ASSIGNMENT – 1

BUSINESS ENVIRONMENT & INDIAN ECONOMY

MBA 1^st Semester

SUBMITTED TO: PROF. GURDEEPAK SINGH

SUBMITTED BY: MR. MOHIT VAISHNAV

Introduction

Globalization is the free movement of people, goods, and services across boundaries. This movement is managed in a unified and integrated manner. Further, it can be seen as a scheme to open the global economy as well as the associated growth in trade (global). Hence, when the countries that were previously shut to foreign investment and trade have now burned down barriers.

Liberalization) is any process whereby a state lifts restrictions on some private individual activities. Liberalization occurs when something which used to be banned is no longer banned, or when government regulations are relaxed.

Discussion

·       Improved Standard of Living and Better Purchasing Power: Wealth generation across Indian cities has enhanced since globalization has fully hit the nation. You can notice an improvement in the purchasing power for individuals, especially those working under foreign organizations. Further, domestic organizations are motivated to present higher rewards to their employees.

·       Globalization has Reduced Consumer Prices: Equally important, if not more, is that the new business opportunities created by globalization ultimately have resulted in lower consumer prices. For most people, the effective reduction in the costs of consumer products.

• Cheaper Prices: Consumers can find products at cheaper prices, whether it be online or in stores.

• Purchase Internationally:  Consumers can now by products that are not available to them with their country.

• Variety: Consumers have the opportunity to buy a range of products; they are not limited to one type of brand.

• Happy Costumer= Happy Business: Satisfying the needs and wants of costumers ensures that businesses are able to sell you products you love at even greater lower prices.

·       Increased investment: Globalisation has also enabled increased levels of investment. It has made it easier for countries to attract short-term and long-term investment. Investment by multinational companies can play a big role in improving the economies of developing countries.

·       Increase in quality of goods and services: As a result of globalization, people have access to the best quality of goods and services throughout the world. Companies have to strive to provide better quality goods and services to the consumer and the consumer has the liberty of choosing whichever product he thinks is best suited for his needs. This allows a person in America to wear clothes made in India and Mexico while watching a football match taking place in England on a TV made in China.

Conclusion

The debate around globalization being positive and or negative is an ongoing one. It can provide a stronger collective identity, empower individual and group distinctiveness while at the same time provide a means for representation, dis empowerment and an avenue for further colonization.

Globalization is showing its impact at high pace. It is bringing the nations closer and together to achieve high level of growth and success. But many other challenges are to be faced by the organisations because of globalization. Globalization cannot be ignored as this is the need of the hour.