(a) Analyse the impact of globalisation on the Indian economy.

(i)MNCs have increased their investments in India such as cell phones, automobiles, electronics, soft drinks, etc.

(ii)New jobs have been created.

(iii)Local companies supplying raw materials, etc. to these industries have prospered.

(iv)Several of the top Indian companies have been able to benefit from the increased competition.

(v)They have invested in newer technology and production methods and raised their production standards. Some have gained from successful collaborations with foreign companies.

(vi)Globalization has enabled some large Indian companies to emerge as multinationals themselves, Tata Motors (automobiles), Infosys (IT), Ranbaxy (medicines), Asian Paints (paints), Sundaram Fasteners

(vii)Globalization has created new opportunities for companies providing services, particularly those involving IT.

NEGATIVE-

(viii)Batteries, capacitors, plastics, toys, tyres, dairy products, and vegetable oil are some examples of industries where the small manufacturers have been hit hard due to competition.

(ix)Several of the units have shut down rendering many workers jobless.

(ix) Uncertain Employment; ‘workers’ jobs are no longer secure.

(x)Pressure of competition has substantially changed the lives of workers.

(b) Analyze any five steps for ensuring fair globalization in India.

(i)Fair globalisation would create opportunities for all, and ensure that the benefits of globalisation are shared better.

(ii)The government’s policies must protect the interests, not only of the rich and the powerful, but all the people in the country

(iii)Labour laws must be properly implemented and the workers must get their rights.

(iv)The government can support small producers to improve their performance till the time they become strong enough to compete.

(v)If necessary, the government can use trade and investment barriers.

(vi)It can negotiate at the WTO for ‘fairer rules’.

(vii)It can also align with other developing countries with similar interests to fight against the domination of developed countries in the WTO.

(viii)In the past few years, massive campaigns and representation by people’s organisation have influenced important decisions relating to trade and investments at the WTO.