Introduction Globalization or (globalisation) is the process by which the people of the world are unified into a single society and function together. Globalization is often used to refer to economic globalization: the integration of national economies into the international economy through trade, foreign direct investment, capital flows, migration, and the spread of technology. This process is usually recognized as being driven by a combination of economic, technological, socio-cultural, political and biological factors. The term can also refer to the transnational dissemination of ideas, languages, or popular culture.
Globalization means increasing the interdependence, connectivity and integration on a global level with respect to the social, cultural, political, technological, economic and ecological levels. Effects of globalization:- ? enhancement in the information flow between geographically remote locations ? the global common market has a freedom of exchange of goods and capital ? there is a broad access to a range of goods for consumers and companies ? worldwide production markets emerge ?
Corporations have greater flexibility to operate across borders ? Increased flow of communications allows vital information to be shared between individuals and corporations around the world ? Spread of democratic ideals to developed nations ? Greater interdependence of nation-states ? Reduction of likelihood of war between developed nations ? Workers in less developed countries should see an increase in wages and living benefits. If they do, their rising standard of living should help them consume products from developed nations.
A virtuous circle can theoretically be created by a whole new middle class that didn’t exist. ? Peace should be easier to maintain between nations as no country would remain isolated in this new world order. The relationship of China and the United States has changed dramatically as their trade partner status has increased over the years. ? Globalization can help modernize developing countries faster. Modern ideas can be spread to the workers, who make up the social order. ? Products can be purchased much cheaper in developing countries, which increases the lifestyle of the people.
As we pay less for simple common items, we have more to spend on big ticket items, which fuel higher paid manufacturing jobs in developed countries. Advantages of globalization in the developing world It is claimed that globalization increases the economic prosperity and opportunity in the developing world. The civil liberties are enhanced and there is a more efficient use of resources. All the countries involved in the free trade are at a profit. As a result, there are lower prices, more employment and a better standard of life in these developing nations.
It is feared that some developing regions progress at the expense of other developed regions. However, such doubts are futile as globalization is a positive-sum chance in which the skills and technologies enable to increase the living standards throughout the world. Liberals look at globalization as an efficient tool to eliminate penury and allow the poor people a firm foothold in the global economy. In two decades from 1981 to 2001, the number of people surviving on $1 or less per day decreased from 1. 5 billion to 1. 1 billion. Simultaneously, the world population also increased.
Thus, the percentage of such people decreased from 40% to 20% in such developing countries. Disadvantages of globalisation Disadvantages of globalisation are as follows:- ? Increased flow of skilled and non-skilled jobs from developed to developing nations as corporations seek out the cheapest labor ? Increased likelihood of economic disruptions in one nation effecting all nations ? Corporate influence of nation-states far exceeds that of civil society organizations and average individuals ? Threat that control of world media by a handful of corporations will limit cultural expression ?