IntroductionThe hallmark of the global economy is not the flow of goods, but the flow of capital, people and information on a global scale. With globalization, time and space are no longer an obstacle to reaching agreements around the world. Computer networks enable instantaneous transactions. Along with the increasing speed of transactions and the global sourcing of all forms of resources and information, leaders are struggling to think globally and act locally (Rivette 2000). As markets become more open; as evidenced by free trade agreements between nations, more foreign companies are likely to enter domestic markets, thereby increasing competition. Since businesses operate in global markets, competitive moves in the domestic market can negatively affect the business in another segment of the international market. These increasing levels and types of competition push companies to expand into international markets in order to maintain their competitiveness in the areas in which they already operate (Atkinson, 2000). Globalization requires intellectual capital as a source of comparative advantage, as exemplified by WW Grainger, headquartered in Lake Forest, Illinois. General Information W.W. Grainger, Inc., a Fortune 500 company with a global focus, is the leading provider of industrial products serving businesses and institutions across North America, with approximately 600 locations. Grainger has recently expanded into Mexico and China to source and sell its products. Grainger's decision to go global in this way reflects the intellectual capital the company possesses. Knowledge has become the direct source of comparative advantage for selling products. Grainger's path to success has included global expansion into Mexico and Canada. In recent years, it has entered the Mexican and Canadian markets to sell and source products. To do this, it has established sophisticated distribution networks in both countries. In both countries, Grainger supplies its customers with a wide variety of local and imported industrial products. Opportunity Statement As such, Grainger can continue to succeed for the foreseeable future by capitalizing on its comparative advantages. Opening stores in Mexico, for example, is a Grainger function. global expansion and sourcing to increase market share, but also a comparative advantage for the company as well as in terms of increasing profit margins. By targeting new customers in new markets, it expands its presence throughout NA. "By purchasing stocks locally, it arbitrates labor costs, reduces delivery distances and offers customers products adapted to the respective markets..