Evaluate The Advantages And Disadvantages Of Globalisation
Evaluate the advantages and disadvantages of globalisation
The term globalisation has “successfully passed into common currency,” (Slater,2009,pp.373-383) since Levitt first used it in 1983 and has become a worldwide, “ phenomenon that has spread across the globe, influencing governments, businesses and society.” (Slater,2009,pp.373-383) Similarly, Giddens has pointed out that, “globalisation is political, technological and cultural as well as economic,” (1999). The rapid acceleration of globalisation has occurred due to falling trade barriers, technological advances and the, “spread of free trade,”(Slater,2009,pp.373-383) and whilst benefits such as economies of scale has come from this, critical problems such as infections, diseases and pollution have spread worldwide(Braibant, 2002). Thus, in simple terms, globalisation is the interconnectedness between different countries where borders between governments, the economy and communities have been broken down. (Hartungi,2006,pp.728-743)
Multinational companies (MNE’s) can really take advantage of globalisation by being able to operate in many countries at once due to improvements in communications. To lower costs and maximise profits, MNE’s try and find the cheapest labour and resources possible, although these advantageous factors are usually found in under developed countries such as Bangladesh and Vietnam. “Wherever there is great property, there is great inequality,” (Smith, Skinner, 1982) and the neoclassical view on globalisation is that businesses should try and take advantage of what is available. With very little GDP, the inward investment of MNE’s are what underdeveloped countries rely on to help the economy grow. With the location of businesses in poorer countries comes the benefits and advantage of labour employment. Through more people working, not only does it help to get people out of poverty, but it also means that people have more money to spend and put back into the economy. In the early 1990’s
The term globalisation has “successfully passed into common currency,” (Slater,2009,pp.373-383) since Levitt first used it in 1983 and has become a worldwide, “ phenomenon that has spread across the globe, influencing governments, businesses and society.” (Slater,2009,pp.373-383) Similarly, Giddens has pointed out that, “globalisation is political, technological and cultural as well as economic,” (1999). The rapid acceleration of globalisation has occurred due to falling trade barriers, technological advances and the, “spread of free trade,”(Slater,2009,pp.373-383) and whilst benefits such as economies of scale has come from this, critical problems such as infections, diseases and pollution have spread worldwide(Braibant, 2002). Thus, in simple terms, globalisation is the interconnectedness between different countries where borders between governments, the economy and communities have been broken down. (Hartungi,2006,pp.728-743)
Multinational companies (MNE’s) can really take advantage of globalisation by being able to operate in many countries at once due to improvements in communications. To lower costs and maximise profits, MNE’s try and find the cheapest labour and resources possible, although these advantageous factors are usually found in under developed countries such as Bangladesh and Vietnam. “Wherever there is great property, there is great inequality,” (Smith, Skinner, 1982) and the neoclassical view on globalisation is that businesses should try and take advantage of what is available. With very little GDP, the inward investment of MNE’s are what underdeveloped countries rely on to help the economy grow. With the location of businesses in poorer countries comes the benefits and advantage of labour employment. Through more people working, not only does it help to get people out of poverty, but it also means that people have more money to spend and put back into the economy. In the early 1990’s
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