Globalization and it's effects

 Q. World today has seen the emergence of a global market due to increased connectivity. It has led to various multinational companies opening up in India and in other developing nations. This is an era of globalisation which has brought many changes around us. Write an article in about 100-120 words on 'Globalisation and its Effects'. You are Naman/Namisha. 

Globalisation and its effects                                                                   - By: Naman

Globalisation means linking the economy of a country with the economies of other countries by means of free trade, capital and movement of persons across the borders. The ultimate aim of globalisation is to look upon the world as a 'global village'. It has become very important for an economy to develop connections with rest of the world. This results in an unrestricted flow of goods and services, capital, people, technology and expertise among different countries of the world. 

It has significantly (in an important manner) increased the foreign trade in the India by adopting various policies. This has increased the GDP of our country. As a consequence of globalisation, there has been a considerable increase in foreign investments in India. There is an significant improvement in our foreign exchange reserves. It has promoted collaboration of foreign companies with many Indian companies. 

Further, globalisation has expanded the size of market. It has permitted Indian business units to expand their business all over the world. Now, multinational companies have no national boundaries. Indian companies are also doing their business in many countries. 

Globalisation has helped to promote the use of branded products, which led to quality improvement. It has enabled the flow of foreign technology which is very superior and advanced. It has also developed the markets of the nation. There has been tremendous improvement in various services like insurance, banking etc.and Electronics like Mobile phones, LCDS, LEDS in the country. 

Globalisation has increased employment opportunities for Indians by establishing various production and trading units of foreign nation, which has reduced the brain drain to the large extent. Moreover, the standard of living of the Indian population has improved. They are getting many products at reduced prices. 

But every coin has two coins. Globalisation has some negative effects. There has been a huge loss to domestic companies. Due to increased use of capital intensive technology, employment opportunities have reduced. Small and cottage industries are affected adversely. There is a negative effect on Indian culture and value system. Production of prohibited goods are taking place in order to earn more profits. Global companies drain talented persons of India to other nations. 

So, it is very essential to make wise conscious choices and maintain a healthy balance in the country. we need to chennelize our focus on the positive effects of globalisation and constantly cope with the negative effects.