Globalization Research

Despite globalization being regarded to be not new in the market, the technology, as well as the efficient of communication in the trading process, is what is regarded to be new in the process. Globalization is an economic activity that has affected the economic development in both positive and negative ways. However, the negative impacts that have resulted from it seem severer than the positive impacts that it has led to. One of the greatest impacts that have been caused by globalization is that it has opened a wide interdependent and interconnection in the entire world for services, goods as well as capital in the international level (Bagheri & Jahromi, 2016). With the current wars among many nations, having a global trade between these nations is one of the ways that can be used in the process of controlling such war.

The influx of economic competition currently calls for the different nations to come together so as to be able to create a wide market for the available commodities (Kraidy, 2017). Globalization, therefore, has the advantage of creating a wider market for their products. When globalization is impacted over a wide geographical area, such countries eliminate all the barriers that may hinder the movement of goods across the boundaries. By doing this, such countries are able to carry out their business activities across their boundaries. This, therefore, creates a wider market for the products that are produced by the two nations. By doing this also, the nations are able to create employment opportunities for their populations as well. However, despite these advantages that have been caused by globalization, there are also a good number of negative impacts that it has caused.

As said early, globalization is not a new process but a process that has been in existence for thousands of years in the past. It is also a process that not only involves the interaction of people from different backgrounds but also interaction of nations, companies, governments as well as other different processes that are used in the process of carrying out trade around the globe. In addition to this, it is also a process that has an impact on politics, culture, and society together with the economic development of the entire world. This thus makes globalization to have a great negative impact on the environment as compared to the positive impact that it has. Globalization is also affecting the rate of employment when it comes to the case of the developed countries.

Employment opportunities are being shifted from developed countries to the less developed countries (Smick, 2016). Less developed countries have lower wage structures when compared to the developed countries, their coal is generally cheap and their rules and regulations that govern pollution are also cheap. Globalization thus creates an environment that developed countries cannot compete in since it is most favorable to the less developed countries. By this, some industries are likely to benefit more from globalization as compared to the way that other industries are likely to benefit from the same. Those industries that have low bargaining power due to globalization are thus likely to benefit less from globalization while those that come from those economies whose monetary system is stable is likely to benefit more.

This thus creates unequal benefitting from globalization and thus some industries may become slaves of globalization. Another negative implication of globalization is that it causes an increase in poverty, especially to the developing countries. Globalization leads to the loss of the national economies (Bagheri & Jahromi, 2016). The interdependence among these different industries has led to the specialization of the production activities making some industries and nations unable to carry out their production activity in the absence of the other industries or countries. Interdependence of such industries makes them stop producing some of their own goods and entirely import them from other industries or from other states (Watson, 2017). This is possible to work out but the problem comes in when the two countries exploit the resources that they had.

This interdependence is not only on material things but also on technology. Thus, when the two countries exploit the resources that they have, then it will become hard for them to survive. To start with, globalization has led to the destruction of the ozone layer. In the process of exploited resources in the developing countries so as to provide large industries all over the country, large amounts of harmful gases that destroy the ozone layer have been being released. Thus, globalization is bringing about the destruction of the ozone layer that protects the earth from harmful sun rays. Also, globalization is bringing about the increase in unemployment in developed countries. Developing countries, through globalization, have been able to supply developed countries with cheap labor leading to the developed countries preferring this cheap labor instead of labor that they get from the developed countries which are an expense.