Question

Assess the Impact of Globalisation

1. What are the advantages and disadvantages of each?

Globalization has many advantages and disadvantages to each type of globalization that exists. The most common when globalization is being discussed is economic globalization, which deals with the impact of globalization on countries economy. One advantage to economic globalization is increased competition. Increased competition is great for countries especially those that are newer to the global economy as it helps them to identify themselves in the economy and encourages aggressive growth. A second important advantage is the spread of technology and innovation that businesses are able to share with one another. This is a crucial component to the global economy as technology enables economies to be global in the first place. Without the correct infrastructure, technology and innovation, it is impossible for a country to remain connected to the global economy and other countries. A third advantage to economic globalization is the development of higher standards of living for society in countries that are on the rise for globalization. An example of this would be India where their economy has really taken off in the last 10-15 years. India has really made a mark in the global economy in the information technology sector. As a result, India has become a key player in the global economy, which has significantly helped improve their workforce, society, and products/services that it offers. One disadvantage that economic globalization offers is the contribution to cultural homogeneity or creating a monoculture. The thought is that if countries continue to adapt the same trends and global ideologies, there will be a loss of culture and identity for countries. While having similar views across the world can be a uniting function across different cultures, it can also contribute to the creation of a monoculture; which means less of a unique identity for countries in the global space. A second disadvantage of economic globalization is that large corporations gain more power. Think about a really large company like Google where they are in more than 50 countries throughout the world. Moreover, it’s parent company, Alphabet, is in more than 70 countries throughout the world.

Provide a 300 word response

Answer 1

globalization implies when a country is set free to deal with another country by the manner of import and export for satisfying each others demand.in this concept the country demands for the product which is not feasible to produce and export/supply the product which is excessively produced.

we can classify the entire concept in two manner

1. advantages of globalization
2. disadvantage of globalization

advantages of globalization-

1. UTILIZATION OF SURPLUS PRODUCTION BY EXPORT PROCESS- by exporting the country can use the surplus production and eliminate the wastage of resources due to surplus production.
2. BETTER ,INNOVATIVE AND EFFECTIVE TECHNOLOGY-one country can advantage of better and innovative technology due to the concept of globalization.
3. BETTER QUALITY GOODS AND SERVICES-due to immense competition in the country among the domestic and foreign player would eventually benefit the consumers by providing best quality goods at reasonable price.
4. DEVELOPMENT-the economy would be developing due to FDI(foreign direct investment) and FI(foreign investment).
5. IMPROVEMENT OF STANDARD OF LIVING-when people would be provided with better job opportunity ,better life styles,better goods and services,their standard of living would improve.

DISADVANTAGES OF GLOBALIZATION-

1. MANIPULATION OF SMALL INDUSTRIES-small industries won't be able to survive due to the threat at low cost production of foreign companies' products.it would be harmful for the domestic nation.
2. TRADITION MANNER OF PRODUCTION COLLAPSES-traditional manner of production collapses like handicrafts etc
3. DEPENDENCY-excess reliance creates over dependency on the foreign country which is a hurdle for the domestic growth of the country.
4. DUMPING OF DOMESTIC ECONOMY-it has been witnessed that some foreign countries are intended to dump another economy by providing cheaper goods so their resource couldn't be properly utilized and dependency on their country sustains.
5. DOMINATION IN MARKET--sometimes big companies dominates the market shares,exploits the dealings and use unfair tactics in business.