Globalization boosts productivity and quality, reshapes job market towards skilled labor.
Belgian firms that do business internationally are usually bigger and more productive than those that focus only on the local market. The costs of entering global markets affect how these firms decide to expand, whether by exporting or investing abroad. Technology plays a big role in boosting trade in services. To compete with Asian products, firms are improving the quality of their exports. Trading with low-wage countries tends to increase the need for skilled workers in Belgium while reducing jobs for unskilled workers. Multinational companies create jobs, especially foreign-owned subsidiaries.