What Does Market Drivers of Globalization Mean?
Although question exists as to whether or not globalisation has been beneficial for humanity as a whole, there is little arguing that people and nations around the world today are more connected than ever before.
One of the causes of this has been market drivers, whereby multinational corporations and brands are engaging consumers from around the planet, further solidifying one global market.
According to the Levin Institute, the term globalisation refers to the increasing connections people, companies and states are forming around the world. The process of forming social and economic ties across vast distances is nothing new historically; however, technological improvements and liberal trade agreements have increased these connections greatly in contemporary times.
One of the primary drivers of globalisation has been in respect to market forces, whereby many consumer goods and services are now universally available, no matter one's geographic location or social setting. As a result of international marketing campaigns and corporate brand promotions, consumer desires and lifestyles around the world are increasingly converging.
Aside from market drivers, globalisation can be attributed to other causes, including cost drivers, such as innovations in information technology and transportation; government drivers, whereby many governments have reduced trade tariffs and have embraced free trade agreements; and competitive drivers, which have seen corporations and businesses increasingly compete for market share around the world.