How globalisation and the time Indian economy

H consumers in today world. Some of US have a wide choice for goods and services before us the latest model televisions made by the lading manufacturer of the world are within our reach. Every season new models of automobiles can be seen on India roads. Gone are the days when and flat were the only cars on Indian road today Indians are buying cars produced by nearly all the top companies in the world. A similar exclusion brand can be seen for many other goods. From shirts to television to proceed fruit juice. Such wide ranking choice of goods in our markets is a relatively recent phenomenon you would not have found such a wide variety of goods in Indian markets even to dedicates back. In a matter of years, our markets ever been  transformed . How do we understand this rapid transformations question mark what are the factors that are bringing about these changes and how are these changes effecting the lips of the people be sell dual on this question in this chapter until the middle class of the 20th century production was largely organised within countries what crossed the boundaries of the people of these countries were raw material and food stuff and imported finished goods trade was the main channel connecting distance country. This was before large companies multinational companies emerged on the scans MNC as a company that owns or control production in more than one nation. MNC setup office and factories for production is low and the MNC can earn greater profits. Consider the following examples. In this example the MNC is not only selling its finished product globally. As a result production is organised in increasely complex base. The production process is divided into small part and spread out across the globe in full stop in the above example China provides the advantage of being a chief manufacturing location Mexico and external Europe are useful for their colonies to the market in the US and Europe. India has highly skilled engineers who can understand the technical aspect of production. It also has educated English speaking provides customer care service is and all his can be 50 60% for the MNC. The advantage of spreading out production across the borders to the multinational can be truely immense. In general MNC setup us production where it is closed to the market where there is escalate and unexclate labour available at low cost and where the ability of other factors of production is assured in addition MNC might look of for government policy state look after their interested you will read more about the policy letters the chapter. Having condition MNC set of factories and office for production investment. Any investment is made with the hope that these assets will earn profit at time MNC setup production jointly with someone of the local companies which countries. The benefit to the local companies of such joint production is to fold. First MNC can provide money for additional investment like wine new machine for first production second MNC made bring them at the last technology for production