What does globalisation primarily refer to?
a) International trade wars
b) Integration of economies through trade and investments
c) Political alliances between countries
d) Cultural exchange programs
Answer: b) Integration of economies through trade and investments

Which type of corporation is central to the process of globalisation?
a) Government-owned companies
b) Small local businesses
c) Multinational corporations (MNCs)
d) Non-profit organisations
Answer: c) Multinational corporations (MNCs)

Why do MNCs set up factories in other countries?
a) To avoid taxes
b) To gain access to cheap labor and resources
c) To promote local cultures
d) To diversify their supply chain
Answer: b) To gain access to cheap labor and resources

What is the primary reason for the emergence of globalisation in recent decades?
a) Technological advancements
b) Decline in world population
c) Political stability
d) Reduction in government intervention
Answer: a) Technological advancements

What is “foreign investment”?
a) Loans taken from international banks
b) Investment by MNCs in assets of another country
c) Government bonds issued to foreign countries
d) Foreign aid provided to developing nations
Answer: b) Investment by MNCs in assets of another country

Which of the following is an example of a trade barrier?
a) Free trade agreements
b) Import quotas or taxes
c) Foreign investment policies
d) Digital marketing tools
Answer: b) Import quotas or taxes

What is meant by “liberalisation of trade”?
a) Restricting imports and exports
b) Removing barriers to foreign trade and investment
c) Increasing government regulation
d) Supporting only local businesses
Answer: b) Removing barriers to foreign trade and investment

What role does the World Trade Organization (WTO) play in globalisation?
a) Regulates labor laws
b) Monitors trade policies and promotes free trade
c) Provides loans to small businesses
d) Enforces cultural exchange programs
Answer: b) Monitors trade policies and promotes free trade

What is the primary objective of MNCs investing in different countries?
a) To reduce environmental impact
b) To increase profits through low production costs
c) To avoid government scrutiny
d) To promote fair trade practices
Answer: b) To increase profits through low production costs

How does foreign trade integrate markets across countries?
a) By limiting the export of goods
b) By creating similar pricing and competition globally
c) By promoting only local products
d) By restricting the movement of goods and services
Answer: b) By creating similar pricing and competition globally

Which of the following is a direct effect of globalisation?
a) Decrease in competition
b) Increased interdependence of economies
c) Restriction of foreign trade
d) Decrease in production efficiency
Answer: b) Increased interdependence of economies

What is the full form of WTO?
a) World Trade Organisation
b) World Transport Organisation
c) World Tax Organisation
d) World Tourism Organisation
Answer: a) World Trade Organisation

Which of the following is an advantage of globalisation for consumers?
a) Reduced choice of products
b) Higher prices for goods
c) Greater variety and better quality of products
d) Strict trade barriers
Answer: c) Greater variety and better quality of products

Why are SEZs (Special Economic Zones) established by governments?
a) To discourage foreign trade
b) To attract foreign investment by providing tax benefits
c) To increase trade barriers
d) To promote local businesses only
Answer: b) To attract foreign investment by providing tax benefits

Which of the following is an example of an MNC?
a) A local grocery store
b) Tata Steel
c) McDonald’s
d) Indian Railways
Answer: c) McDonald’s

What has been one major impact of globalisation on Indian markets?
a) Growth of local industries
b) Entry of foreign companies and increased competition
c) Decline in technology usage
d) Reduction in consumer choices
Answer: b) Entry of foreign companies and increased competition

What is the role of the government in promoting globalisation?
a) Imposing higher taxes on MNCs
b) Encouraging import and export restrictions
c) Liberalising trade policies and setting up infrastructure
d) Preventing foreign investment
Answer: c) Liberalising trade policies and setting up infrastructure

What does “outsourcing” refer to in the context of globalisation?
a) Importing foreign goods
b) Shifting production and services to cheaper countries
c) Exporting local goods abroad
d) Employing foreign managers
Answer: b) Shifting production and services to cheaper countries

What is a major disadvantage of globalisation for small producers in India?
a) Limited competition in the market
b) Difficulty in competing with large MNCs
c) Increased government subsidies for local businesses
d) Decline in export opportunities
Answer: b) Difficulty in competing with large MNCs

Which sector in India has benefited the most from globalisation?
a) Agriculture
b) IT and services
c) Handicrafts
d) Cottage industries
Answer: b) IT and services

What is the primary reason for companies to engage in outsourcing?
a) Access to advanced technology
b) Reducing operational costs
c) Promoting fair trade policies
d) Reducing foreign competition
Answer: b) Reducing operational costs

What are the negative effects of globalisation on workers in developing countries?
a) Increased wages
b) Loss of job security and poor working conditions
c) Reduced competition in the market
d) Higher taxes
Answer: b) Loss of job security and poor working conditions

How does globalisation help developing countries?
a) By restricting foreign investments
b) By creating jobs and introducing new technologies
c) By reducing the use of modern communication tools
d) By promoting traditional trade barriers
Answer: b) By creating jobs and introducing new technologies

Which technological advancement has had the greatest impact on globalisation?
a) Improvements in transportation
b) Development of the internet and communication systems
c) Discovery of new trade routes
d) Invention of traditional machinery
Answer: b) Development of the internet and communication systems

What is the main objective of liberalisation?
a) To increase government control over trade
b) To make it easier for businesses to operate without restrictions
c) To ban foreign companies from entering domestic markets
d) To create trade monopolies
Answer: b) To make it easier for businesses to operate without restrictions

Which of the following is NOT a result of globalisation?
a) Wider market access for producers
b) Promotion of local industries exclusively
c) Increased competition among businesses
d) Integration of economies worldwide
Answer: b) Promotion of local industries exclusively

What is the primary benefit of foreign trade?
a) Reduces the need for imports
b) Provides access to goods and services not available locally
c) Increases trade barriers between countries
d) Focuses only on domestic consumption
Answer: b) Provides access to goods and services not available locally

Which organisation regulates international trade?
a) IMF
b) WTO
c) WHO
d) UNESCO
Answer: b) WTO

What is one way the Indian government encourages globalisation?
a) By setting higher tariffs on imports
b) By establishing Special Economic Zones (SEZs)
c) By reducing infrastructure development
d) By restricting foreign companies
Answer: b) By establishing Special Economic Zones (SEZs)

What is the main feature of Special Economic Zones (SEZs)?
a) Higher trade tariffs
b) Tax benefits for investors
c) Limited access for foreign companies
d) Promotion of local industries only
Answer: b) Tax benefits for investors

What is one primary reason MNCs look for cheap labor in developing countries?
a) To reduce production costs
b) To improve working conditions
c) To increase government taxes
d) To limit product variety
Answer: a) To reduce production costs

What is the impact of globalisation on Indian agriculture?
a) Reduced export opportunities
b) Increased access to international markets
c) Decline in the use of modern techniques
d) Increased government subsidies
Answer: b) Increased access to international markets

Which industry in India has significantly grown due to globalisation?
a) Textile industry
b) IT and software services
c) Cottage industries
d) Traditional handicrafts
Answer: b) IT and software services

What is one major disadvantage of globalisation for small farmers in India?
a) Increase in government support
b) Exposure to international competition
c) Access to better markets
d) Reduction in agricultural productivity
Answer: b) Exposure to international competition

Which sector has received the maximum foreign investment in India?
a) Manufacturing
b) Services
c) Agriculture
d) Real estate
Answer: b) Services

What is one feature of trade liberalisation?
a) Increasing trade barriers
b) Removing trade restrictions and promoting free trade
c) Restricting international imports
d) Increasing import duties
Answer: b) Removing trade restrictions and promoting free trade

Which of the following promotes free trade globally?
a) WTO
b) UNESCO
c) IMF
d) World Bank
Answer: a) WTO

What is the effect of globalisation on Indian culture?
a) Preservation of traditional practices only
b) Exposure to international cultures and trends
c) Elimination of Indian languages
d) Promotion of isolationist policies
Answer: b) Exposure to international cultures and trends

What does foreign investment lead to?
a) Decline in production efficiency
b) Introduction of advanced technology
c) Restriction on job creation
d) Increase in trade barriers
Answer: b) Introduction of advanced technology

What is the primary goal of MNCs?
a) Promoting local businesses
b) Maximising profits
c) Increasing government control
d) Restricting global trade
Answer: b) Maximising profits

Which of the following is NOT a consequence of globalisation?
a) Increased consumer choices
b) Higher competition in markets
c) Reduced job opportunities in services
d) Faster technology transfers
Answer: c) Reduced job opportunities in services

What role do advancements in communication play in globalisation?
a) They create barriers for trade
b) They facilitate quick and efficient information exchange
c) They reduce the demand for global products
d) They increase the need for trade restrictions
Answer: b) They facilitate quick and efficient information exchange

Which of the following has helped Indian companies like Infosys and TCS grow globally?
a) Heavy government regulation
b) Global demand for IT services
c) Decline in software exports
d) Trade barriers in developed countries
Answer: b) Global demand for IT services

Why do governments attract foreign companies?
a) To reduce economic growth
b) To create jobs and boost exports
c) To limit competition
d) To restrict consumer choice
Answer: b) To create jobs and boost exports

What happens when domestic industries fail to compete with MNCs?
a) Growth in domestic production
b) Closure of small-scale industries
c) Expansion of local markets
d) Reduction in foreign investment
Answer: b) Closure of small-scale industries

What is one benefit of globalisation for Indian consumers?
a) Limited variety of products
b) Availability of international brands at competitive prices
c) Increased import duties on foreign goods
d) Restriction on consumer goods
Answer: b) Availability of international brands at competitive prices

Why is competition among producers important in a globalised market?
a) It reduces product quality
b) It increases inefficiency in production
c) It ensures better quality and affordable pricing for consumers
d) It limits product availability
Answer: c) It ensures better quality and affordable pricing for consumers

How do MNCs benefit developing countries?
a) By creating jobs and boosting technology
b) By reducing local competition
c) By limiting exports
d) By focusing only on profits
Answer: a) By creating jobs and boosting technology

What is one disadvantage of globalisation for workers?
a) Improved working conditions
b) Loss of job security and increased exploitation
c) Reduction in consumer choices
d) Lack of access to global markets
Answer: b) Loss of job security and increased exploitation

What is the primary objective of the World Trade Organization (WTO)?
a) Restrict trade between countries
b) Promote free trade and reduce trade barriers
c) Impose import taxes globally
d) Support isolationist policies
Answer: b) Promote free trade and reduce trade barriers

Which sector in India has been the most influenced by globalisation?
a) Agriculture
b) IT and software services
c) Cottage industries
d) Handicrafts
Answer: b) IT and software services

What is the role of SEZs in promoting globalisation?
a) Providing incentives like tax benefits to attract foreign investors
b) Increasing trade restrictions
c) Reducing exports
d) Limiting the entry of MNCs
Answer: a) Providing incentives like tax benefits to attract foreign investors

Which of the following can be considered a trade barrier?
a) Import taxes and quotas
b) Foreign investments
c) Special Economic Zones (SEZs)
d) Free trade agreements
Answer: a) Import taxes and quotas

Why do MNCs outsource their services to developing countries?
a) Availability of skilled labor at lower costs
b) Lack of competition
c) High taxes in developing countries
d) Advanced infrastructure in developing countries
Answer: a) Availability of skilled labor at lower costs

Which of the following is an impact of globalisation on Indian producers?
a) Increased access to global markets
b) Decline in production capabilities
c) Reduced foreign investments
d) Higher dependence on local markets
Answer: a) Increased access to global markets

What is the main benefit of globalisation for developing economies?
a) Restricted use of technology
b) Improved access to international investments and trade
c) Decline in exports
d) Elimination of competition
Answer: b) Improved access to international investments and trade

How does globalisation affect employment in India?
a) Creates more jobs in the IT and service sectors
b) Reduces opportunities in all industries
c) Focuses only on urban areas
d) Eliminates competition in rural industries
Answer: a) Creates more jobs in the IT and service sectors

What is one major challenge faced by local producers due to globalisation?
a) Lack of government support
b) Stiff competition from international companies
c) Reduced consumer demand
d) Limited technological advancements
Answer: b) Stiff competition from international companies

What is the significance of liberalisation for Indian companies?
a) Increases trade restrictions
b) Allows easier access to international markets
c) Promotes dependency on imports
d) Eliminates competition
Answer: b) Allows easier access to international markets

Which of the following industries has grown significantly due to outsourcing in India?
a) Textile
b) IT and software services
c) Handicrafts
d) Manufacturing
Answer: b) IT and software services

What is one key reason for the success of India’s IT industry in the global market?
a) Abundance of natural resources
b) Skilled and cost-effective workforce
c) Government restrictions on imports
d) Limited technological advancements
Answer: b) Skilled and cost-effective workforce

What has been the impact of globalisation on consumer choices in India?
a) Limited variety of goods
b) Increased variety and availability of products
c) Elimination of foreign products
d) Reduced competition among brands
Answer: b) Increased variety and availability of products

Why are Special Economic Zones (SEZs) considered a tool for globalisation?
a) They increase trade barriers
b) They attract foreign investments with tax incentives
c) They focus on restricting imports
d) They are exclusively for local industries
Answer: b) They attract foreign investments with tax incentives

Which of the following is a negative impact of globalisation on Indian farmers?
a) Increased access to advanced tools
b) Dependence on foreign markets for agricultural exports
c) Higher profits from local markets
d) Protection from international competition
Answer: b) Dependence on foreign markets for agricultural exports

Which organisation promotes free trade and aims to reduce trade barriers?
a) World Trade Organization (WTO)
b) International Monetary Fund (IMF)
c) United Nations (UN)
d) Reserve Bank of India (RBI)
Answer: a) World Trade Organization (WTO)

What does outsourcing mean for Indian companies?
a) Exporting goods to foreign countries
b) Providing services for foreign clients
c) Importing raw materials
d) Restricting international trade
Answer: b) Providing services for foreign clients

How has globalisation influenced India’s service sector?
a) Reduced job opportunities
b) Boosted demand for Indian IT services globally
c) Increased trade barriers for service exports
d) Limited investment in services
Answer: b) Boosted demand for Indian IT services globally

Why do foreign companies invest in India?
a) Low production costs and access to a large market
b) Strict government regulations
c) Limited workforce availability
d) High trade tariffs
Answer: a) Low production costs and access to a large market

Which technological advancement has significantly promoted globalisation?
a) Traditional communication systems
b) Development of the internet and telecommunication
c) Invention of steam engines
d) Use of manual farming techniques
Answer: b) Development of the internet and telecommunication

What has been the role of liberalisation in India’s economic growth?
a) Encouraged strict trade restrictions
b) Allowed foreign investment and free trade
c) Reduced export opportunities
d) Eliminated international competition
Answer: b) Allowed foreign investment and free trade

What is one reason why small producers face challenges due to globalisation?
a) High competition from MNCs
b) Increased government subsidies
c) Lack of access to skilled labor
d) Absence of consumer demand
Answer: a) High competition from MNCs

Which industry has benefited the most from outsourcing in India?
a) Handicrafts
b) Information Technology (IT)
c) Cottage industries
d) Textile industry
Answer: b) Information Technology (IT)

What is the main goal of Special Economic Zones (SEZs)?
a) Restrict international trade
b) Attract foreign investment through tax benefits and infrastructure
c) Promote only local businesses
d) Limit export opportunities
Answer: b) Attract foreign investment through tax benefits and infrastructure

What is a significant drawback of globalisation for local artisans?
a) Government support for their products
b) Lack of competition from MNCs
c) Decline in demand for traditional goods
d) Increase in exports of traditional crafts
Answer: c) Decline in demand for traditional goods

Which of the following is NOT a feature of globalisation?
a) Integration of economies
b) Exchange of goods, services, and ideas
c) Restriction on foreign trade
d) Promotion of international investments
Answer: c) Restriction on foreign trade

What is one benefit of globalisation for developing countries?
a) Increased unemployment
b) Access to advanced technologies
c) Elimination of global competition
d) Reduction in foreign trade
Answer: b) Access to advanced technologies

What is the purpose of the World Trade Organization (WTO)?
a) Promoting trade barriers
b) Facilitating free and fair trade globally
c) Eliminating international investments
d) Supporting isolationist economies
Answer: b) Facilitating free and fair trade globally

Which Indian industry has grown the most due to global outsourcing?
a) Real estate
b) Software development
c) Cottage industries
d) Agriculture
Answer: b) Software development

Why is globalisation often associated with MNCs?
a) MNCs promote local businesses
b) MNCs connect global markets through trade and investment
c) MNCs operate only in domestic markets
d) MNCs focus only on local workforce development
Answer: b) MNCs connect global markets through trade and investment

How does foreign trade impact domestic markets?
a) Creates a monopoly for local producers
b) Provides consumers with more choices and increases competition
c) Reduces competition among producers
d) Increases trade restrictions
Answer: b) Provides consumers with more choices and increases competition

What is one reason for the rapid growth of MNCs in India?
a) Strict government regulations
b) Availability of cheap labor and resources
c) Reduction in foreign trade agreements
d) Decline in consumer demand
Answer: b) Availability of cheap labor and resources

Which of the following has increased due to globalisation in India?
a) Job opportunities in the IT and service sectors
b) Trade barriers in agriculture
c) Protection of local industries
d) Reduction in consumer choices
Answer: a) Job opportunities in the IT and service sectors

Why is globalisation beneficial for consumers?
a) Restricts product choices
b) Increases variety and availability of quality goods at competitive prices
c) Promotes local monopolies
d) Reduces access to international brands
Answer: b) Increases variety and availability of quality goods at competitive prices

What has been a major cultural impact of globalisation in India?
a) Preservation of traditional practices only
b) Influence of global cultural trends
c) Elimination of local languages
d) Decline in consumer demand for foreign products
Answer: b) Influence of global cultural trends

Which technological development has facilitated outsourcing in India?
a) Steam engines
b) Internet and advanced communication systems
c) Traditional trade routes
d) Use of manual equipment
Answer: b) Internet and advanced communication systems

What is one role of SEZs in the Indian economy?
a) Promoting foreign investment and export-oriented industries
b) Restricting international trade
c) Supporting only traditional industries
d) Increasing trade barriers
Answer: a) Promoting foreign investment and export-oriented industries

How does globalisation create job opportunities in India?
a) By promoting local monopolies
b) By attracting MNCs that establish industries in India
c) By discouraging exports
d) By eliminating local producers
Answer: b) By attracting MNCs that establish industries in India

What is the main disadvantage of globalisation for small-scale producers?
a) Protection from government subsidies
b) Difficulty in competing with global MNCs
c) Limited consumer demand for global products
d) Elimination of foreign competition
Answer: b) Difficulty in competing with global MNCs

Why is foreign trade essential for globalisation?
a) It restricts the movement of goods and services
b) It integrates markets and promotes competition
c) It increases trade barriers
d) It discourages investment in developing economies
Answer: b) It integrates markets and promotes competition

Which of the following is a key feature of MNCs?
a) Focus only on local markets
b) Operation in multiple countries with global production chains
c) Absence in developing economies
d) Promotion of isolationist policies
Answer: b) Operation in multiple countries with global production chains

What is the impact of globalisation on Indian culture?
a) Promotion of cultural isolation
b) Exposure to international trends and ideas
c) Elimination of traditional festivals
d) Increased trade barriers
Answer: b) Exposure to international trends and ideas

Why do MNCs prefer to set up their factories in developing countries?
a) High tax benefits and availability of cheap labor
b) Limited market access
c) Expensive infrastructure
d) High wages and production costs
Answer: a) High tax benefits and availability of cheap labor

How has globalisation affected the Indian IT industry?
a) Increased competition in local markets
b) Expansion of outsourcing and job creation globally
c) Decline in export opportunities
d) Reduction in technological advancements
Answer: b) Expansion of outsourcing and job creation globally

What is one significant effect of globalisation on small farmers in India?
a) Protection from international competition
b) Dependence on global markets for agricultural exports
c) Increase in government subsidies
d) Decline in the use of machinery
Answer: b) Dependence on global markets for agricultural exports

Why do governments encourage the setup of SEZs?
a) To promote foreign investment and boost exports
b) To reduce employment opportunities
c) To eliminate MNCs
d) To discourage industrial growth
Answer: a) To promote foreign investment and boost exports

What is one advantage of foreign trade for producers?
a) Access to a larger market for their products
b) Reduced competition
c) Elimination of global consumers
d) Restriction on exports
Answer: a) Access to a larger market for their products

How has globalisation impacted Indian agriculture?
a) Increased export opportunities for agricultural products
b) Decline in modern farming practices
c) Reduced global demand for Indian products
d) Higher trade restrictions on exports
Answer: a) Increased export opportunities for agricultural products

What is a key feature of outsourcing?
a) Local production of goods
b) Providing services or production tasks to cheaper regions
c) Restricting international trade agreements
d) Exporting only traditional products
Answer: b) Providing services or production tasks to cheaper regions

Why is competition important in a globalised market?
a) It limits consumer choices
b) It ensures better products and affordable prices
c) It promotes monopolies
d) It discourages technological advancements
Answer: b) It ensures better products and affordable prices

What is one significant cultural impact of globalisation?
a) Elimination of cultural diversity
b) Exchange and integration of cultural practices globally
c) Increased isolation of cultures
d) Decline in consumer demand
Answer: b) Exchange and integration of cultural practices globally