Question

Explain in brief the role of mncs in the globalisation process

Answer 1

MNCs play an important role in the process of globalisation. They bring not only their products to a country but also the new business policies and cultures. They also help in increasing competitiveness among the domestic companies.

Answer 2

MNCs play an important role in the globalisation  process.

(i) MNCs control production in more than one  country.

(ii) They compete with the local producers directly  even after being miles apart, thus integrating the  markets.

(iii) Their working leads to exchange of investments  and products which leads to interconnection  between diverse countries.  Countries get linked when movement of goods,  people, investment and services between  different countries takes place.

They can be  linked as producers or consumers of same  products or one can be a producer and the  other consumer. The recent advancement in  technology, transport and communication  systems has enhanced globalisation.