Globalisation Definitions

Globalisation definitions.

This article talks about what globalisation is; a movement that has shown that economics, business and therefore our livelihoods are becoming increasingly interdependent. There are five important factors that contribute to globalization; technology, multinational corporations (also known as transnational or international corporations, which work in more than one company. They have big influence and create employment, wealth and improve technology), conglomerate (companies are expanding to different markets, and creating more than one product), merger (the fusion/joining of two or more corporation, there are four different types; vertical, horizontal and extensional merger, and hostile takeover) and competition. At first governments were against companies controlling prices, but the big multinationals were so powerful that they were able to control prices. This is also known as monopoly, and is now generally accepted by most governments. Oligopolies are monopolies which are not supported by the state and privately controlled, these are rare though. Cartels (groups of corporations who work together to control the market in their advantage) are forbidden by law in many countries though.