The paper 'Analysis of Effects of Globalization" is a perfect example of business coursework. Globalization is the coming together of different systems that cultivate a better environment for enhancement of trade, cultures, political influence and other factors that arise from the interaction of the aforementioned factors. At the onset of globalization in the mid-nineteenth century, most countries were either searching for resources to use in the manufacture of products or were busy searching for markets where they could trade their products. Despite the then simmering tensions between many economies that seemed to be growing fast, one factor was common among them – the need for a continuous process of production coupled with a market for their goods. The availability of labour also created a constant movement of people across continents.
While the West raided Africa and Asia for slaves, it moved more and more expatriates to continents like the Americas. In doing this, it intended to capture more territory upon which it would derive resources in all forms be it raw material, labour or markets. The main drivers of the formative stages of the first age globalization were transport and communication.
The basis of trade was goods, services and labour. Therefore, it was common to have massive ships set sail for continents yonder. Dominance in trade could signal that a country was more influential than its peers. As such, hostilities were not an alien thing as happened when World War I and II halted the process of Globalization (Ferguson, 2005). Governance in the first age globalization era also consisted of bigger economies taking colonies and running them as their own territories.
The biggest beneficiaries of this kind of governance were the West, especially the UK, France and smaller countries like Portugal, Belgium and the Netherlands. Germany may have been a big player in such conquests, but it was not in the habit of keeping colonies and protectorates. On the other hand, smaller countries only gained what was then called civilization. In civilization, newer, and cultures often thought to be better than those of the natives, were inculcated among them. Western cultures seemed more appropriate than most of the others. The new era of globalization is more sophisticated.
The methods employed in trying to achieve certain basic goals are more tactful and better strategies are used in implementing them. Globalization, as envisaged in the new age, is more inclined towards trade and cultural values than ever before. The formative stage of trying to reach into new territories is over and done with. Currently, more countries are basically trying to create conducive environments for trading the products they consider their best commodities. Most economies basically depend on the service industry as not all countries are blessed with resources like minerals. The rentier states are states whose GDPs are basically earned from one product, usually a mineral.
For instance, most Middle Eastern countries like Iran and Saudi Arabia have GDPs whose main source is their oil. When such countries position their product well in the market, they may avoid fluctuations that arise due to the effects of globalization. Such are the characteristics of the current globalization. A product faces challenges due to machinations put into play by the activities from other equally endowed economies. As such, the perspective of the current globalization lies in developing rules that sort of level the playing field for the stakeholders.
Ferguson, N. (2005). Sinking Globalization. Foreign Affairs Vol. 84 No. 2. University of Oxford.
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Ervin, J. & Alden, Z. (2008). Globalization: A Reference Handbook. ABC-CLIO.