CBSE Class 10 Economics Chapter 4 Notes - Globalisation and the Indian Economy

• Important research-based information about globalisation.

• Foreign trade and investments by Multinational Companies (MNC).

• Role of MNCs in the process of globalisation.

• The impact of globalisation.

• Contribution of globalisation in the development process.

• Integration of production and integration of markets.

These above points have been highlighted in Class 10 Economics Chapter 4 notes. You can get a significant amount of help by consulting the Globalisation and the Indian Economy Class 10 notes by Vedantu.

Factors that Caused a Transformation in the Market - Globalisation Class 10

• Interlinking Production Across Countries - Investment refers to any form of money that invested or spent in buying equipment, machines or land. Foreign investment refers to the investment made by multinational companies. Through partnerships and the use of local companies for supplies, the MNCs interacts with the local producers and spreads their products across the globe. Even local companies benefit from them through additional investments and the introduction of the latest technology for catalysing the production.

• Production Across Countries - This would not have been possible without the inclusion of MNCs in trade. Trade plays a fundamental role in maintaining the connection between the countries. These multinational companies control production in more than one country by setting up factories and offices with cheap labours and the aim of greater profits.

• Foreign Trade and Integration of Markets - To reach beyond the domestic market, a country needs to explore opportunities in foreign trade. With the introduction of foreign trade, the chances of magnifying the scale of business become much higher as the business no more competes on a domestic but international level. This also leads to the development of the living standard in a country as the buyers get to choose from a range of products and services in accordance to their need and budget. Thus, all of these initiatives contribute greatly towards the integration of the market and connecting it.

Approaches to Consider for a Fair Globalisation

Fair globalisation is expected to increase the chances of development in any country. There are certain approaches that the government can implement to support fair globalisation. Some of the approaches are as follows:

• The government can formulate strategies for small producers to support them and also encourage them to improve their performance.

• Labour laws are important. Hence, the government must ensure that the labour laws are being appropriately implemented and the labours are getting their rights.

• WHO can also play a significant role in fair globalisation and therefore the government needs to negotiate with them.

• Lastly, the government needs to come forward and take the necessary steps towards the domination of developed countries to reach the objective of fair globalisation.

Did You Know?

• Rapid amalgamation between countries where multinational companies play a major role in globalisation. You can avail detailed information about goods and services, investments and technologies in the Globalisation and the Indian Economy Class 10.

• Development in globalisation can occur through an increasing amount of opportunities and benefits. This can only be achieved through better actions and formulation of constructive plans by the government of the country.

• The World Trade Organisation (WTO) aims to liberalise international trade. The present members of the organisation include 164 countries across the world. Also, it has formulated regulations for the developed countries to allow free international trade for all.

Learning these important factors can be of great help during the examination which is why you must learn Class 10 Economics Chapter 4 notes by Vedantu. Know what is globalisation in detail through the notes.