THE ROLE OF GLOBALIZATION IN CHANGING CONSUMPTION PATTERNS: A CASE STUDY OF PUNJAB, PAKISTAN

Abstract

Purpose of the study: Since the process of globalization is reshaping the thoughts of individuals about the world and creating uniform consumption patterns, the present study is designed to investigate that how globalization is changing the consumption patterns of the people living in Punjab, Pakistan. Methodology: The present study has collected primary data from the three big cities of Punjab, Pakistan. A quantitative research method is applied to carry out results. Both paper-pencil and web-based methods were used to collect data. Using multistage sampling, sophisticated estimation techniques, such as Confirmatory Factor Analysis (CFA) and Structural Equation Modeling (SEM), are applied to obtain the results. Main findings: The results of CFA confirm that the variable globalization is constructed with the help of commerce, information communication and technology (ICT), and education while the variable consumption patterns variable is measured with the help of physiological needs, communication needs, and ethnic household consumption. The results of SEM show that globalization is changing the consumption patterns of the individuals living in Punjab, Pakistan. Application of the study: The outcome of the present study shows that globalization through Multinational Corporations (MNCs), ICT, and education is changing the consumption patterns of individuals. This study draws the attention of policymakers to fix the minimum wage rate for workers working in MNCs and compel MNCs to revise their pricing policy. Novelty/ Originality of the study: The present study is a rare initiative as, to the best of the researcher’s knowledge; there is not even a single study that has considered all the dimensions of globalization and consumption patterns. This study is an important contribution as it fulfils various gaps that exist in the existing literature.