Technology is the vital force in the modern form of business globalization
- Products are delivered very fast at lower cost.
- Telecommunication and internet has been influenced lot more.
- Able to contact one person from another country or state by telecommunication facilities.
- Satellite communication devices are used very rapidly.
Globalisation is a multidimensional concept. It has economic, cultural, and political manifestations.
Globalisation basically deals with flows. The critical factor of globalization is the ‘worldwide interconnectedness’ that is generated and sustained as a result of these constant flows.
These flows could be of various types which are given below:
- Trade of commodities, goods and services between countries.
- People migrate to different countries in search of better opportunities and livelihoods.
- Movement of ideas from one part of the world to another part of the world
- Movement of capital shunted between two or more places.
Consequences of Globalization
Some of the consequences of Globalization are political, economic, and cultural.
- Erosion of state capacity with respect to the capacity of the Government on what they can do.
- Many of the welfare functions of the Governments are withdrawn and they stick to core functions such as providing security to the citizens of the country and maintaining law and order.
- To ensure that jobs of the citizens of a country are guarded, developed countries have restricted visa policies.
- People who were dependent on Government welfare and jobs have been affected.
- Globalization can lead to cultural homogenisation.
- Hence people fear that there is a threat to the different cultures of the world.