The process of globalization in the modern day has been caused by the advancement in transport, infrastructure and telecommunication sector. The invention of the internet has led to the massive international integration promoting trade and various political interests. The development of global monetary systems such as PayPal and Visa has accelerated economic integration among several countries in the world.
Goods and services from any country are easily available all over the world, and while the roots of globalisation are pretty old, this facet is quite new. Globalisation can be defined as the easy availability of goods, connectivity amongst nations, and also access to trade rights in any country.
But as we mentioned before, globalisation has old roots. The famous silk route that connected China with Europe is one of the best examples. Trade and business across nations were quite prevalent and the search for new markets even led to the discovery of new continents. But trade at that time was a difficult affair.
The silks, the spices, the precious stones all were acquired with great difficulty and at high prices. However, after the industrial revolution, which shook the cobwebs out of the outdated modes of production and ushered in an era of mass production of goods, the phenomenon called globalisation was fully born.
Factory production, improved distribution and the availability of goods across markets created a further rise in demand. More and more businesses selling essential items such as processed food, medicines, household items and desirable items such as jewellery, fancy cars etc.
Globalisation was thus born with a new face and the birth was heavily aided by remarkable changes in distribution and communications technology and the techniques of production. International business is a world rife with possibilities as well as cut-throat competition. In order to compete it is very important that the products or services of a particular business are better than its competitors.
Businesses thus are evolving too. Old methods are frequently becoming redundant and are being continuously replaced by newer methods.
Globalisation thus has opened up the world of opportunities as well as created a host of other factors that an organisation has to consider if it has to survive in this new world. To remain competitive businesses often now have to source raw materials internationally as well as outsource their labour force to foreign shores.
When venturing into a new market, it is much easier if the business forges alliances and joint ventures with local businesses. This not only gives the business the advantage of a ready market, but saves on costs as well.
The volume of world trade has increased many fold since the s. The opening up of economies as well as the creation of new opportunities has resulted in an increase in productive potential as well as evaporating the barriers to economic investment.
The world has become a global market. Changes in policy and immense changes, as well as new developments, in the field of technology, have resulted in the growth spurt that has eventually led to melting down of international boundaries and led to the global outreach of products and services.
Major policy changes have opened up the markets domestically and internationally, and now local products are competing with international products. If we look at the current market situation we can easily see that those countries who adopted an open approach towards international brands, and opened up their markets to compete with foreign products, have gained a lot from globalisation.
Their economies have received an upward thrust that has catapulted their growth story in a hitherto unimaginable way. Even a communist giant like China has opened up some of its markets for foreign direct investment and created strategies and policies that are friendly to foreign investment.
This has brought the Chinese economy to the forefront and has also resulted in an increase in the per capita income of its citizens. Another very important factor that has boosted globalisation is the stupendous growth in the field of technology.
Technological development has resulted in rapid development of many aspects of our civilisation. The world as we know today is very different from the one which existed fifty or even ten years ago. The kind of technological advancement that has been achieved has not only made many important discoveries, but also led to a technology-enabled lifestyle.
Together with that, people have the use of an extensive number of gadgets in their day to day affairs. In this scenario, it is only natural that the products and services need to be better with each passing day, otherwise they will be immediately replaced.
The business world has thus learned to be aware of technological changes that can affect their productivity and also positively or negatively impact their very survival. There is a permanent shift in the way information is being accessed by an individual from any location of the world and utilising it for the development of their own business.
Even government agencies are not untouched by the all-consuming urge of globalisation.Globalization's Impact on Leadership.
One of the rewarding benefits of my job is the opportunity to discuss issues with the leaders of the automation industry.
Every one of them is faced with the challenges and opportunities presented by the rapid globalization of business. (f) To trace the impact of Globalization on Industrialized Nations.
(g) To find out the Impact of Globalization to the Developing Economies. (h) To establish the Impact of . Globalization has impacted nearly every aspect of modern life and continues to be a growing force in the global economy. While there are a few drawbacks to globalization, most economists agree that it's a force that's both unstoppable and net beneficial to .
Globalization has massive impacts on our economy and society at large, both good and bad. Impacts of Globalization Inexpensive clothing -I spend less on clothes than I did decades ago. – Globalization and Business Leadership. – Nigerian Managers response to globalization.
In , a break through was made in the world of communication system by the invention of Mr. Alexander Graham Bell (Telephone).
Interdependence. Globalization leads to the interdependence between nations, which could cause regional or global instabilities if local economic fluctuations end up impacting a .