Slides in this set
What is Globalisation?
Globalisation means the processes that have resulted
in ever-closer links between the world's
So what does this mean in practical terms?
There are lots of implications, but we are only interested
in the economic implications.
The two main characteristics of globalisation are global
brands and global sourcing.…read more
As you may have noticed there are now lots of global
Not only can you find the same brands in other
countries but in most cases the same product.
How many of these logos do you recognise?
These companies are all good examples of global brands.…read more
Global companies now source their operations through
Basically, no product is produced in only one place,
and the production process is divided between
Here's an example: just look at the back of an iPhone.
It says "Designed in California, assembled in Taiwan"…read more
Factors Promoting Globalisation
There are lots of things which contribute to globalisation.
Here are the main factors:
A reduction in protectionism in the global economy
A reduction in international capital movement
Developments in IT and falling communication costs
A fall in real transport costs
Liberalisation of domestic markets…read more
A Reduction in Protectionism in
the Global Economy
Thanks to the World Trade Organisation (WTO), there
has been a reduction in the overall amount of
protectionism in world trade.
This means that tariffs, quotas and regulation have all
been reduced significantly or removed.
This allows easier price comparisons and allows firms to
compete in the international market.…read more