Globalization Has Affected Business Through Different Avenues

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Globalisation has been a key issue in the 20th and 21st centuries and has continued to be a controversial process throughout its existence. Globalisation has opened up borders so that all countries can benefit from each other’s wealth and endless materials and resources. International business has accelerated in the past 30 years since the emergence of Brazil, Russia, India and China’s economies as they have played a key role in the growth of certain businesses. There are many ways in which globalisation has facilitated the growth of international business and throughout this essay, I plan to go through the various ways that globalisation has affected business through different avenues, with certain references to the five drivers of…show more content…
Another definition is:

“The generalised expansion of international economic activity which includes increased international trade, growth of international foreign investment and international migration, and increased creation of technology among countries. Globalization is the increasing world-wide integration of markets for goods, services, labour, and capital” (Federal Reserve Bank, 2004)

This gives a different perspective on the matter and highlights the fact that globalisation cannot be easily defined.
To understand what international business is, we need to look at the definition, which is as follows:

“International Business conducts business transactions all over the world. These transactions include the transfer of goods, services, technology, managerial knowledge, and capital to other countries. International business involves exports and imports.” (Kalyan, 2011)

From the above definitions, we are able to understand the question in more depth. We can see that globalisation and international business are in some ways interconnected due to both having a greater impact on international transactions in technology, goods, services and capital so they are key to each other’s success. Globalisation has consistently increased the amount of international trade in goods and services, aiding the growth of international business because businesses are able to transfer goods and services
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