Question

How has globalization impacted the socio-economic landscape of India?

1. Increased market competition has bolstered domestic industries, promoting economic growth.
2. The dominance of multinational corporations has led to wider economic inequalities.
3. Economic liberalization has encouraged the development of small and medium-sized enterprises (SMEs).
4. The rise of a consumer credit society has enabled individuals to make purchases beyond their means.

• A. ii only
• B. i only
• C. All of these
• D. i, iii

Answer 1

Answer:

C. All of these

Impact of globalization in the socio-economic landscape of India

• Increased market competition :
  
  • With the liberalization of the Indian economy in the 1990s, sectors such as information technology and manufacturing experienced heightened competition.
  • This led to increased innovation and productivity, propelling India's economic growth.
  • For example, the IT sector saw the emergence of companies like Infosys and Wipro, which not only thrived domestically but also established themselves as global players, contributing significantly to India's economic progress.
• The dominance of multinational corporations :
  
  • While multinational corporations have brought foreign direct investment and technological advancements to India, their dominance in certain sectors has created economic disparities.
  • For instance, in the retail sector, the expansion of multinational retail giants has posed challenges to local businesses, leading to the displacement of small-scale retailers 
  • This Phenomena has increased the gap between large corporate entities and smaller enterprises.
• Economic liberalization has encouraged SMEs:
  • India's economic liberalization policies have fostered the growth of small and medium-sized enterprises (SMEs) across various sectors.
  • This has empowered entrepreneurs to establish businesses and contribute to the economy.
  • For instance, the emergence of startups in the technology and service industries has not only created employment opportunities but has also infused innovation and dynamism into the Indian business landscape.
• The rise of a consumer credit society 
  • The proliferation of consumer credit in India has allowed individuals to access financing for various purposes, including the purchase of goods and services.
  • This has led to an increase in consumer spending, particularly in sectors such as automobiles, electronics, and housing.