Globalisation refers to the increasing integration and interdependence of economies across the world through the exchange of goods, services, capital, and information. It is characterized by the free flow of goods, services, and capital across national borders, as well as the increasing interconnectedness of countries through technology and communication. When economic activities in a country are influenced by economic activities in other countries, it is referred to as globalisation.

Foreign Trade:
One of the key aspects of globalisation is foreign trade, which involves the exchange of goods and services between countries. Foreign trade allows countries to specialize in the production of goods and services in which they have a comparative advantage and import goods and services that they are less efficient in producing. As a result, the economic activities of a country are influenced by the demand and supply conditions in other countries, leading to an interdependence between nations.

Competition:
Globalisation also leads to increased competition among countries. As barriers to trade and investment are reduced, companies from different countries can compete with each other in the global market. This competition can lead to improved efficiency and productivity as companies strive to offer high-quality products at competitive prices. The presence of global competition can influence the economic activities of a country by affecting the pricing, production, and innovation strategies of domestic firms.

Impact of Globalisation:
Globalisation has several implications for countries. It allows for the transfer of technology, knowledge, and skills across borders, which can contribute to economic growth and development. It also provides access to a larger market for goods and services, which can benefit both producers and consumers. However, globalisation can also have negative effects, such as increased inequality and job displacement in certain sectors.

In conclusion, globalisation refers to the increasing interconnectedness and interdependence of economies across the world. When economic activities in a country are influenced by economic activities in other countries, it is known as globalisation. This influence can occur through foreign trade and increased competition among countries. Globalisation has both positive and negative effects on countries and requires careful management to ensure the benefits are maximized and the costs are minimized.