Question

How Globalisation helps in integration of countries on economic front?

Medium

Solution

Verified by  GMS

In the past two to three decades, more and more MNCs have been looking for locations around the world which would be cheap for their production.
At the same time, foreign trade between countries has been rising rapidly. A large part of the foreign trade is also controlled by MNCs.
Foreign investment by MNCs in these countries has been rising.
The result of greater foreign investment and greater foreign trade has been greater integration of production and markets across countries. Globalisation is this process of rapid integration or interconnection between countries. MNCs are playing a major role in the globalisation process. More and more goods and services, investments and technology are moving between countries.