Declining Influence
National borders, Product markets, Planning,
Uninformed customers, Standard product, Hierarchy, Scale, Procedures,
Information (know what), "The market is always right."
The things are above are the things considered by this source that are becoming less important due to the evolution of globalisation. National borders are being broken down by the ease that people can travel to other countries as well as the fact that people can communicate online. Markets are less important as you as a consumer will have a wealth of choice where to order your goods from. Planning for markets become less important as well because seasonal gifts can be bought all year round, further leading to lack of importance on the other quote above "The market is always right." Scale is less important as the producer can now source the cheapest option for the material needed to make the product. so where as you would need to make more in the past to make it cheaper, that is no longer the case.
Trade has been affected by globalisation as virtual trade has become the social 'norm' and it caters for a whole range of people and allows people to find what they want were as in market trade it can be viewed as a more expensive way to shop as there are a variety of things in which come out of the price of products, i.e. Wages, another expense which varies between countries is VAT and can add unwanted expense to products. Allowing virtual trade allows people to find the best deal they can and keep expenditures down.
ReplyDeleteIn the past, 'Markets' have always been known as a cheaper option and have seemed to be one of the cheapest places to find items. However, this is no longer the case as more people are setting up trade online and like James has said above, us as consumers have a wide range of choice as to where to order our goods from. If we can find an item cheaper online we are more likely to go for that option as in effect we aren't paying extra for somebody to have a stall/shop. The downside to that is that if you ever need something immediately, and all markets and shops go out of business, then there is no instant way of receiving an item and we have to wait longer for products that we purchase.
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