The Impact Of Globalization On Business Activity Communications And Movements Of Individuals Over The National, Political And Geographic Boundaries

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Globalisation, in the most basic sense, could be defined as the growth of business activity communications and movements of individuals over the national, political and geographic boundaries (Johnson et al. 2014). According to Hill, there are two main facets of globalization, includes globalization of markets and production (Hill, Cronk, Wickramasekera, 2014). The historically different and distinctive national markets are integrating into a single huge global marketplace in which the perceptions and preferences of customers in different countries are beginning to unite as a single global standard; examples are McDonald’s hamburger (US), IKEA furniture (Sweden). The globalization of production allow firms to locate products and services from different sites around the globe in an attempt to make benefits of dissimilarities in the price and quality of elements of production, thus allowing them to compete more efficiently against their competitors; an example is Boeing’s 777 and 787 ‘Dreamliner’ commercial aircrafts (Hill, Cronk, Wickramasekera, 2014). According to Hill, globalisation is occurring because the advances in technology that have allowed people, goods, resources, money and data to travel around the globe from different locations faster than before; moreover, the reductions in trade and investment barriers have significantly increased business activities between states. The theory also states that there are two key drivers of globalization, includes the declining in

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