A literature Review of Global Economy and Globalization Era

Globalization presents opportunities to increase prosperity and ensure better jobs. Forconsumers, it brings a wider product range to choose from and lower prices. For firms, it bringsopportunities for higher efficiency gains and productivity growth. But globalization also poses challenges. In Europe and the other OECD countries the demand for a highly educated workforce will be increasing, while the demand for some low skilled will be decreasing. In this globalization era, innovation plays an important role in the organizational success and firms and organization should aware of the importance of innovation. The aim of this paper is to study the global economy and innovation in the area of management.