The Impact of Globalization on Developing Countries
1. Introduction:
Globalization has been a controversial and contested topic since the early 1990s. There are many definitions of globalization but at its core, globalization is the process of expanding world trade, contacts between societies, and the sharing of ideas around the world. It is generally agreed that globalization has increased over the past few decades but there is debate about how this has affected different countries and different people within those countries.
Some argue that globalization has been good for the world economy as it has led to increased trade and production, and made goods and services more affordable for consumers. They also argue that it has led to increased competition which has spurred companies to improve their products and services. Others argue that globalization has had negative effects on developing countries as it has led to environmental degradation, labor exploitation, and unemployment. They also argue that it has led to a loss of cultural identity as homogenization occurs.
In this essay, I will firstly provide a brief overview of what globalization is and the different types of globalization. I will then go on to discuss the impact of globalization on developing countries, before discussing the measures taken by the government to curb the negative effects of globalization. I will conclude by providing my own opinion on whether globalization is a good or bad thing.
2. What is globalization?
As mentioned previously, there are many definitions of globalization but at its core, globalization is the process of expanding world trade, contacts between societies, and the sharing of ideas around the world. Globalization can be split up into three main categories: economic globalization, political globalization, and cultural globalization.
Economic globalization refers to the increase in world trade and investment that has occurred as a result of deregulation and liberalization policies in developed countries. This has led to an increase in multinational corporations as they can now operate in multiple countries without facing restrictions. Political globalization refers to the increase in international organizations and treaties that have been created in order to govern global issues such as human rights and climate change. Cultural globalization refers to the spread of Western culture around the world through mass media and education. This has led to a loss of traditional cultures as people adopt Western values and beliefs.
3. Theoretical perspective of globalization
-Economic globalization
The economic perspective of globalization focuses on the benefits that it brings to the world economy such as increased trade and production. Globalization has resulted in a growth in multinational corporations as they can now operate in multiple countries without facing restrictions. This has led to an increase in world trade as companies can now source materials from around the globe. It has also led to an increase in production as companies can now take advantage of lower labor costs in developing countries. Globalization has also made goods and services more affordable for consumers as companies can now source materials from around the globe at a lower cost.
-political globalization
The political perspective of globalization focuses on the impact that it has on global governance. Globalization has resulted in an increase in international organizations such as the United Nations and World Trade Organization. These organizations have been created in order to govern global issues such as human rights and climate change. Globalization has also resulted in an increase in treaties such as the Paris Agreement which was created in order to tackle climate change.
-cultural globalization
The cultural perspective of globalization focuses on the impact that it has on traditional cultures. Globalization has resulted in the spread of Western culture around the world through mass media and education. This has led to a loss of traditional cultures as people adopt Western values and beliefs. Globalization has also resulted in an increase in cultural homogenization as people from different cultures become more alike.