How To Face Globalization Era

Globalization is a term that refers to how people around the world come together and integrate. In addition to people, it can also mean how businesses and governments interact. There are many factors that have made globalization necessary.

causes of globalization

Technological progress is the main factor that has influenced globalization. This is because technology has allowed people in different parts of the world to communicate without additional transportation and communication costs. Globalization was also caused by improvements in transportation systems. The development of air transport has facilitated the movement of people and goods around the world. Another factor that has caused globalization is that people here have adopted the practice of using steel containers to transport their goods. This made trading easier. The formation of global trade blocs has also contributed to the promotion of globalization. Some of these organizations, such as the WTO, have removed tariffs and trade barriers between countries. The rise of multinational corporations around the world is also driving globalization. These companies have branches and trading centers in more than two countries. Increased labor mobility has brought about globalization. This includes the willingness and ability of people to travel to different countries to work. Another factor that has led to the rise of globalization is increased capital mobility. The removal of capital barriers facilitated the flow of capital between nations. A sophisticated financial system also facilitated globalization. This is because financial institutions are adopting a global model. The rise and spread of global media has also led to globalization. Here media stations have opened branches in different countries and have improved integration. The economies of scale enjoyed by businesses as a result of global trade have strengthened globalization. Here, companies benefit from the professionalization practices of different countries.

Impact of globalization

A positive effect of globalization is that it has led to the development of global markets. This has led to the rise of more multinational corporations as globalization leads to improved economies of scale and reduced costs. Globalization also leads to cultural integration. Here, people from different countries and cultures gather, exchange cultures, and create new cultures. Another effect of globalization is that it has led to increased global competition. As competition increases, higher quality products and services are produced. Globalization has also led to the development of human rights. With the rise of the global media, people have defended their human rights while each human rights violation has received global attention. Globalization has also contributed to improving international relations. When countries trade with each other, it becomes difficult to go to war because their economies are intertwined. Globalization has caused some negative effects, such as job instability. It is cheaper to outsource workers from underdeveloped and underdeveloped countries, and people in developed countries suffer. Globalization has increased the level of production of products and services. This has made more goods and services available around the world. Globalization also contributes to the depletion of natural resources. This is due to increased production levels. Globalization has also helped reduce poverty in developing countries. This is due to increased employment opportunities and living standards. Another effect of globalization is the spread of Western culture. This led to the death of indigenous and local cultures.

Conclusion

Globalization has had some major effects, some positive and some negative. Despite the negative impact, it is important to acknowledge this without acknowledging

Reference:

 Negative Effects of Globalization. (2013). web.

 Scholte, J. (2005). Globalization: A Critical Introduction. New York: Palgrave Macmillan.

Ramadhan Sultan Syah Putra (214110404036)