It’s a small world, after all. This saying has never been more true, and if trends continue to develop the way they are, the world may continue to shrink.
In light of advanced technology, higher demands from markets and faster turnaround times, globalization has become a staple for world commerce.
In the U.S., the term globalization often has negative connotations. For many, it represents a threat to their jobs, livelihood and way of life.
Though many Americans think of it as a dirty word, “globalization,” actually has been a catalyst for positive change as well.
K-State promotes globalization by offering Swahili courses
Here are four ways that globalization has had a positive impact on the world economy:
1. More efficient markets
Efficient markets should be what every economy strives for. Essentially, the sign of an efficient market is where there is an equilibrium between what buyers are willing to pay for a good or service and what sellers are willing to sell for a good or service.
If you can improve the way you produce a good or service by doing things such as outsourcing certain processes or buying from an overseas supplier that offers discounts, you can then afford to lower your selling price which results in increased demand and affordability.
Even if businesses don’t lower prices, they can make additional profits and then reallocate that excess profit into doing things like increasing wages, taking on more investments or even creating more expansion projects.
3 negative impacts of globalization on the United States
2. Increased competition
Anytime that you have multiple producers competing for a hold of the economy, that’s a good sign for consumers, as the quality of goods and services often goes up as a result.
When businesses started to venture across international borders, what they often did was introduce a new standard into the global marketplace. Consumers then had more options to choose from.
With more competitors to fight over market share, each company has to constantly look to improve their goods or services or create more value for their customers.
This means better products and sometimes lower prices, which is always a good thing for buyers.
3. Stabilized security
When your economy depends largely on another country’s economy, it is hard to imagine either one of the countries attacking the other. In a weird sort of way, globalization helped heighten world security.
Although this may seem kind of twisted since there is so much violence that still goes on in the world, the fact remains that globalization has halted many conflicts that could have turned ugly if their country’s financial health didn’t depend on the other.
4. More wealth equality throughout the world
Although many Americans contend that their standard of living has gone down because of globalization, the flip side to this is that hundreds of thousands of people around the world now have jobs, have started their own businesses and can provide comfort for their families.
Living in the U.S., we take things like clean water, shelter and plentiful food for granted. Our standard of living is so high compared to many nations that when we can no longer buy frivolous luxuries, we claim that we are poor.
Globalization may have stopped you from buying another flat screen TV, but it also helped countless people in developing countries put food on their table for their families.
See? There is a silver lining to it all.
Andy Rao is a junior in finance and accounting. Please send comments to firstname.lastname@example.org.
It is just great!!!
Globalization can join the various countries in the world and fuse the different cultures around the globe. Countries will produce products more efficiently and work together to form happy communities. Without globalization countries would have to make-do with their natural resources, restricting the amount of products we have. Globalization is more good than bad!!!!!
Im boreeeddddd i pressed no i know i was meant to press yh!!!!!!!!!
Hey buds i seriously dont know nothing bout whatever u guys sit and write for an hour but yh just wanted to say
Yes, Globalization its a good thing Because Phenomena that occur in the modern world. Have technology involved. Allowing people around the world to communicate instantly through the border less. And can gather political, economic, social and cultural relations. The combination into one technology and communication. And economic profit lead to industry reform. A variety of business options for humanity
Rich richer poor poorer simple
Globalization alows companies to create products cheaply but never pass on those savings to the consumer. In real terms western people could never afford to live the same lifestyle if the products they consumed were made by people on the same income as them. This is why middle class people feel wealthy because they can afford large TV, smartphone ect, but in real term we are poorer than ever.
Also, globalization is forced. Many countries are unable borrow money from the IMF unless they open their boarders to trade and international coorporations, who in turn use their resourses and exploit their workers.
Take Indonisia for example; rich in resourses oil gold and a large young population of workers. Yet the majority live in extreme povety mainly due to coruption caused by globalization.
There are many more reasons and examples that are easy to find.
Globalization - is it a good thing (yes) or a bad thing (no)? Obviously - NO!
Globalization is destroying everything that doesn't originate from the US. People from the US would say yes but only because they aren't feeling any consequences of it.
It destroys other countries' economy - you have to buy their products and not help your country to buy your own products. Croatia is in a lot of a trouble for saying "Let's buy our own products!".
It destroys other countries' culture - just until recently we didn't have porn industry (which came from where?), music style (just look at Eurovision), rafts, alcoholism drugs and smoking on THAT kind of level etc.
Everybody now has to use English even when it's not required (you're not talking to people abroad).
To return to the the Eurovision - look at the songs. No song that is not in English has no chance of winning (except for a few years).
Rome fell because it became too large.
When dealing with things like globalization it is touch to pick one side. It really matters what we are comparing, are we comparing global economy? Are we comparing global military control? Are we comparing global presidential rule?
Although, most cases, I would have to agree that it is a bad thing. Global economy- if it fails, we all fail. Global military control- suppose I don't support the new global leaders views?? I can't fight the entire globe. Global leader- this is the scariest one, even though I believe it may already be happening, we are all just pawns in the game that the world leaders control. We behave as they tell us too.
Globalization is bad.
Everyone is different
I love the U.S.A. I'm so happy I was not born in a third world country, but that's what makes the world such a great place. We get to travel see how other people from other parts of the world live. If we were all the same there would be no reason to see the world because there is no diversity.
Identity of a nation
Globalization has a tendency to influence the lives of people were ever it occurs this is the reason that it is also associated with Americanization. It brings very American ways in to different countries. Globalization affects 3 different areas economic, political and cultural but with that comes ethical implications. Globalization is a fashion trend it brings certain trends to different countries for example in technologically specifically phones it brings the trend of having the most updated smart phone out there which is associated with a very american view. Globalization affects identity because it brings the economic, political and cultural view point of a foreign country to its host country.
They are manipulative giants
Multinational companies do have benefits, yes, on 'host' countries. They bring in foreign currency, employment opportunities, give funding to the governments in the countries they have bases in, and increase the GDP, to name a few. However their drawbacks outweigh their benefits. These companies can exploit the local workforce. For example some countries have less intense labor and health and safety rules and multinationals use that to their advantage. They might use cheap labor and give unfair hours. Issues of child labor have stemmed from this. The separation of these far-away factories means they do not have the investigative eye of the western media to watch them.
Another issue with multinationals is pollution. Some host country's governments for fear of losing all the said 'benefits' of the multinational do not insist on the factories adhering to stringent environmentally conscious practices. An example of this was the Bhopal gas leakage in 1984. In the Union Carbide pesticide plant in India, over 500,000 people were exposed to toxic gases due to a leak in the plant. There were many fatalities. The issue was due to the operating of the plant with safety equipment and procedure far below the regular standards. The local government was aware of this but did not intervene due to the reason I said before-they wanted to keep the large employer.
My final issues with multinationals are that they take aware opportunities from local competing firms, they reduce a countries cultural identity by surrounding them with their western ideals, and finally the natural resources of that country can be used for the multinational, and once they are depleted the multinational is able relocate quickly, leaving the host country to pick up the pieces.
Great for the top 1% only.
Simple supply and demand . Force workers the entire world over to compete for jobs, thereby driving wages down to the level of the lowest slave-labor competitor. As an American, I am quite aware that unless we leave WTO, NAFTA, etc, and raise tariffs, we will never escape this 6 yrs and running recession, as the jobs have all been outsourced to China, India, Mexico, etc. Not that the people working in those countries are benefiting either. All profit goes to the multi-national corporations, and the 1% who reap the benefits. We all need to wake up and stop this global exploitation.
No no no very bad thing
Globalization has cause the countries to loose there identity like there culture there food and what the countries has unique about it has just faded away. The role of LEDCs in the world market is mostly to provide the North and West with cheap labour and raw materials. As we also said in the previous slide as the factories are moving to the sea side it is ruining the natural beauty of earth and the factories produce so much and that produces carbon dioxide and that gas will start ruining the ice claps and the city will be underwater before we know it.