McKinsey Global Institute's Seong on Globalization

The video discusses the concept of deglobalization and the reality of global interconnectedness. It highlights the growth in data and service flows, contrasting with stagnating trade intensity. The gradual shifts in value chains are analyzed, considering geopolitical and economic factors. The role of Asia, particularly China, in the global supply chain is examined, focusing on regionalization and domestic consumption. The importance of innovation and technology in China is emphasized. Finally, strategies for multinational corporations to navigate the current global trade environment are outlined.

What is the main reason commentators suggest the world might be facing deglobalization?

• Growth in data services

• Rise in international student flows

• Stagnation in trade intensity

• Increase in global trade intensity

Which factor is NOT mentioned as influencing supply chain reconfiguration?

• Geopolitics

• National competitiveness

• Cultural differences

• Economic factors

Which sector is mentioned as having accelerated supply chain configuration due to national security concerns?

• Agriculture

• Automotive

• Semiconductors

• Textiles

What is a noticeable trend in Asia's economic development?

• Decrease in innovation

• Reduction in domestic consumption

• Increase in regionalization

• Decline in manufacturing

How is China expected to maintain its innovative streak despite looking inward?

• By increasing foreign dependency

• Through continuous innovation

• By reducing domestic consumption

• Through demographic expansion

What role do multinational companies play in the global export market?

• They only focus on local markets

• They account for 1/3 of global exports

• They have no significant impact

• They account for 2/3 of global exports

What is one strategy MNCs can use to enhance their resilience?

• Apply localization and diversification

• Avoid forming partnerships

• Focus solely on cost-cutting

• Increase dependency on a single market