Abstract
Information Technology has not only changed the lives of an individual but also impacted countries worldwide. IT has played a major role in globalizing the world and minimizing the geographical distances between the countries all over the world. There are several areas; an information technology made an impact over globalization. This article will discuss about these areas with examples.
Globalization
Globalization is the process of developing integrated global economy by which the geographical distances between the countries are minimized by accelerating flow of goods, money, culture and people. The connections between the people of different countries have been increased socially, culturally, economically, environmentally and politically. Information technology has played a great role in shrinking distances between the countries.
Impact of Information Technology on Globalization
- Information technology has helped businesses to deal with the customers worldwide by means of World Wide Web. Now online businesses have come into existence and offering their services all over the world in much lower budget. Almost all the big businesses are already facilitating their customers worldwide without having actual offices in particular locations. For example Dell provides customer support and other services all over the world using their website platform. Similarly, eBay provides platform to worldwide customers to purchase and sell products.
- Information technology has affected every worker in the global marketplace. Due to free trade and online services, businesses have started outsourcing their functions towards the low wage or developing countries. Due to this reason, wages for the American workers have been decreased and employment opportunities have been increased in China and other developing countries.
- IT has changed the processes and procedures of doing international business. International businesses now mainly use medium of social media networks for marketing and other functions of business. For example, today Facebook is used for publishing ads and other marketing strategies. Similarly, most of the international businesses also use LinkedIn for hiring and recruitment .
References
EPI. (2013, March 22). Globalization has lowered wages for American workers, new EPI study finds.
Hajela, S. (2005). Role of Information and Communication Technologies in Managing Globalization at the National and Regional Levels. International Conference on Strengthening Regional Cooperation for Managing Globalization . Moscow: UNITED NATIONS ECONOMIC AND SOCIAL COMMISSION FOR ASIA AND THE PACIFIC .
