Question

 

1. In the Introduction to the Course, we discussed three processes of globalization in the world economy: internationalization, liberalization, and the information and communications technological revolution(s). Explain the meaning of these terms, how they differ, and how they are important. Use specific empirical examples to clarify the abstract terms and illustrate the conceptual differences.

 

Answer 1

Internationalization refers to product designing which makes the product acceptable in different countries.Internationalization is followed to make the market of the product  expand beyond the domestic boundary.It caters to the taste and habit of consumers abroad.Internationalization provide accessabilty to trade internationally. This leads to stronger ,successful and profitable business. Internationalization helps in proper operation of the firm and determines the firm's perspective about future..Internationalization will not take place if the firm is not competitive in the domestic market.Internationalization gives the product a broader market, increases the image of the company , stimulates production and reduces cost of production by being efficient .

Liberalization means removing government restriction to increase economic development.Liberalization benefits the developing economies as it ensures unhindered flow of capital to and from the country.This in turn stimulates economic growth and development.

Information and Communication revolution refers to innovations that are taking place in exceptional rate in the information and communication technologies. Certain changes were revolutionary as they changed the lives of people for the better like canals and turnpikes,radios and television and may be called communication revolution. Information revolution refers to economic ,social and technological changes that were made beyond industrial revolution  The importance of information and communication revolution is universal accessability to education,delivering of standard learning as well as teaching , development of teachers at the professional level,more systematic and structured governance ie  administration and education management.

The difference between internationalization and liberalization is that former involves expanding business beyond domestic border and the latter means absence of governmet restrictions .The difference between information and communication revolution and internationalization is that the former speeds anywhere in the world and makes distance outdated very fast than internationalization.