Concept and necessity of globalization - class-XI

Liberalization means relaxation of various government restrictions in the areas of social and economic policies. Liberalizing trade policy by the government that is removal of tariff, subsidies and other restrictions on the flow of goods and services between countries is also termed as liberalization. 

Privatization is a global trend. Privatization can be defined as a
process of transferring of ownership or management of an enterprise
from public sector to private sector. It helps to increase the size and
dynamism of private sector. It also helps to reduce administrative
burdens on the public sector.

The integration of the country with the world economy is called globalization. Globalization can be defined as the growing interdependence of countries
worldwide through increasing volume and variety of cross border
transactions in goods and services and also through rapid diffusion of
technology.

An important factor which has facilitated the globalization process is technology. Globalization can be defined as the growing interdependence of countries
worldwide through increasing volume and variety of cross border
transactions in goods and services and also through rapid diffusion of
technology.

The term 'globalization' is a synonym for the term internationalization. Globalization can be defined as the growing interdependence of countries
worldwide through increasing volume and variety of cross border
transactions in goods and services and also through rapid diffusion of
technology.

Privatization is an international policy. Privatization can be defined as a
process of transferring of ownership or management of an enterprise
from public sector to private sector. It helps to increase the size and
dynamism of private sector. It also helps to reduce administrative
burdens on the public sector.

B. False

India initiated its major economic liberalization program in 1991, following a balance of payments crisis, which opened the economy to global trade and reduced government control.

Prior to liberalization 7 of the most important industries were exclusively reserved for the public sector. It was educed to 8 industries under the New Economic Policy, 1991. Liberalization refers to end of license, quota and many more restrictions and controls which were put on industries before 1991.

Economic and industrial liberalization was announced in the Industrial policy, 1991. It helped to create a more free and competitive environment in the market. It also enhanced the interaction and interdependence among the various nations of the global economy.

Following the 1991 reforms, the number of industries requiring compulsory government licensing was drastically reduced to a very small number (currently 5).

An essential pre-requisite for a
successful privatization is liberalization. Liberalization refers to end
of license, quota and many more restrictions and controls which were
put on industries before 1991. Liberalization is of utmost importance in
order to give greater role to private sector of the economy.

At present (2018) 2 industries are reserved for the public sector. Atomic energy and Railways are the only two government monopolies in India. Only public sector undertaking has the authority to run the activities of these industries.

Reason for privatization is inefficiency, indifference, irresponsibility and corruption. Privatization is a global trend. Privatization can be defined as a
process of transferring of ownership or management of an enterprise
from public sector to private sector. It helps to increase the size and
dynamism of private sector. It also helps to reduce administrative
burdens on the public sector.

Globalization means several things to several people. Globalization can be defined as the growing interdependence of countries worldwide through increasing volume and variety of cross border transactions in goods and services and also through rapid diffusion of technology.

External sector liberalization means relaxing restrictions on international flow of goods, services, technology and capital.  External sector liberalization has helped bringing down the volatility as well as the instability of our economy. It helps to create a more free and competitive economy.

The following are the ways of privatization:

Peter F. Drucker used the term 'Privatization' in his famous book, 'The Age of Discontinuity'. Privatization can be defined as a process of transferring of ownership or management of an enterprise from public sector to private sector. It helps to increase the size and dynamism of private sector. It also helps to reduce administrative burdens on the public sector.

Railways has not been opened for private sector participation. Railway sector is owned and managed by the Government of India. It is a public sector undertaking. Railways is still referred as a Government monopoly.

Globalization has brought the world closer. It has made import and export of goods easier between all the countries. One can get access to the different goods available across the world due to globalization. Hence, as there has been globalization of markets, the tastes and preferences of consumers world-wide are converging upon a global warm.

The importance of globalization for multinational firms is home demand, home factor conditions and domestic rivalry are no longer important to multinational firms. A multinational firm can gain a competitive advantage in a foreign country and the home base is no longer important to multinational firms.

Globalization means the integration of people across the globe to facilitate trade in a smooth way. It has brought the world closer. Hence, globalization has brought economic growth best growing inequalities wealth and resentment from low skilled workers who see their jobs go abroad.

Reasons for Globalization:
- Domestic markets are not enough and other markets are required for the progress of industry.
- World is shrinking because of the development of the transportation, communication, technological changes etc.
- An organization named WTO (World Trade Organization) was established for the development of cross border trade.
-For the development of business a new technology is needed which could be taken from overseas.
- To cut down the manufacturing cost, industries may set up manufacturing units overseas where manufacturing cost is favourable.
- To set up a business in a place which is politically more stable.
-Adverse business environment in home country pushes the companies to look for global market.
-Most companies move their head quarters to overseas to avoid their respective home countries' high taxes and other costs associated in business operation in those countries.

Thus, we can say that, market convergence, competition, exchange rates and cost advantages are the key drivers of globalization.

Privatization refers to the transfer of ownership, management, and control of public sector enterprises (state-owned) to the private sector.

Privatization can refer to the act of transferring ownership of specified property or business operations from a government organization to a privately owned entity, as well as the transition of ownership from a publicly traded, or owned, company to a privately owned company.

Currency crises is NOT a business opportunity generated by globalization since globalization can be defined as a process of integration of various economies of world. Globalization involves greater interaction and interdependence among the various nations of global economy.

Privatization refers to  the process
of transferring of ownership and management of an enterprise from public
sector to the private sector. Another dimension of privatization is
opening up of an industry that has been reserved for the public sector
to the private sector.The objective of privatization is to generate revenues for the state.

Privatization enables the government to concentrate more on the essential state.Privatization refers to  the process
of transferring of ownership and management of an enterprise from public
sector to the private sector. Another dimension of privatization is
opening up of an industry that has been reserved for the public sector
to the private sector.The objective of privatization is to generate revenues for the state.

"Foreign Collaboration" is an outcome of privatization. It refers to  the process of transferring of ownership and management of an enterprise from public sector to the private sector.

The inability of domestic markets to provide ample business for all is the reason for globalization. Globalization is defined as the process of growing interdependence of the economies through increasing volume and variety of cross border transactions in goods and services and of international capital flows, and also throug the more rapid and widespread diffusion of technology.

The relaxation of government restrictions in areas of social of economic policy is known as liberalization. It refers to the process of eliminating unnecessary conntrols and restrictions on the smooth functioning of business enterprise.

Macro level globalization means globalization of the world economy.Globalization is defined as the process
of growing interdependence of the economies through increasing volume
and variety of cross border transactions in goods and services and of
international capital flows, and also throug the more rapid and
widespread diffusion of technology.

Privatization can also be called denationalization.Privatization refers to  the process
of transferring of ownership and management of an enterprise from public
sector to the private sector. Another dimension of privatization is opening up of an industry that has been reserved for the public sector to the private sector.

Liberalization has resulted in easy entry of foreign business organization. Liberalization refers to the process of eliminating unnecessary controls and restrictions on the smooth functioning of business enterprise.

Globalization of the economics and globalization of business are very much inter-dependent.Globalization is defined as the process
of growing interdependence of the economies through increasing volume
and variety of cross border transactions in goods and services and of
international capital flows, and also through the more rapid and
widespread diffusion of technology.

Liberalization has resulted in easy entry of foreign business
organization. Liberalization refers to the process of eliminating
unnecessary controls and restrictions on the smooth functioning of
business enterprise.

Global market segmentation represents a company's effort to identify and categorize groups of customers and countries according to common characteristics. It is a part of the process of globalization as it helps to increase interdependence among various nations. It helps to serve the interest of the customers.

Liberalization does NOT include reducing administrative burden on state. It is a process by which free and fair trade is promoted. It includes reduction in taxes, simplification of exports and abolishing industrial licensing requirement for most of the  industries.

If it is a global organization it means creating both standardized and customized products. Global organizations sell standard products in every region across the globe. It promotes the the process of globalization which helps to increase the interdependence among the different nations of the world.

Technological factor has been the most rapidly changing component in an organization's general environment in the past quarter-century. Technology changes fast and to keep the pace with the dynamics of business environment; organization must be on its toes to adapt to the changed technology in their system.

Globalization is a process of increasing the interdependence among the different economies of the world. This process of globalization is greatly promoted by the advancement of technology. The following factors are key drivers of globalization: market, cost, competition and government policies.

Pressures for structural adjustments are a reason for globalization- this is a false statement.Globalization may be defined as "the
growing economic interdependence of countries worldwide through
increasing volume and variety of cross border transactions in goods and
services and the international capital flows and also through the more
rapid and widespread diffusion of technology.Market, cost, competition and government policies are the key drivers of globalization from the following factor

A. True

A. TRUE

Liberalization refers to end of licence, quota and many more restrictions and control that were put on many industries. The term basically refers to opening of the economy to the world and providing freedom to the departmental and public sector undertakings to access capital market in order to achieve international competitiveness. 

The process of economic liberalization was implemented in India in the year 1991 when new economic reforms were introduced in order to protect the country from high debt to world bank. 

Integration of national economies into world economy is called globalization.Globalization may be defined as "the
growing economic interdependence of countries worldwide through
increasing volume and variety of cross border transactions in goods and
services and the international capital flows and also through the more
rapid and widespread diffusion of technology.

Integration of national economies into a world economy is known as globalization.Globalization may be defined as "the
growing economic interdependence of countries worldwide through
increasing volume and variety of cross border transactions in goods and
services and the international capital flows and also through the more
rapid and widespread diffusion of technology.

The sale or transfer of government-owned public enterprises to private individuals or companies is the definition of privatization.

B. privatization.

Liberalization includes simplified policies to attract foreign capital and technology to India. Liberalization refers to end of licence, quota and many more restrictions and control that were put on many industries. Liberalization helped to achieve international competitiveness by attracting foreign capital and technology to India. 

Privatization refers to giving greater role to private sector and reducing the role of public sector through disinvestment of public sector and dilution of stake of the government. The main objective of privatization is to improve the performance of private sector units, encourage investment in the private sector to raise the overall capital formation and to generate more revenue for the state. 

Liberalization refers to end of licence, quota and many more restrictions and control that were put on many industries. The term basically refers to opening of the economy to the world and providing freedom to the departmental and public sector undertakings to access capital market in order to achieve international competitiveness. 

 Liberalization has helped us high foreign exchange reserves, low inflation rate in the economy through high investment and strong rupee by making other currencies relatively cheaper. 

Privatization refers to giving greater role to private sector and reducing the role of public sector through disinvestment of public sector and dilution of stake of the government. The main objective of privatization is to improve the performance of private sector units and increase its size and dynamism, to encourage investment in the private sector to raise the overall capital formation and to reduce administrative burden on state. 

Liberalization has helped us in achieving :-a) A high growth rate

b) Easy availability of goods at competitive rates

c) Easy availability of goods at competitive rates

Liberalization refers to end of license, quota and many more restrictions and control that were put on many industries. Liberalization has so far helped us in achieving high growth rate, easy availability of goods at a competitive rates and a healthy and flourishing stock market for the economy. 

Liberalization refers to end of licence, quota and many more restrictions and control that were put on many industries. The term basically refers to opening of the economy to the world and providing freedom to the departmental and public sector undertakings to access capital market in order to achieve international competitiveness. It includes removal of tariff barriers for better flow of goods and services between the countries. 

Privatization refers to giving greater role to private sector and reducing the role of public sector through disinvestment of public sector and dilution of stake of the government. The benefits of privatization are: 

Privatization refers to giving greater role to private sector and reducing the role of public sector through disinvestment of public sector and dilution of stake of the government. The main objective of privatization is to improve the performance of private sector units and increase its size and dynamism, to encourage investment in the private sector to raise the overall capital formation and to reduce administrative burden on state. 

Privatization refers to giving greater role to private sector and reducing the role of public sector through disinvestment of public sector and dilution of stake of the government. Privatization results in better economic development due to more resources from private sector, better management due high competition in private sector and encouragement of entrepreneurial skills into the individual. 

Globalization refers
to the integration of various economies of the world by removing of strict
policies in regard to the import and export of goods and services and foreign
direct investments. Globalization involves greater interaction and
interdependence among the various nations of the global economy which makes the
market very vast. The key drivers of globalization are market, cost, competition and government policies.  

Liberalization refers to end of licence, quota and many more restrictions and control that were put on many industries. The term basically refers to opening of the economy to the world and providing freedom to the departmental and public sector undertakings to access capital market in order to achieve international competitiveness. It does not provide restrictions in fixing prices of goods and services in the economy. 

Liberalization refers to end of licence, quota and many more restrictions and control that were put on many industries. The term basically refers to opening of the economy to the world and providing freedom to the departmental and public sector undertakings to access capital market in order to achieve international competitiveness. 

Privatization refers to giving greater role to private sector and reducing the role of public sector through disinvestment of public sector and dilution of stake of the government. Privatization results in better economic development due to more resources from private sector, better management due high competition in private sector and encouragement of entrepreneurial skills into the individual.

Globalization refers
to the integration of various economies of the world by removing of strict
policies in regard to the import and export of goods and services and foreign
direct investments. Globalization involves greater interaction and
interdependence among the various nations of the global economy which makes the
market very vast. 

Privatization refers to giving greater role to private sector and reducing the role of public sector through disinvestment of public sector and dilution of stake of the government. Privatization results in better economic development due to more resources from private sector, better management due high competition in private sector and encouragement of entrepreneurial skills into the individual.