Question

As a business manager determine whether you are pro- globalization or counter globalization. Give reasons for your answer

Answer 1

As a business manager, I am pro-globalization due tot the following:

Improved access to foreign markets. Globalization allows a business to expand its input markets and thus procure the means of production at a much cheaper rate. For instance, there can be several varieties of raw materials that are essential for the production and will be too costly to procure domestically. Similarly, many businesses are offshoring part of their processes to developing countries to take advantage of the cheaper labor. None of this would be possible without globalization.

Increased customer base. Globalization required the removal of most of the trade barriers. Thus, for a business, the customer base is not only the domestic consumers now but also the foreign consumers who will be interested in the product. Thus, this can help in expanding the businesses even if the domestic demand is weak.

Increased economic growth: In general, globalization has improved incomes and brought many people out of poverty. Thus, there is an overall increase in the purchasing power in the world due to globalization which can be beneficial for a businesses to grow.