globalisation 2.1.3

Question 1

what is globalisation

Answer 1

when businesses expand and trade internationally

Question 2

name three impacts that globalisation has created

Answer 2

-dependence on global trade
-increase in transnational companies
-increase in movement of goods and services

Question 3

define imports

Answer 3

buying from overseas

Question 4

define exports

Answer 4

selling to overseas markets

Question 5

give three examples of imports

Answer 5

raw materials,semi-manufactured goods,finished goods

Question 6

what is an inward investment

Answer 6

a foreign business investing in the country

Question 7

what is an outward investment

Answer 7

a country’s business investing abroad

Question 8

why do business change business location

Answer 8

-to be closer to markets
-benefit from cheaper resources

Question 9

what is a multinational business

Answer 9

-a business that operates in multiple countries
-operate in numerous markets
-usually recognisable global brands

Question 10

name 4 advantages of globalisation

Answer 10

-global brand recognition
-wider market
-benefit from lower production costs
-tax advantages