(i) Loss of domestic industries: Globalization causes decline in the demand of domestic products which in turn vanishes the domestic business.
(i) Increase in inequalities: Globalization widens the gap between rich and poor. Also developed countries exploit the resources of developing countries.
(ii) Dominance of foreign institutions: Economic power shifts from independent industries to international organisations which is a threat to national Sovereignty.

(i) Foreign trade policy
(ii) Expect promotion
(iii) Freedom to repatriate
(iv) Reduction in traiffs
(v) Encouraging open competitive

Disadvantages:
(i) Lack of welfare: Majority of private companies whose main motive is profitmaking, do not indulge in public interest or welfare services like free education to poor, free medical treatment, etc.
(ii) Political pressure: When private companies fail to deliver, the public has no powers to intervene and government does not always have time or expertise to force them to keep their promises.
(iii) Ignores the weaker sections: Privatisation often goes hand in hand with encouraging richer people to pay more and opt for best quality services.

(i) The Government has started the process of disinvestment in those PSUs which had been running into loss.
(ii) It means that Government has been selling out these industries to private sector.
(iii) So disinvestment is a system of privatising government enterprises.

i) Privatization is the incidence or process of transferring ownership of a business enterprise, agency or public service from the government to the private sector.
ii) Under this policy many Public Sector Units (PSUs) were sold to private sector.
iii) The main reason for privatisation was that PSUs were running in losses due to mismanagement and political interference.
iv) The managers could not work independently and the production capacity remained under-utilized.
v) To increase competition and efficiency privatisation of PSUs was inevitable.

The salient highlights of the Liberaisation, Privatisation and Globalisation Policy in India are,
(i) Introduction of new Foreign Trade Agreements
(ii) Foreign Investment (FDI & FII)
(iii) MRTP Act, 1969 (Amended)
(iv) Deregulation
(v) Opportunities for overseas trade
(vi) Steps to regulate inflation
(vii) Tax reforms
(viii) Abolition of License.