken or the egg? Relatively free global trade is certainly in the interest of multinationals. But it also provides great benefits to everyone else involved, not just a handful of large enterprises. Globalisation is a multi-faceted process that takes place at various levels, so it is hard to distinguish causes and effects. Containers and communications technology hav
