Can not deny the high prevalence experienced by industrial and financial globalization in the modern era and the positive implications in both developing and developed countries alike. It is worth mentioning the great impact that globalization has had on developing countries thanks to which is able to attract foreign investors and capital funds. In light of the rapid spread of advanced technology and high demand in financial markets, globalization has become a key element of the financial trade.
For some people, the term globalization has negative connotations often because it represents a threat to their jobs, their livelihoods and their way of life. On the other hand, many viewed globalization as an element and was a catalyst for positive change. To see together what are the pros and cons of globalization on both developed and developing countries.
Globalization can be defined as a situation in which the removal of all trade and investment barriers between the economies of different countries, to form an integrated national economic unit. There is a great correlation between the benefits of globalization and the benefits of free trade and can redeem these benefits easily provide products among consumers leading to lower prices of goods. This is in addition to that globalization was the main reason for foreign trade growth of local companies, which in turn allowed an increase in the economic well-being of Asian countries as a result of increased exports.
Globalization has had a positive role also in increasing the amount of production and the specialization of each of the countries and companies in the production of certain goods resulting in a lower level of costs and increase efficiency. Notable also raised globalization is increasing competition between different companies and countries which form of pressure on the companies to provide better products for consumers. Finally, globalization has encouraged domestic investment where resorted many companies to invest in other countries in order to lower costs in this country. This investment benefits had a positive impact on developing countries that was going on in investment due to increased employment opportunities in foreign exchange and flow to it.
On the other hand it faced many of the criticisms of globalization, most notably the inability of developing countries to compete with developed countries. It would involve the creation and development of new industries in these countries high costs compared to developed countries for the last possession of all the necessary means and expertise. Other criticisms are that globalization keep developing countries are producing primary products and this provides little room for economic growth. There is a great possibility that multinational companies constitute a threat to local merchants within the country, which in turn leads to lower resolution choice for consumers. Finally, globalization can pose a threat to the employment rate within the country resort where many people because of globalization to migrate in search of better living opportunities in developed countries and this so-called migration of human brains.
Although many economists disagree on whether globalization has had a positive or negative role, but we can not deny the high prevalence of globalization witnessed recently. Although many perceive globalization as something negative, we can not deny the positive role and how it was able to provide employment for many of the people who did not possess the minimum conditions of life of the dwelling opportunities, food, ...
