AI-generated practice question — model-generated for extra practice, not a previous-year CBSE board question.
Role of Technology in Globalisation:
Technology, especially in transport and information technology (IT), has been a fundamental driver of globalisation. IT enabled MNCs to spread production across countries by coordinating complex operations instantly. Services like call centres could be set up in distant countries. Faster and cheaper transport allowed goods and components to move rapidly between locations worldwide.
Role of Liberalisation:
Removing trade barriers — tariffs, quotas, and investment restrictions — allowed goods, services, and capital to flow freely across borders. The WTO pressured countries to open their markets, enabling MNCs to invest in and trade with multiple countries easily.
Why liberalisation alone was insufficient:
Even with zero trade barriers, without IT and modern transport, MNCs could not have organised production across continents, coordinated supply chains, or delivered services remotely. Technology made global integration practically possible; liberalisation merely permitted it legally.
Source: Chapter 4 — What is Globalisation?, World Trade Organisation, Summing Up
---