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Globalization: What’s the Deal?

Ignoring the evolving global market is a risky roll of the dice.

April 2008 by Chris Mc Loone
The term “globalization” has become one of the package-printing industry’s favorite things to talk about. It’s important enough that the Flexible Packaging Association (FPA) devoted an entire study on the effects of globalization on flexible packaging, and in 2007, PLGA Global made globalization the theme of its annual operational conference. Domestically, the economic impacts of globalization are sometimes negative. But, some experts and converters believe that there are new opportunities opening by globalizing their businesses. More importantly, there may be no choice in the matter.

What does it mean to you?

Globalization means different things to different people. Merriam-Webster defines globalization as “the act, process, or policy of making something worldwide in scope or application.” For printing and converting, it can be translated into more tangible terms. Globalization in the package-printing industry takes the form of changing supply chains, customers shifting their manufacturing facilities to other countries, and overseas competition from other package printers and converters. It can also encompass printing packaging materials domestically for overseas customers.

To Andrew Weitz, customer service for Anchor Printing (Bloomfield Hills, Mich.), globalization is “a worldwide arena of ideas and technology. You must have an open mind and welcome the opportunities that arise.”

Anton Dahbura, corporate vice president for Hub Labels, Inc. (Hagerstown, Md.) adds that “globalization means there are few safe havens for us, even if we have loyal customers for whom we’ve done everything perfectly and with whom we have developed strong relationships over many years. When the manufacturing moves, there’s virtually nothing that can be done to preserve the business.”

From a folding carton standpoint, Joe Elphick, president and CEO of Colonial Carton Corporation says, “Globalization means my global customers, customers that have manufacturing facilities throughout the world, are trying to find global partners where they can leverage the requirements of all their plants with one purchase, with one buy, from a vendor that has locations globally.”

Globalization can also pose a challenge for converters aiming to produce accurate packaging for overseas consumption. “In this context, globalization can be defined as the process of designing packaging or a range of packaging that is suitable for global markets, i.e., the design physically conforms to the regulatory and logistical requirements of each of the targeted locales and can render all the required languages accurately and consistently,” says Gordon Husbands, a member of the Globalization and Localization Association’s (GALA) Advisory Council. “And, all the content displayed on the packaging is accurately and idiomatically localized to ensure correct communication of the messaging and information to the desired target audience in the target locale or locales.”
 

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