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• Due to advances in technology and developments in flight and train travel and speeds, the world has in effect 'shrunk' and countries are now able to trade across borders and great distances with relative ease
• A company is no longer restricted to its own local, national market and can trade across land and language barriers
• Profit maximisation is most companies' ultimate objective, and developing international markets and growing exports is another way to achieve this
• Globalisation


  It is far more significant than just exports or trading with other countries. It incorporates the movement of people, the sharing of information, and cultural exchange
• Global organisations wield international influence
• McDonald's opening their first outlet in China was not just economic growth, it was American cultural influence, Westernisation, in a predominantly communist country
• Globalisation is a concern for some countries which wish to preserve and maintain distinctly separate national identities
• Economic progress necessitates trade across borders and the supply and demand for certain commodities and resources makes partners out of diverse cultures
• Political changes in 2016 in Europe, and subsequently in the USA in early 2017, have given rise to a media that has adopted a more protectionist political commentary and a fierce resistance to internationalism – particularly to immigration
• Few countries are self-sufficient enough to operate independently – that is, as an 'autarky'
• A business in the UK does not operate in isolation from the rest of the world. It may not export its final product, but its inputs may have been imported from abroad
• It is influenced by international exchange rates and global market forces
• International trade might be necessary if a country lacks the resources a business needs for production
• Socio-economic or competitive factors might make the domestic market too small for a business, and so they can use their excess capacity to export abroad instead of limiting growth
• Efficiency is unlikely if a country limits international trade
• Most countries need to trade internationally for some reason or another
• Importing and exporting products will continue throughout the foreseeable future
• Marketing might need to take into account certain political influences in an increasingly globalised world
• The Brexit vote was seen by many as consumers rejecting globalisation and seeking to regain national sovereignty – but this is almost impossible to achieve in the interconnected world of finance and capital goods
• Financial centres of trade such as London and Manchester had the highest percentage of voters wishing to remain in the European Union
• Global markets


  Globalisation rules in financial markets as money moves effortlessly and expediently through countries and cities and is itself a traded commodity
• Local markets


  Most companies trade in a series of national markets rather than one truly global market
• Money is global, so too are raw materials such as oil, gas, coal, gold, and other natural commodities
• Once you move into products in secondary markets – e.g. steel and manufactured goods – differences between countries in technical specifications, processes and requirements become apparent
• Globalised products may have underlying commonalities – e.g. a car is a car, whether in India, Britain or America – but there are major differences in the consumer behaviour and preferences in those markets, as well as in their ability to even purchase a product
• Local markets are clearly attractive for any company since they have first-hand knowledge of consumer behaviour, customs and the cultures of that market
• Logistics are confined to a known area and are thus easier to control in local markets
• A local market may also be highly competitive and there may even be saturation of the market for a firm's products or services
• The attraction of global business is wider market penetration and potentially less-intense competition – although the competition, while less intense, is likely to be stronger on the international stage
• Companies entering global markets need to reassess their marketing strategies in order to successfully penetrate those markets
• Businesses sometimes choose to 'stay local' because the barriers to entry to foreign markets are too steep – these barriers could be formal (e.g. tariffs, regulations) or informal (e.g. differences in preferences and traditions)
• Other businesses see global markets as a necessary way to hedge their bets against national economic downturns – although 'contagion' is become an increasingly important issue in international economic markets
• The most effective means for a company to expand into international markets is often through a takeover or merger
• Nominal values


  The current values of a measure at the time of recording them
• Real values


  The value of goods and services produced in a country in one year, given the monetary value that they would have had if they were produced in the same base year
• Nominal GDP is the (monetary) value of an economy's output using the prices of the goods and services at the time of recording them
• Prices change over time due to market forces of supply and demand
• If prices keep changing then the unit of measurement of GDP keeps changing, meaning when comparing the amount an economy has produced from one year to the next, growth will be exaggerated by the increasing trend of prices (inflation)
• Real GDP growth is a key economic variable that politicians will use to declare success or failure of their economic policies
• Index numbers


  Used to make quick and easy comparisons of values over time because they provide comparable numbers from a base year that easily show percentage increase/decrease