What do you understand by the trm globalisation ? Mention any 5 changes made by globalisation .
Globalisation means the interconnections in economic activities, trade and business that have led to the integration of manufacturing processes and markets around the different economies of the world. It is a process that is an offshoot of the liberalisation of previously closed national economies and opening them up to international manufacturers. Domestic companies are very often pitted against multi national corporations as a result of this. Reduction of trade barriers like tariffs, import duties and licensing quotas have hastened this process by fuelling capital and investment movements. It has led to demand for skilled labour. It has manifested itself culturally as well through the circulation of ideas. Dissemination of knowledge and technology is another important aspect of globalisation.
The following are the five chages made by globalisation.
Increased role of private sector : liberalisation led private players to come up and play a major role in the India economy, many sectors were set open for private payers to bring in efficiency and healthy competition.
Foreign Investment : globalisation and liberalisation both opened the gate of Indian economy for foreign investment by the means of direct investment and portfolio investment, which increased India's forex reserve.
Service sector : both the process gave a new impetus to the growth of service sector, making it the largest contributor to the national GDP.
Economic growth : Liberalisation and globalisation helped India to become one of the fastest growing economies of the world.
Employment growth : New employment opportunity in service sector and manufacturing sector were available to Indian working population, improving on the employment situation in India.
The following are the five chages made by globalisation.
Increased role of private sector : liberalisation led private players to come up and play a major role in the India economy, many sectors were set open for private payers to bring in efficiency and healthy competition.
Foreign Investment : globalisation and liberalisation both opened the gate of Indian economy for foreign investment by the means of direct investment and portfolio investment, which increased India's forex reserve.
Service sector : both the process gave a new impetus to the growth of service sector, making it the largest contributor to the national GDP.
Economic growth : Liberalisation and globalisation helped India to become one of the fastest growing economies of the world.
Employment growth : New employment opportunity in service sector and manufacturing sector were available to Indian working population, improving on the employment situation in India.