Global Consumer Choices Video Lecture | Social Studies (SST) Class 10

0:0:0: in our Market we have high technology
0:0:3: cameras Sleek mobile phones and
0:0:6: highdefinition televisions in daily
0:0:9: use the market is flooded with items
0:0:12: from top brands from all over the world
0:0:15: but remember there was a time when only
0:0:18: ambassadors and Fiats ruled the Indian
0:0:21: roads now fast forward to today's
0:0:24: streets which are filled with cars of
0:0:26: many
0:0:28: Brands it's not just about about cars
0:0:31: whether it's the shirts we wear the
0:0:33: televisions we watch or the fruit juices
0:0:36: we drink the choices are
0:0:38: endless but how did our choices increase
0:0:41: in just a few decades we are going to
0:0:44: find the answer to this
0:0:48: question production across countries
0:0:51: until the middle of the 20th century the
0:0:54: production of goods was mainly done
0:0:56: within National
0:0:58: boundaries the import orts and exports
0:1:0: were limited to raw materials and final
0:1:4: products colonies like India were known
0:1:7: for exporting raw materials and
0:1:9: importing the finished
0:1:11: products international trade was the
0:1:13: primary means of connecting distant
0:1:16: countries during this period there was
0:1:19: the emergence of multinational companies
0:1:22: the concept of MNC was based on large
0:1:25: companies that had production facilities
0:1:27: in more than one country
0:1:30: these corporations started to cleverly
0:1:32: place offices globally depending on the
0:1:35: needs of
0:1:36: production they set up production
0:1:38: centers in places where production costs
0:1:41: were minimal and cheap resources were
0:1:43: abundant like Manpower and raw
0:1:46: materials the main objective of an MNC
0:1:50: is to minimize expenses and maximize
0:1:53: profits now let us talk about the
0:1:56: current situation of the world we have
0:1:58: several MN who are leading manufacturers
0:2:1: of the world let us take an example of a
0:2:5: large MNC this MNC provides Industrial
0:2:9: Equipment all over the world it has
0:2:12: divided the production into different
0:2:14: parts in different
0:2:16: centers product designs are made in the
0:2:19: USA components are manufactured in China
0:2:23: equipment assembly is done in Mexico and
0:2:26: Eastern Europe the finished products are
0:2:29: sold all over the world India takes care
0:2:32: of the customer service in this example
0:2:36: we can understand how an MNC can
0:2:38: minimize its
0:2:40: expenses China serves as a coste
0:2:42: effective manufacturing Hub due to its
0:2:45: cheap labor and operating costs as a
0:2:47: production
0:2:49: location Mexico plays an important part
0:2:52: because of its closeness to the European
0:2:55: market India stands out for its highly
0:2:58: skilled Engineers adapted at
0:3:0: understanding technical aspects of
0:3:2: production Additionally the country's
0:3:5: educated English-speaking youth
0:3:7: contribute to customer care
0:3:10: services all these factors help in
0:3:12: Saving 50 to 60% of the company's
0:3:16: finances so the mnc's not only sell
0:3:19: their goods globally but also take
0:3:22: advantage of global resources during
0:3:26: production interlinking production
0:3:28: across countries
0:3:30: multinational corporations location
0:3:33: selection in general multinational
0:3:36: corporations mncs strategically
0:3:39: establish production facilities based on
0:3:41: certain factors such as proximity to
0:3:44: markets availability of skilled and
0:3:46: unskilled labor at low costs and
0:3:49: Assurance of other necessary production
0:3:52: factors additionally mnc's also consider
0:3:56: government policies that align with
0:3:58: their interests once these conditions
0:4:1: are met mnc's start investing money for
0:4:4: setting up production
0:4:6: bases they buy land buildings machines
0:4:10: and equipment to set up factories and
0:4:13: offices all the funds invested in these
0:4:16: assets are commonly known as foreign
0:4:19: investment the primary objective of such
0:4:22: investment is to generate profits from
0:4:24: the acquired
0:4:26: assets multinational companies try
0:4:29: various ways to set up production
0:4:31: centers and minimize their
0:4:33: investment so they can be majorly
0:4:36: categorized into two ways
0:4:39: cooperation mnc's sometimes engage in
0:4:42: joint production with local
0:4:44: companies this offers a double advantage
0:4:47: to local companies firstly mnc's can
0:4:51: provide financial support for additional
0:4:54: Investments such as acquiring new
0:4:57: Machinery secondly MNC es May introduce
0:5:0: the latest production technology
0:5:3: benefiting the local
0:5:5: companies
0:5:7: dominance the common route for MNC
0:5:10: Investments involves buying local
0:5:12: companies and then expanding
0:5:15: production let us take an example kagal
0:5:19: Foods a world famous MNC invested in
0:5:22: India it bought several different local
0:5:26: companies such as parak food a
0:5:28: well-reputed brand
0:5:30: NOW parak Foods had four oil refineries
0:5:33: in India whose control shifted to
0:5:36: kgal because of this kgal has now become
0:5:39: the largest producer of edible oil in
0:5:42: India earning millions of profit daily
0:5:46: the financial power of many top mnc's
0:5:48: surpasses the entire budgets of
0:5:51: developing country
0:5:53: governments this immense wealth grants
0:5:55: these corporations significant influence
0:5:58: and control over glob Global
0:6:0: Production many large mnc's instead of
0:6:3: setting up production bases they Place
0:6:6: orders from smallscale companies and
0:6:9: import Goods at a cheap price clothes
0:6:12: Footwear and sports items are examples
0:6:15: of such
0:6:17: cases the imported goods are then sold
0:6:20: under the name of MNC which earns them
0:6:22: huge
0:6:23: profits also these companies get
0:6:26: complete control over the pricing
0:6:29: quality delivery and labor conditions of
0:6:32: these
0:6:33: producers hence we can see that mnc's
0:6:36: can earn profits by using different
0:6:39: strategies for different
0:6:41: countries as a result production in
0:6:44: these widely dispersed locations is
0:6:46: getting
0:6:48: interl foreign trade and Market
0:6:51: integration for a long time foreign
0:6:54: trade has been the main way of
0:6:56: connecting
0:6:57: countries historical trade routes
0:7:0: between India South Asia and markets in
0:7:3: the east and west highlight this
0:7:5: connection foreign trade serves as an
0:7:8: opportunity for producers to increase
0:7:10: their target market from local to Global
0:7:13: level sellers can sell their goods in
0:7:16: different countries also buyers have an
0:7:20: increased choice in type of goods they
0:7:23: can find almost everything in the market
0:7:26: foreign trades role in Market
0:7:28: integration
0:7:30: foreign trade connects markets across
0:7:33: countries this leads to the integration
0:7:35: of markets globally the movement of
0:7:38: goods between markets results in an
0:7:41: increased variety of
0:7:43: products the prices of similar Goods
0:7:46: become the same producers from different
0:7:49: countries engage in close competition
0:7:52: despite geographical
0:7:54: separation let us consider an example
0:7:57: you all must have seen the the dominance
0:8:0: of Chinese toys in the market in the
0:8:3: past Chinese toy manufacturers saw an
0:8:6: opportunity to expand their business in
0:8:9: India so they started exporting toys to
0:8:12: India this led to increased choices of
0:8:15: toys for Indians due to low prices and
0:8:19: Innovative designs Chinese toys started
0:8:21: gaining popularity in
0:8:24: India this led to a shift in the market
0:8:26: where Chinese toys completely overtook
0:8:29: market so as a result of foreign trade
0:8:32: Indians were able to have a large amount
0:8:35: of
0:8:35: options Chinese toy makers were able to
0:8:39: expand their business Indian toy makers
0:8:42: had to face losses because of the
0:8:44: inferior quality of
0:8:46: toys influence of foreign trade on
0:8:49: market
0:8:50: dynamics foreign trade transforms
0:8:53: markets by introducing diverse Goods
0:8:56: influencing consumer choices and
0:8:58: reshaping the a competitive
0:9:0: landscape this integration of markets as
0:9:4: seen through the example of Chinese toys
0:9:6: in Indian markets demonstrates the
0:9:9: profound effects of global trade on
0:9:11: local
0:9:12: Industries foreign trade thus results in
0:9:15: connecting the markets or integration of
0:9:18: markets in different
0:9:20: countries the result of Greater foreign
0:9:22: investment and greater foreign trade has
0:9:25: been greater integration of production
0:9:27: and markets across country
0:9:29: Ries now that we have understood the
0:9:32: basic workings of mnc's we should
0:9:35: provide an appropriate term for the
0:9:37: effect of the emergence of
0:9:39: mnc's
0:9:41: globalization globalization is the
0:9:43: process of Rapid integration or
0:9:46: interconnection between countries mnc's
0:9:49: are a big part of
0:9:51: globalization they are involved in
0:9:53: moving Goods Services Investments and
0:9:57: Technology across countries
0:10:0: nowadays different parts of the world
0:10:2: are commercially closer to each other
0:10:4: than they were a few decades ago the
0:10:7: movement of people has also increased
0:10:10: the interconnection between
0:10:12: countries people usually move from one
0:10:15: country to another in search of better
0:10:17: income better jobs or better
0:10:21: education conclusion in conclusion the
0:10:24: emergence of multinational corporations
0:10:27: mnc's and the evolution of foreign trade
0:10:30: have led to a phenomenon known as
0:10:33: globalization mnc's strategically
0:10:36: distribute production across countries
0:10:38: to minimize costs and take advantage of
0:10:41: global
0:10:42: resources through joint ventures and
0:10:45: dominance they exert significant
0:10:47: influence on local
0:10:49: markets foreign trade enhances Market
0:10:52: integration globally providing consumers
0:10:55: with diverse choices but also impacting
0:10:58: local industry
0:10:59: Ries the result is a highly
0:11:2: interconnected world where Goods
0:11:4: services and Technology flow seamlessly
0:11:7: across borders contributing to the rapid
0:11:10: and ongoing process of
0:11:12: globalization we hope that you have
0:11:14: understood the concept of
0:11:16: mnc's now here's a secret on how you can
0:11:20: study effectively with the edu rev app
0:11:23: you can learn with chapter notes watch
0:11:26: video lectures and solve ncert based McQ
0:11:30: tests of this chapter on edu rev and
0:11:33: that's not all you also get amazing
0:11:35: courses for class 10 and much more for
0:11:38: your class 10
0:11:39: preparation thank you