- The growth of globalisation has occurred for a number of reasons
Diagram: Reasons for Increased Globalisation
Globalisation has been driven by developments in technology, saturation of domestic markets and deregulation
An Explanation of the Reasons for Globalisation
Developments in Technology
- This allows faster communication, transfer of data and online sales around the world
|
Improved Transport Networks
- This allows international business travel and improved distribution of products
|
Deregulation
- Deregulation such as the removal of trade barriers as well as simpler financial systems, has made trading internationally easier
|
Government Commitment
- Governments have taken steps to increase trade so people, products and finance can move more easily across borders
|
Market Saturation
- Saturation of domestic markets means that growth can only be achieved by targeting new target markets overseas
|
Familiarity with Global Brands
- The increase in tourism and access to overseas media has familiarised consumers with global brands
|