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Globalization is said to be a process whereby there occurs the exchange of the idea, products, culture, beliefs and the styles of business operation across the world. There have been a lot of advancements in the transport and the telecommunication methods and ways due to which the world is becoming borderless. It means that no country is now-a-days restricted in its own boundaries rather they are exploring the opportunities for growth and development even outside the countries. Therefore it could be said that there are no more borders for the countries, people and businesses to restrict their growth and movement in a specified area of operation. People have been moving from one place to another irrespective of having their cultural presence or not for the growth and development prospects. The world has in fact become a shrinking world or a flat world where people are no more restricted to the boundaries of their own countries. We could see many companies which have origin from one country but has presence of its offices and operations all over the world. This is due to the advancements and the technological developments that have taken place in last few years (Bhagwati, 2007).
Globalization has created a world where there are no more barriers to communication, transport and location barriers. One person sitting in UK can easily interact and do business with the one who is sitting in India. They now no more feel the distance. They feel as if they are sitting in a conference and communicating their ideas and suggestions for development and growth of the company. Almost all the international organizations like WTO (World Trade Organization), IMF (International Monetary Fund), UNICEF, and various others have contributed a lot towards the success of the business, international operations and growth of people all across the world. There have so many treaties and agreements that have taken place as a contract for the increasing trade and tariff relations among the nations. Traditionally there had been so many restrictions that were imposed on the international trade but Globalization has removed or eliminated all kinds of trade barriers. It has made the entire world a small place where people even if far off can sit together and interact with each other. The companies in order to expand have studied and analyzed the factors such a political, social, economic, legal, technological and environmental pertaining to each country and its business prospects. This is because that they could easily explore and expand their area of expertise and operations.
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