Definition:
The tendency of investment funds and businesses to move beyond domestic and national markets to other markets around the globe, thereby increasing the interconnectedness of different markets.
Read more: http://www.investopedia.com/terms/g/globalization.asp#ixzz2HrtrwXJZ
- it eliminates barriers to trade exchange
- it expands a certain business to other countries
- franchises
- lower cost in terms of employment
- profit higher
- more sales
- various kinds of choices provided for the consumers
- competition is present
- might be considered as a threat
- specializing in a certain product that they are very good in producing
- such as Malaysia producing traditional kuih
- political links are improved and same goes to the social links
The Drawbacks:
- Unemployment towards the people in the home country
- specializing in a certain field might not have enough experienced workers
- goods that are sold below the cost price may affect the country that provides it
- causing it them to not gain profits
For your information, this would be my last post for this blog. I hope all of you guys enjoyed reading my blog. Thank you. Farhana. :)
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