globalisation Flashcards
what is globalization
the growing integration of the world’s economies, where businesses and people operate as though there is just one market
what is a saturated market
when there is so much of a product for sale that there is more than people want to buy
what are hostile takeovers
takeovers where the company being taken over does not want or agree to the takeover
what are the features of globalization
free trade between countries, people can live and work anywhere, high interdependence between nations, free capital flow, and exchange of technology and intellectual property
how has international transport contributed to globalization
lower transport costs and more destinations have made it easier to trade and travel internationally
what role does deregulation play in globalization
deregulation has increased international competitiveness, removed trade barriers, and allowed free trade
how has technology contributed to globalization
technology allows businesses to transfer data globally almost instantly and at no cost
how do governments impact globalization
governments can restrict international trade and limit the free movement of people or businesses through trade barriers or border controls
why do firms sell abroad in a globalized market
to increase global market share or because their domestic market is saturated
what is the advantage of globalization to businesses in terms of market access
businesses can sell to a wider consumer base, increasing revenues, profits, and global market share
how does globalization provide access to labor
businesses can hire skilled workers from around the world due to the free flow of labor
how does globalization lower costs for businesses
businesses can choose cost-effective locations with cheaper labor, raw materials, and premises
how does globalization lead to reduced taxation
businesses can relocate operations to countries with lower taxes, reducing overall costs
how do international takeovers affect businesses
globalization makes businesses vulnerable to takeovers, including hostile takeovers by foreign companies
what are the external costs of globalization
globalization can lead to environmental harm, such as air and water pollution in local communities
