In short, Globalization is the free movement of goods, services and people across the world in a seamless and integrated manner. Globalization is the process in which people, ideas and goods spread throughout the world, spurring more interaction and integration between the world's cultures, governments and economies . At its core globalization is an easing of borders, making them less important as countries become dependent on each other to thrive. Dodd-Frank legislation passed in the United States now requires companies to be transparent about how they source their materials, but only about 10% of mines in eastern Congo have been declared conflict-free. When medical professionals from around the world came together through Doctors Without Borders, in cooperation with the World Health Organization, and workedto eradicate SARS in Vietnam, they prepared a SARS kit afterward and developed guidelines for dealing with the infection. Because the world was able to communicate across boundaries, nations were able to work together to quickly produce vaccines for the virus. American companies have been known to use cheap foreign sweatshop labor to make cheap American goods. It may be necessary to hold the "test" button down for up to 10 seconds to reset the alarm. As we know, it is the process through which the world stimulates into a unified network. Economic Globalization refers to those world Economic activities that beyond borders. Thanks to globalization, its now easier for everyone to visit new places or see what life is like there because you can always find information about them on the Internet or watch international TV channels. Our writers can help you with any type of essay. Don't know where to start? I could go on about this forever! Thus . Following the European exploration of the New World, globalization occurred on a grand scale; the widespread transfer of plants, animals, foods, cultures, and ideas became known as the Columbian Exchange. Although technology and culture might change with time, globalization ensures that peoples values will remain the same regardless of such changes since it allows them to grow alongside one another instead of becoming isolated from each other. As a high-income country with a growing, technologically advanced market economy and exceptionally well-educated workforce, Israel is an excellent location for international growth. Air India to discontinue Vistara after merger, DS Group Partners with Lderach (Swiss Chocolate Maker), Castrols unveils a New Logo and a Refreshed Brand Identity. I mean, its not ok for a sociologist, especially one as profound as Giddens, to address a school of thought in such negativity. At the same time, innovations in information technology enable immediate communication and the rapid transfer of financial assets across national borders. The relative instability of many African nations is cited by experts as one of the reasons why Africa has not benefited from globalization as much as countries in Asia and Latin America.Benefits of GlobalizationGlobalization provides businesses with a competitive advantage by allowing them to source raw materials where they are inexpensive. Another example of globalization is the response to the COVID-19 pandemic. As consumers realize they have a variety of options from all corners of the globe, they will choose to purchase the best and cheapest options, requiring companies to enhance quality and provide affordable prices if they wish to remain competitive. Azure management groups, subscriptions, resource groups and resources are not mutually exclusive. Most Kenyans dont have access to banks or bank accounts, but they can use their phones to send and receive funds, using a text-based app since most mobile phones in the country are not smartphones. In general, globalization decreases the cost of manufacturing. Individuals who travel around the world for business or leisure andtry different foods, listen to different music, read different books, gain exposure to different media outlets, and learn to express themselves, even poorly, in another language gain a broader perspective on the world. Patriotism is their absolute trait and thats why any foreign influence causes a threat to the society. When American companies move their production to China and other countries with plentiful, cheap labor, American workers suffer under factory closures, layoffs, and skyrocketing unemployment rates where they live. It is an act that aims to turn the world into a village where different nations and people from all walks of life relate and interact without barriers. Globalization Makes Us More Productive, 10. In general, globalization has been shown to increase the standard of living . Its clear that globalization provides an abundance of benefits worldwide but what are the disadvantages of globalization? Atmines in the Democratic Republic of Congo, where metals needed for electronics abound gold and tungsten, tin and tantalum armed militia groups, often using child soldiers, have taken over, keeping power with violence and trading minerals for guns. Realization of the Importance of Globalization is a win-win situation for all the parties involved. You can order an original essay written according to your instructions. Increased trade to larger and more diverse markets results in greater revenues and increased gross domestic product (GDP). I'm Amy, And hence, the increased level of competition elevates the level of innovation and novel ideation as the native firms have to beat the competition with the strategic ideas and out of the box product and service offerings to survive and stay relevant in the market. The outsourcing of labor also leaves a dearth of jobs in industrialized countries, where labor is more expensive. For more than 1,500 years, Europeans traded glass and manufactured goods for Chinese silk and spices, contributing to a global economy in which both Europe and Asia became accustomed to goods from far away. Like that time the US-funded Hamid Karzai in Afghanistan back in 2005, he later ended up as a puppet following any strategy the US adopts. Download Report, G-P Once Again Named a Market Leader. And this way, you can rake higher profits and sales as your target market has expanded and multiplied. But with the power of globalization, new firms are able to tap the international markets through the facilities of social media and online selling and can enjoy their slice of sales and profits with international customers. In a world where globalization is widely accepted, those who work hard will be able to climb the social ladder despite their background because everyone has equal opportunities. The solution is easy if you ask me is to form a new global council to monitor the impacts of globalization. Where it is dangerous or difficult to travel, small business owners simply use their mobile phones to reach clients and contractors. This ultimately makes everyone feel appreciated for being unique individuals.if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[250,250],'curiousdesire_com-leader-3','ezslot_10',109,'0','0'])};__ez_fad_position('div-gpt-ad-curiousdesire_com-leader-3-0'); The future is unknown, which is why its important to prepare ourselves for whatever might come next. This sense of independence makes life much more enjoyable for those who embrace it as globalization continues to grow around us as we speak. 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World Health Organization (WHO) defines globalization as "The increased interconnectedness and interdependence of peoples and countries. Global stock markets plummeted after the Sept. 11, 2001, terrorist attacks in the United States, but rebounded in subsequent years. Advances in communication enable businesses to identify opportunities for investment. The 21st century has witnessed both. Trade on the Silk Road played a significant role in the development of South-Asian countries. Roads, electrical grids, broadband internet, water, and sanitation may need to be upgraded or developed from scratch. The midwives, in turn, use their phones to connect to a system that doctors monitor at all hours. Create a free account and access your personalized content collection with our latest publications and analyses. Thats why setting boundaries and not pushing limits is the most efficient moderate card on the poker table today. 8. And with this merit both the parties involved customers, as well as the companies, are able to take benefit of the same. Consumers also have access to a wider variety of goods. But critics see it as increasing global inequality. Be careful, this sample is accessible to everyone. Higher unemployment leads to discontent, strain on the social safety net, and lower tax revenue from income. 3D printing enables digital designs to be sent anywhere and physically printed, making distributed, smaller-scale production near the point of consumption easier. You can get on a plane and in a matter of hours show up halfway around the world. One of the biggest benefits of Globalization is that there is a free movement of goods and services manufactured and offered by the firms on national and international levels. Today, we as a global society, benefit from Globalization not only in economic means, but in social, cultural, political, and environmental circumstances. Basically, when we talk about Globalization, we arent just talking about the trade of goods and exchange of capital, we must realize the various social and cultural opportunities that have been realized with international trade. The resulting spread of slavery demonstrates that globalization can hurt people just as easily as it can connect people.The rate of globalization has increased in recent years, a result of rapid advancements in communication and transportation. Here are just a few. What is a Service Level Agreement or SLA? Importance of International Business Benefits of International Business, Import and Export: Meaning & Key Difference Between Import and Export, Difference between business markets and consumer markets, 40 Ideas on How to Start a Business in 2020, JioMart launches its Digital-First Holi Campaign targeting Sale from 1st to 8th march, Tata Groups talks over $1 billion Bisleri stake stall, Goodbye Vistara Airlines! Wealthy, industrialized countries have shipped their trash to China and Malaysia. Foreigners come to seem completely unfamiliar under such conditions. Not all the positive effects of globalization take place at the scale of billions and trillions of dollars. No matter how much you believe in your argument, one should not outcast those who oppose them because that ruins the whole point of liberal thought casing. The premodern period saw technological advances that allowed trade and communication to flourish. Trusted by over 1 million students worldwide. In some cases, this may contribute to improved health by enabling a more varied and healthier diet; in others, it is blamed for increases in unhealthy food consumption and diabetes.DownsidesNot everything about globalization is beneficial. Meanings and Perspectives of Globalization. This, in turn, spurs innovation and, in some cases, the exchange of ideas and knowhow. What are the Different Types of Business Environment? I could go on about this forever! When assessing the importance of Globalization, its good to look back to where it originated; Extent of the Silk Road and Spice trade routes blocked by the Ottoman Empire in 1453 spurred exploration and saw rise to international trade. More recently, nationalist political movements have slowed immigration, closed borders and increased trade protectionism. The many types of exchange that globalization facilitates can have positive and negative effects. Political and economic stability facilitate globalization as well. Studies at Princeton shows that over 85% of men and women in underdeveloped countries do not appreciate the basic forms foreign influence; be it movies, songs, or even politics. It removes the barriers set by geographic constraints, political boundaries and political economies. World GDP has grown from about $50 trillion in 2000 to about $75 trillion in 2016, primarily as a result of economic interdependence and the increased global trade it allows. And with globalization, the competition reaches its peak as the native players of any country face the competition from the outside firms luring and attracting their loyal customers with the products and services that are high on innovation and novelty. Globalization Promotes Cultural Diversity, 11. The importance of Globalization is a phenomenon that involves the free movement of humans among different regions of the world, exchange of information, and open market for businesses. Globalization is about the interconnectedness of people and businesses across the world that eventually leads to global cultural, political and economic integration. A large reason why people from all around the world are able to gather in large cities in developed nations is due to Globalization. If no button appears, you cannot download or save the media. First of all, they agree that it is merely inevitable that globalization will hit previously established the national borders. Review best practices and tools Configuration profiles make it easier to manage BYOD iPhones, but they're also associated with malware. Business is my passion and i have established myself in multiple industries with a focus on sustainable growth. On a side note, there is a portion of the society that fights a completely different war. In 2013, a textile factory building collapsed, killing more than 1,100 workers. Additionally, competition on the global market means the prices of many items have declined, so purchases that were once unaffordable luxuries, such as laptops, cars, and washing machines, are now affordable for many people. Today, we as a global society, benefit from Globalization not only in economic means, but in social, cultural, political, and environmental circumstances. In other words, when countries that were hitherto closed to trade and foreign investment open up their economies and go global, the result is an increasing interconnectedness and integration of the economies of the world. As globalization continues to shape worldwide interactions in commerce, technology, and more, companies will need to understand both its benefits and challenges. Increased trade promotes international competition. Liked this article? All Rights Reserved. Anthony Giddens, the outstanding sociologist, believes that some social sectors quite simply dont share a positive feeling towards globalization and perhaps denounce it, while other sectors of the society are starting to acknowledge it, paving a way to inevitable consequences to come along capitalism. This development also has the effect of increasing real wages by lowering the cost of living. And in such a scenario, large and known firms enjoy the power of monopoly in the market as they have been into the market for a longer period of time and have a huge list of loyal customers. Specify your topic, deadline, number of pages and other requirements. Blockchain facilitates the secure access to data required in industries such as healthcare and banking. Organizations that build 5G data centers may need to upgrade their infrastructure. The firms . Google, Dell, and Microsoft, for example, all have offices on many continents. Trade on the Silk Road played a significant role in the development of South-Asian countries. The government authorities of various countries have been giving a lot of impetus to the Importance of Globalization realizing its high potential as it also increases the income levels of the nation as a whole. Manufacturing. Chat with professional writers to choose the paper writer that suits you best. David Mcdonald. Press the "test" button. If you want a unique paper, order it from our professional writers. This, however, is not the case. Globalization Helps With Economic Growth, 4. Furthermore, we wouldnt see as much cultural diversification as we do today without international trade. These technologies are enabling the tracking of assets in transit and as they move across borders, making cross-border product management more efficient. Hi! For example, quite many US and UK companies outsource their customer service call center services to the Asian markets as the manpower is quite nominal as compared to their home countries. Though the world gold price quadrupled over 10 years and electronics have become ever cheaper, globalization has not alleviated the poverty and violence in the country. Globalization also captures in its scope the economic and social changes that have come about as a result. Globalization presents challenges for multinational corporations in terms of capital investment and leadership. Forbes reports that the move toward globalization has led to deindustrialization throughout the United States, which was once home to many more factories and auto plants. Indeed, the working conditions of people at some points in the supply chain are deplorable. How did the Python supply chain attack occur? Without globalization, it would be very difficult for refugees to flee war-torn countries like modern day Syria and Yemen. Globalization has led to increases in standards of living around the world, but not all of its effects are positive for everyone. India, for example, is a country whose GDP has benefited immensely from globalization in the technology sector: Globalization also means that businesses can realize greater profits by tapping into previously untouched markets and taking advantage of lower local costs. CTRL + SPACE for auto-complete. Hardwired proposes that globalization originated from the basic motivation of human beings to seek a better life (Chanda, 2007). Above all they have underlined the importance of a better process of dialogue among different social actors if a fairer globalization is to be constructed. Write CSS OR LESS and hit save. Hire a verified expert to write you a 100% Plagiarism-Free paper. When the firms understand the Importance of Globalizationthey open themselves an anthology of fresh avenues and horizons for growth and success that they have always wished for as there is a free movement of goods and services between various nations all across the globe. Global trade is also made more difficult and facing rising threats from other factors, such as these: Globalization is a longstanding trend that is in the process of changing and possibly slowing. As we know, it is the process through which the world stimulates into a unified network. For instance, a Chinese herbal cosmetic brand can cater to Indian markets quite easily as Indians love to indulge in herbal products. The process happens through foreign trade, capital flows, transferring technology, providing services, interdependence and mutual connection. This piece was originally published on Globalmillennial.org, Millennial Perspectives On Global Affairs, David is the founder of The Global Millennial: a think-tank millennials a platform to freely express their ideas on the world. Increased Open-Mindedness and Tolerance, Globalization Partners Can Help With Your Efforts at Globalization, industrialized countries have shipped their trash, mines in the Democratic Republic of Congo, Contact Globalization Partners International, Resilience Amid a Global Pandemic: Lessons from Australian Tech Success Stories, 5 Ways Companies Can Embrace Sustainability in a Remote Work Setting And How It Will Impact Their Future Growth, What UK Businesses Need to Know About Brexit in 2021, Setting Up An International Branch Vs. Subsidiary. 87 students ordered this very topic and got In a globalized economy, countries specialize in the products and services they have a competitive advantage in. Sarah Appleton, National Geographic Society, CrashCourse: Globalization 1: The Upside: Crash Course World History #41, NPR: Planet Money Explores the Economics of T-Shirts, Oxford Martin Programme on Global Development, University of Oxford: Our World in Data: Trade and Globalization. Put simply, globalization is the connection of different parts of the world. Give us a so more people can see it! For instance, the exchange of people and goods across borders can bring fresh ideas and help business. Your email address will not be published. If your company is looking at foreign markets for business expansion, one of the most important questions you need to ask yourself is whether you want to open an overseas branch or a foreign subsidiar. Globalization provides a wealth of benefits, but it also comes with economic and cultural consequences that can be difficult to navigate. The Rights Holder for media is the person or group credited. The country Todays workforce is planning ahead. However, overall, the early 21st century has seen a dramatic increase in the pace of global integration. When assessing the importance of Globalization, its good to look back to where it originated; Extent of the, Click to share on Facebook (Opens in new window), Click to share on Twitter (Opens in new window), Click to share on LinkedIn (Opens in new window), Click to share on Reddit (Opens in new window), Click to share on Google+ (Opens in new window), How Steve Jobs Laid The Framework For Apple, How To Turn Any Passion Into A Well-Paying Career, A Brief History Of Global Economic Recessions, 4 Types of Jobs That Will Remain Safe From Automation, Ecology of Economics: Why We Cannot Have A Perfectly Sustainable Economy In Todays World, The worlds Top Ten Most Successful Economies, Capitalists Are No Angels, But Socialism Is Hell on Earth. World GDP has grown from about $50 trillion in 2000 to about $75 trillion in 2016, primarily as a result of economic . IT teams should learn how to enable it in Microsoft Linux admins can use Cockpit to view Linux logs, monitor server performance and manage users. It shapes, and will continue to shape, the way people do business, travel, and connect. The importance of this economic phenomenon cant be stressed enough; arguably the most significant contributor to increasing a countrys GDP (standard of living) is foreign direct investment that is, foreign companies who invest in your country. Money, products, materials, information and people flow more swiftly across national boundaries today than ever. Their new knowledge helps develop stronger empathy and appreciation for people of other cultures. scribe. The outsourcing of work also contributes to lower prices, as many companies hire foreign laborers to do the work for lower pay.