Concept of Globalisation and its Impact on Business Environment

Business and Business Environment
TASK 1

1. Concept of globalisation
 Concept of globalisation is expansion and intensification of social, economic, culture,
political; relations across the border among companies , government and worldwide is
also known as capital expansion but it also includes goods , service s, capital ,
technology etc.
 Expanding global markets helps in liberalising the activities of exchange of goods and
services and removal of cross border trade barriers. Trade connectivity is the essence of
globalisation.
 The cross border integration is having some dimensions which can be
economical ,political and cultural.
 Basically, the concept of globalisation is concluded as economic integration and this
can happen with three channels that is trading of goods and services, movement of
capital and flow of finance.

CONTD..
 Globalisation brings many changes in different countries with positive and negative
effects.
 There` is effects of globalisation to individuals which meant it affected the living
standard of people in relation with comfort, material goods, necessities etc. they can opt
for the product which they find the best to satisfy their needs and wants.
 Globalisation has enhanced the process of outsourcing which helps other countries to
outsource the goods which are not available to them.
 Globalisation helps in further growth of the business as globalisation encourage
business to export their goods to the place where the demand is high so that they earn
good amount of profit by providing standard quality goods.

2. Driving factors of globalisation
Advanced technology Labour availability
and skills-
Changing Taste and
preferences of
customers
Liberalisation ion
financial sector-
Market and
competitive drivers-