Globalization as a subject matter has effected numerous point of views that are positive, negative and neutral, the globalization trend has influenced and also challenged the norms and regulation of every sector and also from a political and economic perspective of the globalized world.
In an article contributed by Mike Collins in Forbes (2015), The Pros and Cons of Globalization, discussed the issues that have impacted the world since its inception as the buzz word in terms of the strategic way forward.
However as stated by the author globalization hasn’t been good to blue or white collar people, case in point of Wal-Mart that in essence wiped out local retailers and business due to its cost effective policies and size (Daniel Altman. 2006).
The Pros that were detailed by the author focused on positive aspects of globalization that includes free trade even though the author pointed out the barriers that are still there for a free trade economy to fully tap the potential through globalization.
Free trade also gave rise to jobs, competition, quality of products and service and most importantly low prices as witnessed by the Wal-Mart operational policies.
However, the aforementioned depended on the countries own policies since the manipulation in the currency is done to gain maximum profits.
One of the positives that really entrenched globalization as the strategic way forward is the investment of foreign capital and technology to create a strong economy though one of the main objectives this has not yet been achieved in most developed countries.
The cultural acceptance has augmented manifold and the greatest benefit of globalization is ‘Internet’ and the communication benefits that can be seen progressing with new developments on a daily basis e.g. whatsapp, skype etc.
The major cons are that globalization have made jobs redundant in most developed countries leading to unemployment, Nike is a case in point since its factories are based mostly in developing countries that costs minimal as opposed to operations in US or UK.
Also it has lead to pay cuts in developed countries since the cheaper option is readily available globally.
Free trade is still a work in progress, the exploitation of big corporations to evade taxes have been registered, the technology sharing has led to China leapfrogging America as the global retailer since it copies and sells at a price in a manner befitting their operational process.
The suggestions that the author has given, illustrates the fact that the author is neutral in his view with regards to globalization.
According to the author it is imperative that leadership should be willing to create parity in terms of currency manipulation and a balanced trade amongst the trading partners and trade agreements are made in such a way that it doesn’t affect jobs especially in countries like USA and rules are enforced that make countries like China to adhere to the WTO Laws and trade rules.
Globalization is the way forward and has to be embraced with policies that help in marginalizing the cons in an effective manner.
Works Cited
Altman, Daniel. “Managing Globalization: Is Wal-Mart a win-win model?.” Business Oct 25, 2006. Date of Access Jan 28, 2016. http://www.nytimes.com/2006/10/25/business/worldbusiness/25iht-glob25.3277611.html?_r=0
Collins, Mike. “The Pros and Cons of Globalization.” Forbes, May 06, 2015. Reinventing America. Date of Access Jan 28, 2016. http://www.forbes.com/sites/mikecollins/2015/05/06/the-pros-and-cons-of-globalization/#6b293ed92170.
