Globalization And Business Analysis

846 Words 4 Pages
Globalization is mainly a blend of different nations, its people, cultures, etc. It is also the process by which several corporations develop international influence and start operating on an international scale. Some might argue that it is the road to success in view of its huge benefits but to others including myself it is the road to devastation. Although it may have many benefits but its negative impacts to the society, environment and the nation as a whole greatly outweigh its benefits. Thus, Globalization leads to devastation.

Globalization has some benefits. It connects he world and makes communication easier. In order to highlight this point Anthony McGrew states that, "Globalization is a process which generates flows and connections,
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Businessmen are able to expand their businesses overseas and thus if the business flourishes it increases both profits and GDP (Gross Domestic Product). Globalization leads to an increase in trade, better technology and increasing economic integration. These all in turn lead to economic growth and hence increase in the GDP. (Benson, Magana, Gipson & Sharifi, 2013, p4). The increase in GDP helps the people. The amounts of tariffs and taxes is decreased. People are able to buy products at a cheaper rate and hence this leads to a higher standard of living. It also helps lower the unemployment rate by providing job opportunities to people. Although these might look to be of a great benefit, however these big corporations might exploit the local resources without taking social costs into account. In order to gain monopolistic power these big corporations may start producing goods at very cheap prices, resulting in fewer customers for the local businessmen. In order to increase profits they may produce low quality products and might hire cheap labor. Thus, it might look as if they are helping the workers, but in reality they give them unfair wages and ask more of …show more content…
Environmental destruction mainly through industrialization promotes deforestation and increases pollution. "The amount of raw materials needed to run industries and factories is taking a toll on the natural reserves of planet Earth, and pollution has severely affected the quality of air that we need so very much for our survival" (Pillai, 2016). This is not only affecting us humans but is also affecting the animals, especially the marine life. The dumping of factory waste into rivers, oceans, seas leads to the growth of algae which hinders the amount of oxygen intake by fish, hence leading to the annihilation of thousands of fish. Not only that, but also the pollution itself has caused a drastic increase in global warming. This has led to an increase in the surrounding temperatures which has given rise to heat waves due to which many people have lost their lives. Another repercussion of Globalization is the accumulation of wealth in the hands of the wealthy. The increasing flow of money, information, people and technology between countries has led to the rich getting richer and the poor getting poorer (Smith, n.d.). The monopoly of most of the commodities lies in the hands of powerful nations. Thus in order to make sure this monopoly stays with them, the multinational companies of these powerful nations may exploit and even deplete a nation of its natural resources. Thus it might look as if these companies are

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