Globalizing the Rest of the World

Globalization, the defining term for the economy of the 1990s, is currently a misnomer. The economies of industrialized nations have become increasingly intertwined through global trade and global products, but globalization has largely left out 2 huge regions of the globe that encompass more than 60 countries and hold about 20% of the world's population and a major share of its natural resources - Africa and Latin America. The combination of declining protectionism and shrinking statism represents an unprecedented opportunity. Not only are the nations of Latin America and Africa more attractive places to do business in, they are also offering new opportunities for investment and ownership of important assets. The question for managers in the developed nations is whether and how best to pursue this opportunity. The timing for addressing the issue is good, as the possibility of an expanded free-trade zone from Canada to Argentina becomes closer to being realized.