What is globalisation?
According to OECD globalization is “The geographic dispersion of industrial and service activities, for example research and development, sourcing of inputs, production and distribution, and the cross-border networking of companies, for example through joint ventures and the sharing of assets.” Put simply this means the growth of MNC’s, international integration and increased free trade The key characteristics of globalisation are:
Free trade: a flow of trade between different nations without excessive government control or influence (i.e. large tariffs) 2.
Connectivity: Localities being connected with the world by breaking national boundaries; forging of links between one society and another, and between one country and another through international exchange of knowledge, technology, culture and ideas. 3.
Interdependency: As globalisation intertwines economies the economies become more interdependent.
Short essay on globalisation
By ROHINI DASGUPTA
Summary: In the 1970’s industrialised countries had an economic crisis in order to combat this large companies expanded into less economically developed countries. These companies became MNC’s and have become increasingly more powerful to the point where they economically rival nations. Groups like the World Bank, the International Monetary Fund and the World Trade Organisation advocate increasing free trade.
This article shows that globalisation has a significant impact as it states that MNC’s have become more wealthy than nations and that they act as bridges that connect less economically developed countries with more economically developed ones.
What is an MNC?
A multi national corporation acording to Investopedia is a corporation that has its facilities and other assets in at least one country other than its home country. Such companies have offices and/or factories in different countries and usually have a centralized head office where they co-ordinate...
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