Question

critically examine the impact of globalization in India

Answer 1

What are the factors aiding globalisation?

1) Technology: has reduced the speed of communication manifolds. The phenomenon of social media in the recent world has made distance insignificant.

The integration of technology in India has transformed jobs which required specialized skills and lacked decision-making skills to extensively-defined jobs with higher accountability that require new skills, such as numerical, analytical, communication and interactive skills. As a result of this, more job opportunities are created for people.

2) LPG Reforms: The 1991 reforms in India have led to greater economic liberalisation which has in turn increased India’s interaction with the rest of the world.

3) Faster Transportation: Improved transport, making global travel easier. For example, there has been a rapid growth in air-travel, enabling greater movement of people and goods across the globe.

4) Rise of WTO: The formation of WTO in 1994 led to reduction in tariffs and non-tariff barriers across the world. It also led to the increase in the free trade agreements among various countries.

5) Improved mobility of capital: In the past few decades there has been a general reduction in capital barriers, making it easier for capital to flow between different economies. This has increased the ability for firms to receive finance. It has also increased the global interconnectedness of global financial markets.

6) Rise of MNCs: Multinational corporations operating in different geographies have led to a diffusion of best practices. MNCs source resources from around the globe and sell their products in global markets leading to greater local interaction.

These factors have helped in economic liberalization and globalization and have facilitated the world in becoming a “global village”. Increasing interaction between people of different countries has led to internationalization of food habits, dress habits, lifestyle and views.

Globalization and India:

Developed countries have been trying to pursue developing countries to liberalize the trade and allow more flexibility in business policies to provide equal opportunities to multinational firms in their domestic market. International Monetary Fund (IMF) and World Bank helped them in this endeavour. Liberalization began to hold its foot on barren lands of developing countries like India by means of reduction in excise duties on electronic goods in a fixed time frame.

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Answer 2

Hi there,

Following is the impact of globalization in India;

• The establishment of private businesses increased the incoming of income.
• The establishment of higher educational institutes.
• Higher rate of job market and employment.
• Establishment of organizations that are renowned globally.
• Establishment of MNC's has increased its foreign relationships.
• The standard of education is accepted globally.
• Increase in tourism .
• Import export in the country.

I hope the answer is helpful.

Thank