What is globalization? What factors contributed to its rise?
Answer:
Globalization is a process of international integration in the field of economic,finance,trade and communication.It lifted the barriers among nations and paved the way for increased interconnectedness and interdependence of people and countries.
The following are some of the factors that have given rise to globalization:
1.Development of new and advanced technology,rise of satellite connections,internet and web services etc have provided a base for globalisation.
2.The free flow of trade without any restrictions among nations have made business more easier and attractive.Trade transactions among nations have become cheaper providing opportunities for outside markets to establish base in a developing nation.
3.Removal of capital exchange control has made money transactions easier among nations.As a result,a developed nation can easily enter the market of a developing nation in search of better business returns.
4.Changes in the tastes of consumers and their craze to buy foreign goods have opened the path for globalization to occur.
5.New and emerging markets in developing nations and the entry of MNC's have changed the scenario altogether.The markets are now flooded with foreign products leaving very little scope for the local markets to survive.
6.Increased mobility of labour has also paved the way for globalisation.People migrate between nations frequently in search of better job opportunities.
Globalization is a process of international integration in the field of economic,finance,trade and communication.It lifted the barriers among nations and paved the way for increased interconnectedness and interdependence of people and countries.
The following are some of the factors that have given rise to globalization:
1.Development of new and advanced technology,rise of satellite connections,internet and web services etc have provided a base for globalisation.
2.The free flow of trade without any restrictions among nations have made business more easier and attractive.Trade transactions among nations have become cheaper providing opportunities for outside markets to establish base in a developing nation.
3.Removal of capital exchange control has made money transactions easier among nations.As a result,a developed nation can easily enter the market of a developing nation in search of better business returns.
4.Changes in the tastes of consumers and their craze to buy foreign goods have opened the path for globalization to occur.
5.New and emerging markets in developing nations and the entry of MNC's have changed the scenario altogether.The markets are now flooded with foreign products leaving very little scope for the local markets to survive.
6.Increased mobility of labour has also paved the way for globalisation.People migrate between nations frequently in search of better job opportunities.