Th Scond Globl Shft s Rloctng Clustrs n th Fnncl Industry n Europ Term Paper

Th Scond Globl Shft s Rloctng Clustrs n th Fnncl Industry n Europ - Term Paper Exampleent economically and politically reigning everywhere the piece, but the rapidly emerging economic power of China and Japan is also an undeniable feature which is the precursor of the second human beingwide shift. An emergence of competitors in the shape of China and Japan is adversely change the economic power of the USA. The resurgence of Asia especially East Asia is undoubtedly, the most significant world-wide shift in the geography of the world economy during the past 40 years. (Dicken, 2007, p. 43)Another very important fact is the mingled geography of the product manufacturing process. In other words, economic activity is becoming deterritorialized or disembedded. (Dicken, 2007, p. 18). For example, open boarders forthwith allow some parts of the product being made in one country and its assembling being done in another. The purpose of this paper is to highlight the influence of the se cond global shift on the financial service industry, particularly the European financial services. Moreover, we will examine how this global shift will change the structure of financial groups in Europe.The first global shift is the goal of time when economic and political power was shifted from Britain and some European countries to the United States. This shift started occurring after the molybdenum World War when United States appeared as a supreme economic and political power. After 1945 the world was dominated by two blocks i.e. the United States with its allies and the Soviet Union with its allies. This division was not only confined to economic differences but to socio-political differences as well. This is when the silent strain between the capitalist and the communist world began. Hence, the world economic system that emerged after 1945 was, in many ways, a sore beginning. It reflected both the new political realities of the post-war period particularly the sharp divis ion between East and West _ and also the acrid economic and social experiences of the