Positive and Negative Impacts of Globalization - Essay Example

Positive and Negative Impacts of Globalization Name Institutional Affiliation Introduction Globalization is a term that has drawn a lot of attention in the scholarly domain. The issue popular and controversial at the same time has been defined by different authors in different ways being that there is also complexity in understanding it (Georgieva et al, 2013). Georgieva et al (2013) assert that globalization can be explained as, the expansion of global links; social life organization at the international or global level, increased growth in global awareness and consciousness, thus the sum total of globalization becomes a consolidated global world society. As a result of the processes described in the definition, there are resulting impacts that are either negative or positive that come along with globalization. This paper evaluates the positive and negative impacts of globalization and then later giving an overview of how globalization of economic integration has affected social, political and economical landscapes. Positive Impacts of Globalization There is a plethora of positive issues that have resulted from globalization. These impacts are felt on social, economic, cultural, country and international levels (Akram et al, 2011).One of the most vibrant positive impacts of globalization is improved quality of goods and services as a result of global competition (Akram et al, 2011). The need to trade effectively especially for a new entrant, causes the businesses to invest in effective product design to fit in properly. Additionally, globalization has improved customer service by changing the way customers are viewed (Mohr, 2014). As a result organizations have to invest in good customer relationships so as to remain competitive (Akram et al, 2011). Domestic companies have to outdo foreign competition by raising the standards of the customer satisfaction so as to survive in the global scale markets (Georgieva et al, 2013). When the global brands enter a market, they compel existing organizations to produce goods that are up to the standards of the global brands. Globalization has made companies to invest in new countries and other cross border businesses (Georgieva et al, 2013). This has concurrently increased the creation of employment of people to facilitate the movement, manufacture, distribution and sales of the product and services. In areas where there is lack of capital to employ human resource, global companies are able to invest and create arenas for employment (Akram et al, 2011: Mohr, 2014). The structure of the workplace has also changed as people from different countries can be employed everywhere in the world thus diversification of the workforce (Mohr, 2014). This has further made it possible to outsource human resource in new countries especially for global investing companies. Globalization has expanded boundaries that were initially unexplored due to different trade regulations (Georgieva et al, 2013). Countries in the same economic boundaries can fairly trade with each other and reach the large consumer base without any restrictions (Akram et al, 2011). Countries that are chief producers of goods are also able to export and import goods with their allies freely. This has positively resulted in economic growth of such countries that engage in foreign trade. The issue of globalization is much expanded it covers even poverty and culture (Mohr, 2014). As people intermingle at the global level they are able to exchange their culture. The several cultures coupled together give rise to diversified nations and a diversified world in general (Mohr, 2014). The advantageous cultures across the world are likely to be exchanged and applied in countries lacking such for common good (Akram et al, 2011). As a result of foreign direct investments and foreign trade as well, developing countries have experienced economic growth (Georgieva et al, 2013). As a result there has been poverty reduction. This has reduced the number of individuals living below the poverty line. There has also been increased spread in education globally (Mohr, 2014). Technological advancement which is one of the measures of globalization has made the world a global village hence educational institutions are able to share ideas on curriculum development (Akram et al, 2011). Additionally, individuals from all over the world are able to access institutions through distance teaching (Georgieva et al, 2013). The movement of students internationally in pursuit of education has les regulations (Georgieva et al, 2013). This has made it possible for one to specialize on subjects that are not offered in their native countries and fulfill their personal dreams. The fight against terrorism is a global agenda of all continents in the world (Georgieva et al, 2013). Globalization has made it possible for international communication where nations are able to share ideas and research as well as scientific discoveries that can help combat terror at the global stage (Akram et al, 2011). Additionally, with the integration of international courts into the global legal systems, criminals are able to be apprehended and tried thus justice is achieved (Mohr, 2014). Akram et al (2011) note that cross border security bodies have been established further assuring security of the people. The case of criminal suspects seeking asylum in foreign countries have been mitigated by policies formulated through international agreements (Akram et al, 2011). Negative Impacts of Globalization Despite the positive impacts of globalization, there exist negative impacts as well. First off, the growth of international trade and foreign direct investments though advantageous to developing countries they have confounding effects on the same countries. There is inequitable utilization of natural resources some of which are exported to developed nations (Akram et al, 2011). There is also imbalanced income between industrialized and the less industrialized developing countries (Mohr, 2014). The sum total of this has created economic gap that filling is ever hard exacerbating chaos and civil wars, brain drain and poverty increase in the developing nations (Mohr, 2014). Second, there has been an exponential increase in the number of corporations which are much concerned with their maximization of profit and are least concerned with the social responsibility for the society (Akram et al, 2011). The result of this is the increase in poverty in the developing nations as well. The corporations have exploited resources in the developing world yet doing little to nothing in return for the communities and society at large (Georgieva et al, 2013). Thirdly, globalization can also be blamed for the increase in cross border crimes (Akram et al, 2011). This is widely because the criminals are able to communicate through the technology that is available for communication. Some criminals engage in illegal smuggling of goods to evade taxes (Georgieva et al, 2013). Additionally, there are multinational syndicate who deal in money laundering, human trafficking, illegal sex trade and drug trafficking. This has been facilitated by communication systems that are positively used in cross border transactions (Akram et al, 2011). The fall in transportation costs and financial liberalization are to blame for these criminal activities as it is very easy to launder money and traffic humans at a low cost and unnoticed (Georgieva et al, 2013). These criminal activities have affected the foreign trade between countries as well as tourism that forms the backbone of most developing countries. The widest effect of globalization is the increase in environmental degradation. Industrialization has led to the rise in production of harmful gases into the atmosphere some of which degrade the ozone layer (Georgieva et al, 2013). This has resulted in increased global temperatures leading to melting of gacier and thus rises in sea water that has cause accidents in the forms of tsunamis (Georgieva et al, 2013). Due to wider use of the sea for transport pollution has been unavoidable leading to death of sea mammals and other organisms. How Global Economic Integration Affects Political, Social and Economical Landscape Global Economic integration refers to the process where the economic and political policies between different countries are unified through full or partial abolition of tariff and non-tariff regulatory restrictions on trade that transverses between the countries prior to the integration process. It has effects of political, social and economical landscapes. First off, it has led to the demise of the significance of nation states (Glatzer, 2012). This is majorly because many countries have organized themselves into trade blocs (Mohr, 2014). Within the trade blocs are trade agreements that favor the member states. Additionally, there has been the emergence of international bodies such as G8, European Union (EU), World Trade Organization and The International Criminal Courts that have replaced country dependent bodies that initially facilitated international treaties (Glatzer, 2012). The nation states’ sovereignty of making major decisions, in the state has been reduced, instead paving way for such international bodies. There are social implication of global integration has increased advancement in technology and has created complex social dimensions of the society (Glatzer, 2012). There has been diversification of culture among different societies that share common market. The result has been social integration due to increased movement within the cleared boundaries (Mohr, 2014). As a result people are free to work anywhere they wish without any restrictions. There has also been the increase in the empowerment of women through various activities that engages them in the economy. Lastly, due to the creation of free trade areas and the institution of international monetary bodies such as IMF and World Bank, countries in the trade blocs are able to secure international lending and improve their infrastructure (Glatzer, 2012). The free flow of goods, capital and human resource within nations that are integrated economically reflects an increase in the income equality within the countries (Glatzer, 2012). On the contrary this could have negative effects being that criminals could take the reduction of trade and transport barriers to propagate their heinous activities. Conclusion Globalization as can be seen has both its positive and negative sides, more so comparing the benefits and the effects it has brought to the general world economy and the developing nations in particular. It is evident that, there are more advantages than disadvantages which when carefully weighed makes globalization a tool of global development. There are various implications of globalizing economic integration as discussed above. Predicting the future of the phenomenon of globalization still remains difficult. References Akram, M., Asim, M.F., & Khyzer, M., & Abdullah, I. (2011). Globalization and its Impacts on the World Economic Development. International Journal of Business and Social Science,2(23), 291-297. Georgieva, S.V., Nikoloski, K. & Paceskoski, V. (2013).Positive and negative effects of financial globalization on developing and emerging economies. International Scientific Conference "Regional Economic Cooperation in the Process of Globalization". pp. 127- 128. Glatzer, W. (2012). Cross-national comparisons of quality of life in developed nations, including the impact of globalization. Handbook of social indicators and quality of life research (pp. 381-398). Springer Netherlands. Mohr, A. (2014, November 30). The Effects of Economic Globalization on Developing Countries | Chron.com. Retrieved from http://smallbusiness.chron.com/effects-economic-globalization-developing-countries-3906.html Read More