Brief and aboveboard, globalization has stirred up global lives. Call it liberalization, international integration, or broad-mindedness... it has swayed away the world with its power and potentiality. Actually, it is so powerful, that it's hard to create a concise definition of the term 'globalization'. Nevertheless, even if one is asked to give a foolproof answer, it can be precisely said that, globalization is a process by which people, companies, administrations, and governments all over the world can integrate and interact. It is directed by international business and trade, and effectively assisted by information technology. However, globalization does not restrain itself to integration of economies on international basis. There is more to it which we are going to cover in this article. Let us begin with defining it.
Definition: Globalization can be defined as an integration of economy, finance, trade, and communications from a world-wide perspective, in order to establish a successful economy on global basis.
The thrive of globalization has opened gates for economies both nationally and globally. The last three decades saw many governments acquiring the systems of free markets, thereby, maximizing their own potential and opportunities for international business as well as investment. What's more, as a result of globalization governments all over the world worked towards the elimination of limitations to business and trade of goods and services across the world.
With these new opportunities having hit the global economies so hard, industries took advantage by constructing new business corporations in foreign markets with their associates. This gave international trade and business an all new business structure, which can, hence, be summed up under the many capabilities of economic globalization.
Technology, being one of the chief drivers behind globalization, has transformed the economic life in such as way that both consumers and marketers have new ways to recognize and value the economic opportunities put forth for them. Economic trends all over the world are well-understood, funds and goods are easily transferred from and received by countries, and business deals, mergers, and acquisitions have become a common thing now.
All thanks to the positives about globalization which have contributed to increasing employment, cash flows, cultural unfolding, foreign trade, and environmental as well as social awareness among world masses. However, like it's said that there are always two facets to a coin, globalization entails a few negatives too, that are equally considerable. With equal advantages and disadvantages of globalization, it is hard to arrive to a conclusion whether it is a bliss or a bane to the world.
Globalization: Pros and Cons
The term 'globalization' is profoundly contentious. Where there are some highly appreciated advantages of this ideology of integrating cultures, the world has witnessed some enormously threatening effects of the same too. Its pros and cons simultaneously support and contradict its impact on the world economy.
While the ones advocating globalization believe that it is because of this trend that poor economies have regained their hopes and faiths of developing financially, thus, raising their standards of living, the ones contradicting it believe that globalization is the only reason behind elite and high-profile multinational companies trashing local cultures and beliefs, domestic small-scale businesses, and commoners, in the rush to attain an international status. This instigates us to put forth numerous questions like What is the future of globalization with such ambiguities associated? How are cultures going to revive now?
All in all, it is upon the masses to keep a check on our sanctities and traditions, and be all the more tolerant as today, interaction in-person is no more prevalent. Issues will crop up, things would be misunderstood, and the power to tolerate will be tested every now and then.
In order to properly balance between the benefits and prices that globalization is associated with, it is highly essential to adjudicate as to how the process of globalization works, and the norms and standards that it consorts with itself. It is then that we can seek an all-inclusive answer to globalization's actual role and purpose within the world economy.