Globalization refers to the worldwide phenomenon of technical, economic, political and cultural exchanges, brought about by modern communication , transportation and legal infra structure as well as the political choice to consciously open cross-border links in the international trade and finance.

• Globalization encourages international capital and trade overcoming the political barriers among the countries. 
• Globalization creates free trade zone by removing the import and export duties. 
• Through container service in shipping, globalization reduces the transportation expenses.
• Globalization helps to reduce the restriction on capital investment or fully removes the barriers on capital flow. 
• Globalization creates subsidies to the worldwide trade organization Globalization creates harmonization of intellect property laws across the majority of states which have more restrictions. Ex : Some patent goods of China are found in some prominent business houses of America.)