Essay The Pros and Cons of Economic Globalization

Globalization has, for better or worse, altered the economic arena for every country in the world. For many less developed countries, globalization has leveled the playing field so that their economies can compete with the larger, more developed ones such as the United States and other large western economies. For instance, technical engineers in India and China are now just as qualified as engineers in America, but at half the cost. The once large and prosperous service sector in the United States as well as telemarketing services have largely been sourced to India as a large exodus of American multinational corporations find cheaper workers who deliver comparable quality. This then seems to be the essence of globalization - businesses

Fueled by the expansion of multinational corporations and financial institutions, technological advances, and the increasing porousness of national borders, Globalization is a persistent, multifaceted phenomenon, which has and continues to have, significant impact on economical, political and cultural relations. The book, “The Lexus and The Olive Tree” by Thomas Friedman describes globalization as not just a fade or trend, but political and economical system that replaced the cold war. Friedman explains where we are and how we get here, through a series of skillful metaphors, highly relevant anecdotes, and cogent analysis. In this paper I provide a concise description of the principle arguments Friedman makes about globalization, and

Globalization has transformed the world economy over the past years. The spread of ideas and technology across borders has facilitated new avenues of trade, creating new markets and expanding others. However not only has the world benefitted

The last century has brought dramatic changes to the world. The globe has become more integrated, linking countries together economically, socially, and politically. Yet, as a result of this globalization, the world economy has become

Advocates of economic globalization state that “globalization offers a number of opportunities for individuals.” These “supporters” promises that globalization has the potential to make the world a better place and that it can, handled properly, solve world-wide poverty and unemployment. Also, these same individuals are for free trade, which is said to promote economic growth, create jobs, lower consumer prices and encourage competition. Because of globalization, free trade offers unlimited opportunities for business undertakings to create trade all over the world. There are several way in which trade is linked to globalization. The first way includes the extraordinary progress of foreign country investments. This progress has been permitted by worldwide internet accessibility. Another way, is the increased competitive advantage, through a diverse labor source. Different countries have specialized labor that goes along with in their manufacture goods. The evolution of technology modernization has also been subjective by trade on a worldwide

During the last decade of the twentieth century, the word ‘globalization’ has become an increasingly prominent feature of political, social, and economic discussion in academic and policymaking circles, as well as in the media. The processes and outcomes of globalization drew attention and debates that had one thing in common. The research shows that nearly everyone agrees that globalization is a trend that is changing the face of the world, and as a result the world society lives in a more ‘globalized’ world. Nearly two and a half decades passed since 1990s, and studies have been conducted to examine the causes and consequences of globalization. Moreover, nearly every person experiences some type of globalization and can testify firsthand the effects it has on their life, society, and the state. The analysis of the effects that globalization dynamics have on the world society indicates that globalization has a significant positive impact via spreading opportunities and wealth across nations, stimulating innovation and productivity, enhancing the economic development of poorer countries, and helping to improve living standards.

The article, “The Changing Nature of Globalization in Our Hyperconnected, Knowledge-Intensive Economy,” written by Irving Wladawsky-Berger, takes a present day look at a 2005 book, “The World is Flat: A Brief History of the Globalized World in the Twenty-first Century,” written by Tom Friedman. The two delve deeply into the burgeoning topic of globalization and the innovative, adaptive strategies necessary to keep up with the changing landscape of modern business. Both writers credit the fast pace, globalization path we are on to technological advances that allow everyone with a computer to be on a level playing field when it comes to competing, connecting and collaborating in the business world.

The term globalization based on business ideas can be defined as the process of extending to other parts of the world to develop an increase in the integrated global economic system from utilizing cheap labor from foreign markets, free flow of capitol, and free trade. This can all be good for business in that it makes operating in foreign markets more efficient. The term good can be defined as having profit, advantage or benefit. Therefore, globalization is good for business in that it benefits the organization by increasing profit in other world markets.

It is crucial to comprehend the concept of globalization. According to Marquardt and Berger (2003), globalization is defined as “the increasing flow and sharing information, connections, or links of people around the world.”(p. 281) or it can define as “the increasing interaction of national economic system.” (Walle & Asgary, 2002, p. 60). In order words, different countries companies can trade with each other and people can work with others’ countries’ companies without barriers.

The companies have become a key parameter, especially in the global economy. The size of global companies closely correlated with the decrease of vulnerabilities, with higher resistance to economic shocks occurred along the time and with their bigger chances of success in certain markets. Companies aim not only to optimize their size, but also to strengthen the global production networks, affording them a better competitive position, in a mighty competitive environment and under the pressure of quick development of the technological environment. The size of an organization has become a barrier that stops its entry into the sector, higher than profitability, which explains why some corporations have focused, in recent times, more on strengthening their position abroad, although their economic performance does not justify this endeavor. The process of economic globalization is both a resultant of the increasing activity of multinational organizations and a cause of their increasingly stronger internationally affirmation. However, global organizations activity is much more intense in the developed countries; their impact on the developing countries must not be neglected. Global organizations have a few main features that individualize them from all other forms of companies known so far:

In today’s world, economies are getting more integrated with each other every day. Different agreements are made with countries to help with trade and investment between the two. By doing so, it has the ability to help both economies by increasing the flow of money and culture between them. For example, we signed the North America Free Trade Agreement to help with trade in our region and also occurred when China joined the World Trade organization. The movement of different products and ideas is referred to as globalization. Globalization is the international trade, investments, information technology that weave individual countries’ economies together. It is known as economic integration of global markets, and helps third world countries

Some view globalization as being inevitable and key to our economic future. It has the potential of making societies richer through trade, and creates knowledge and understanding to people around

“Globalization is not just one impact of the new technologies that are reshaping the economies of the third millennium” (Thurow 19-31). When speaking of globalization, most people will not have a complete understanding as of what it actually means or what aspects of the world it affects. Globalization promotes free trade and creates jobs. The capital markets attract investors, resort cheap labor, and leads to job losses in some areas of higher wage. While all of this is happening, the world economy is being effected: economically, culturally, socially, and politically.

This purpose of this paper is to provide a guideline for discussion of the benefits and problems associated with globalization. The following points will show that the idea of globalization is both positive and negative, while providing five examples of specific net gain and net problems. The following paper will briefly discuss each issue, provide a short summary to provide context, give a mechanism that could assist with managing the issue, as well as identifying how each can help with the implementation of managing the resource.

Globalization is defined as the worldwide interdependence of resource flows, product markets and business competition that characterize our new economy. It is hardly unnoticeable how countries, organizations, people, resources, money, services and information are all interrelated globally. Thanks to the improvements in communication and transportation technologies, such interrelation is more and more achieved. There are many positive effects of globalization such as the rise of some developing nations through increased employment and technological advances. However, one can never underestimate the negative effects, such as the declining national sovereignty and shift of domestic jobs overseas where labor is much cheaper.