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IMPACT OF GLOBALIZATION IN INDIA
- In the last twenty years, the globalization of the Indian economy has come a l ong way.
- Among producers and workers, the impact of globalization has not been uniform .
- India's globalization has both positive as well as negative impacts.
POSITIVE IMPACT
- MNCs have expanded their investments in India over the last 20 years
- MNCs have been interested in industries such as cell phones, automobiles, electronics, soft drinks, fast food, or services such as banking in urban areas.
- New employment has been created in these industries and services.
- Top Indian companies have been able to benefit from the increased competition. They have increased their production standards by investing in modern technologies and production methods.
- Due to globalization large Indian companies to emerge as multinational companies
- Tata Motors (automobiles), Infosys (IT), Ranbaxy (medicines), Asian Paints (paints), and Sundaram Fasteners (nuts and bolts) are some Indian enterprises which are spreading their operations worldwide.
- Globalization has also opened up new opportunities for the companies that provide services. Example: IT services
- Due to globalization consumers now have more options in the markets and can buy cheaper goods.
NEGATIVE IMPACT
- Globalization has posed a major challenge for small producers and workers .
- Due to rising competition, local manufacturers have been severely impacted. Many of the units have closed, leaving many workers jobless . For instance : toy factories in India.
- Uncertainty in employment : Due to increased competition, most firms now favor hiring staff "flexibly. " This means that workers’ jobs are no longer secure.
- Production of regional goods such as dhoti, Matka, and other handicrafts are declining or these are replaced by foreign products.
