Question

Briefly explain the following:

Globalisation

Answer 1

1. Globalisation breaks down national barriers, allowing goods, services, capital, and information to flow freely across borders. This creates a single, interconnected global marketplace where businesses can operate and compete internationally, expanding their reach and customer base beyond their home countries.
2. Globalisation involves the integration of individual national economies into the global economy. This means that countries engage in international trade, investment, and financial exchanges, making their economies interdependent. Such integration often leads to increased economic growth, access to new markets, and the sharing of technology and innovations.
3. Globalisation facilitates the movement of economic activities such as trade, investment, labour, and technology across national borders. Companies establish international supply chains, outsource production, and enter foreign markets, resulting in a more interconnected and interdependent global economy.
4. Globalisation has significantly changed business operations, strategies, and practices. Companies now need to consider global competition, cultural differences, and international regulations. They adopt advanced technologies, pursue global partnerships, and innovate continuously to stay competitive in the global market. This transformation has led to increased efficiency, innovation, and the creation of new business models.