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Sample Essay on Pros and Cons of Globalization

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Sample Essay on Pros and Cons of Globalization

Globalization is the spread of technologies, businesses, philosophies and other ideals across the world that is brought by integration among people. Globalization has created a technological revolution and expanded rules for the organization of modern capitalist economies and markets in the whole world. Globalization has its pros, but we also have drawbacks such as vanishing of ethnic identity and spread of imperialism.  The pros of globalization include increased international flow of trade, capital, information, and people, increased external finance, improved technology and political conformism. It is through globalization that societies are integrated together into a globalized collection of economic and political ideas.  However globalization has its cons which include loss of cultural identity, westernization, the death of small businesses among others. This essay analyzes globalization by looking at its pros and cons.

Businesses are now only a mouse-click away from their customers and competitors across the globe. Globalization is aiding poor countries to catch up with rich countries that have many industries through increased technological advancement. Globalization contributes to the progress of the world because it promotes trade and distribution of knowledge

 Globalization results in easy access to products that are needed by consumers because of the modern technology. Increased access to products as a result of globalization has reduced prices of goods due to competition and increased food supply. Free trade is a result of globalization; free trade also allows nations and economies to specialize thus producing higher quality goods at better prices. Manufacturers in nations which have free trade agreements benefit in the form of a larger export market. Consumer enjoys a greater choice of goods and services as a result of globalization since foreign firms easily offer their products for sale.

Labor, Globalization enables large firms to access labor because foreign companies are moving towards the developing countries to acquire labor force. International firms hire workers from other countries to work for them by using online telecommunications. This caters for employment and income generation to the people in the host country because of good jobs that foreign companies bring.

The competition that is brought by globalization makes companies offer a more competing value for the products that they sale to consumers. This is because the pressure that results from the competition makes firms indentify more efficient ways of making use of the existing resources. The fact that companies are not limited by geographical boundaries increases competition and makes each firm to produce the best as compared to when companies enjoy the monopoly. As a result, of competition, companies face the pressure of developing innovative ways so as to stay ahead of competitors. Globalization also benefits multinational corporations, because these organizations seek to maximize the opportunities offered by the existence of certain factors of production which can be advantageously exploited in different countries. Due to their potential, they have a high degree of flexibility, which allows easy modification or change of strategies as they move from one place to another.

Liberty, globalization has a positive effect on liberty because high globalized countries have relatively more civil liberties, political rights, and economic freedom than low globalized countries. Economic integration as a result of globalization has a correlation with political and civil rights as various studies have shown. Globalization stimulates political reforms by increasing freedom of people in exercising greater control over their lives. Multinational firms have good incentives to offer competitive benefits and wages than local firms in developing countries. The Economic freedom which is brought by globalization help to nurture educate people of their rights and freedom and thus making them not to be vulnerable to dictatorial regimes. People who are economically free over time want and expect to exercise their political and civil rights and thus promote liberty in developing counties. A government that seals its citizens off from the rest of the world easily controls them and deprives them of liberty and freedom. Governments that grant its citizens freedom to take part in international commerce get it hard to deprive them of their rights, for instance, political and civil liberties.  Globalization is also crucial in spreading democratic values to developed countries and independence to developing states.

Globalization creates inequality the widening gap between the haves and the have-nots in many countries is as a result of globalization. Inequality, many countries in the world, has crept upwards as a result of globalization (Bourguignon 11). Companies in developed countries are being moved to foreign countries where labor is cheaply available as a result of globalization. The country in which international firms are established generates less revenue, and a large share of the profits goes to the foreign firm. Companies from foreign nations make large profits thus creating a huge income gap between the developed and the host country. Liberalization which is a result of globalization has contributed to increasing inequality in the developed world. The increase in the international mobility of firms, wealth, and workers over the past years has made it harder for governments to combat inequality, for instance, wealthy individuals have become increasingly able to shift capital to countries with low tax rates thus allowing them to avoid paying more redistributive taxes in their home countries.

Second, globalization also leads to imperialism whereby the values of more powerful states take precedence in the global market. Globalization has made it easier for influential countries to advance their ideologies and agenda to developing states which are mostly dictated by developed countries. Globalization is westernization, in as much as westernization symbolizes the good and the bad not only for Western culture but also of the liberal philosophy. The integration that is going on in the world as a result of technological changes is favorable to values and civilization of Western states. Westernization eroded cultures of poor nations and has promoted the spread of imperialist ideals of powerful states.

Neoliberalism, globalization also introduces global economy which is uniform as a result of the process of deregulation and liberalization because as many nations are open to the free-market. It has made liberal democracy the only viable option for many countries in the world because those are the ideals that have been spread by powerful nations. Liberal democracy has become the standard for assessing the worth and competence of all societies because powerful nations see it as the best. Moral ideals that are spread because of liberalism, for instance, the defense for human rights, liberal democracy has spread in many societies and thus making neo-liberalism take precedence.

Human and ethical concerns, globalization, has compromised the ability of future generations because of the impacts it has on the environment. Generations that will come in future may not be able to meet their needs and desires due to the continued degradation of the environment by globalization. The moral basis of ecological sustainability is the ethical position that destroying the earth through pollution is wrong. Environmental issues, for instance, global warming, and deforestation, degradation of ocean habitats and depletion of the ozone layer have been brought about by globalization. Environmental pollution is a human concern which has been exacerbated by industrialization which has resulted from globalization. The increasing interaction between countries has led to an increase in transportation progress at all geographical levels. This has caused a wide variety of threats to the environment, for example, depletion of natural resources which are on the verge of extinction. Deforestation has created an imbalance in the environment leading to climate change and occurrence of calamities, for instance, floods.

Labor drain, globalization also drains some countries of labor due to the movement of people looking for good jobs across borders. Movement of workers across borders leads to brain drain whereby poor countries are deprived of labor by rich countries due to the lucrative jobs that they have for skilled laborers. Movement of people across borders in search of jobs has led to the weakening of cultures for greater cultural hegemony.

Economic activities are becoming organized on a global scale giving a new international division of labor, with production, investment patterns and movements and technology transfers as a result of globalization. However, globalization has also brought with it negative consequences such as environmental degradation, the death of small and medium businesses, loss of cultural identity and the effect of foreign policies on domestic economic development. Globalization has pros and cons, but one certainty is that it still exists and remains a pertinent issue that has raised the eyebrow of many scholars and policy makers across the world.




Works cited
Bourguignon F. Inequality and Globalization. Foreign Affairs [serial online]. January 2016; 95(1):11-15. Available from: Business Source Complete, Ipswich, MA. Accessed February 24, 2016.

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