Ques:- What do you understand by Globalisation? What is the importance of globalisation? Ans. Globalisation means the process of integration of national economies through cross-border flows of products, services, capital, technology, manpower and information. According to IMF, "Globalisation is the growing inter-dependence of countries worldwide through increasing volume and variety of cross-border transactions in goods and services and of international capital flows, and also through the more rapid and wide wide-spread diffusion of technology." The significance of globalisation in world economy is growing day by day. Globalisation offers the following advantages: 1. Rapid Industrialisation-- Globalisation helps in the free flow of capital and technology from one country to another. It enables global firms to acquire finance at a the lower cost of capital. The increased flows of capital from surplus countries to the neddy countries leads to an increase in global inves...