Globalization

What is globalization

Globalization refers to the increasing integration of internationally dispersed economic activities .The stands of globalization has three parts - Economic (that has a increasing trade across state boundaries), Cultural (westernization and homogenization ) and Political ( which is mean removal of borders, e.g. EU) .

In recent years , due to the developing of globalization , the world has become a smaller market . However , it also has some disadvantage . And then , this post will focus on the negative and positive effect of globalization .

In terms of the advantage of globalization , firstly , customer could gain more choice of products . Also, customer has a opportunity to buy a lower price product . In addition , the quality of products will increase , because the competition of companies . A company want to attract customers . Therefore , the company need provide high quality and low price product that also should be unique . Moreover , providing jobs and helping the developing country , such as India and Vietnam . Another advantages is that improving the standardization of products . The same products can be seen in the many places , such as Starbucks and McDonalds . Furthermore , the most important advantage is the integration of markets . That mean's markets are interlinked , such as European Union .

As regards the disadvantage of globalization , that will lead an increasing unemployment rate in developing countries ,such as moving call centers to India . In addition , there is a widening of gap between rich and poor countries . For example , the luxury bag is made by the citizen in the developing country , but the company which sale these bags just need pay the salaries to works in developing countries . However , the bags company could gain the large degree of profit . Further more , income generated in host country is not always spent in the same country . For example , the money earned from supplying cheap call centers in India will not be spent in India , but maybe in the UK or the US .
Thus , it could be conclusion as that the globalization bring some advantages . However , it also has negative effects .