Global Competitio Growth Trends, Free Trade Issues - 550 Words

Global Competitio: Growth Trends, Free Trade Issues (Essay Sample) Content: Name:Instructors Name:Course:Date:Global CompetitionIntroductionIn the context of business, global competition refers to a pie-eating contest among the companies that have chosen to operate internationally. Taking Madrid City as the case study, the city is among the most developed one in the world characterized by large multinational companies (Laiglesia 2). The paper will briefly highlight global competition about growth trends, free trade issues, regional growth issues, privatization, technology, and eco-tourism.Madrid is turning to be a dominant hub in the global economy. In terms of a growth trend, both the service and goods industries have kept pace with the dynamism of technology to gain competitive edge in the global market.Free trade policies existing in Europe countries have offered the Madrid entrepreneurs an opportunity to practice in significant economies of scale. A large economy of scale allows companies to cut down their costs of production, thereby; th ey can make affordable prices that outshine competitors in the international market (Goodman 2).Regional growth is also a vital factor, which multinational companies in Madrid are enjoying. EU member states are covered under a cohesion policy. Spain being a member state, her investors have taken advantage and dominated the Europe market by insisting on quality and innovation as the key competency (Goodman 3).Growth issue includes both internal and external factors. Internal factors represent the degree in which companies in Madrid have expanded to operate in substantial economies of scale. Large-scale operation tends to increase production. Reduce costs of production and consequently giving firms a competitive edge. Internal factors have represented development in technology and other infrastructure.Madrid municipality reported that the city has have several public owned companies privatized as a measure of reducing public expenditure over public parastatals. Private firms are known for producing high-quality product and services, which boosts the firms performance in the international, market competition (Laiglesia 8).Technology application i...