MGT 448 Global Business Strategies
J. Antonio Marin, MBA, PMP - Instructor
July 01, 2005
Eastern Europe Region
Regional integration in Europe generally, and Eastern Europe in particular, has a long, complex, and troubled history. Regionalism has been promoted as an efficient means of fostering closer economic co-operation. By creating a larger, unified market through the elimination of regional trade barriers, economic integration allows for the use of comparative advantage within a region and permits nations to specialize in the production of the goods best suited to their resources. This raised several questions: 1.What role regional integration played in promoting global business? 2.What are advantages and disadvantages of regional integration? 3.How did the stages of development compare and even contrast in this region? 4.what were the ramifications of this regions economic development for global business? This paper will answer these questions.
Regions have their own internal dynamic: they have become crucial tools of power transforming governments, economies, and cultures. It should not be ignored that each region forms a part of a global system, and thus analyzing the role of regional integration in the promoting global business in Eastern Europe. The 1989/1990 events in Eastern Europe portray record political and economic reforms. These reforms include politics and moving from a planned economy to a free market economy. In 1989, the Support for Eastern Europe Democracy (SEED) Act of 1989 was to enacted to promote political democracy and economic pluralism in Poland and Hungary by assisting those nations in transition and encourage development in those nations of private business sectors, labor market reforms to establish through this process the framework for a composite program of support for Eastern Europe. The United States, Japan, the World Bank, the European Community, the organization for...