What is Globalisation?

Globalization is the process of increasing interconnectedness among regional economies, societies, and cultures, driven by advancements in communication, transportation, and trade. Technological progress has reduced transport costs, enabling goods and services to cross borders more cheaply. The removal of trade barriers has expanded commerce, while advertising spreads ideas globally. Transnational corporations, originating in developed countries, often operate in less developed regions to cut costs and boost sales. Globalization offers benefits like job creation in India but also challenges, such as unsafe working conditions and the decline of industries like the US car sector. This complex phenomenon continues to evolve, driven by economic motives.

What is a key factor that has enabled globalization in modern times?

• Technological advances

• Higher transport costs

• Increased local trade

• Decreased communication

How do transnational corporations benefit from globalization?

• By increasing domestic production

• By avoiding international operations

• By reducing labor and raw material costs

• By focusing solely on local markets

Where are transnational corporations usually based?

• In less economically developed countries

• In more economically developed countries

• In rural areas

• In small towns

What is one benefit of globalization mentioned in the context of India?

• Decline in technology sector

• Growth in high-tech cities

• Reduction in foreign investment

• Decrease in job opportunities

How has globalization affected the car industry in Detroit?

• Increased domestic production

• Decline due to overseas manufacturing

• Growth in local car sales

• Stability in the domestic market