In this paper, I will describe the actual gains and losses to consumers in poor countries from globalization.
However, first, let us begin from the definition. Globalization can be defined as the unfolding resolution of the contradiction between ever expanding capital and its national political and social formations. Up to the 1970s, the expansion of capital was always as national capital, capital with particular territorial and historical roots and character. Afterwards, capital began to expand more than ever as simply the corporation; ownership began to correspond less and less with national geographies. Just as capital once had to create a national state and a defined territory, in the form of the transnational corporation (TNC) it has had to remove or transform this 'shell' to create institutions to ensure and facilitate accumulation at the global level. Globalization can also be grasped as the 'triumph of capitalism', that is, as the ascendancy of economics over politics, of corporate demands over public policy, of the private over the public interest, of the TNC over the national state. It is the last stage in the capitalization of the world..
Nevertheless, globalization today is accompanied by growing inequality, both within and between countries, and by a threat of exclusion faced by many people. In many developing countries the main threats are exclusion from globalization (except perhaps through emigration) and growing poverty. Even in the more dynamic developing, 'emerging market', or 'newly industrializing' economics, which are less likely to be excluded from globalization, there are growing internal income disparities, and stagnant or declining real incomes and increased economic insecurity for many people..
Firstly, a significant disadvantage of globalization is that it is undermining the social stability. Multinational Companies often work closely with politicians to look after their interests that who can bribe and lobby and form alliances with politicians. However, since multinationals have more power, people loss their collective bargaining strength. An example of this is in Kenya, more than 150,000 workers are threatening to go on strike if government fails to implement a salary increment, which it had earlier promised. As a result, a Hostile attitude is displayed between employers and local government
Another disadvantage of globalization is that an increase in worker exploitation and corporate greed are often referred to. Many multinational companies are running in many developing countries, workers are just paid very poorly to produce goods for company. For example, in china it was revealed that an Adidas shoes are sold in USA for $ 100, but only approximately 40 pence do the workers get. However, the main profits form these sweatshops are repatriated to the home country.
Isn't that the result of some kind of order in international relations The answer is yes.
Inequality within the traditional conception of world order is a positive, restraining, and ordering force. It permits the operation of a balance of power as a substitute for the centralized authority of a Hobbesian Leviathan in domestic politics. At the same time, hierarchy in the international system, or the imbalance of power, has never meant a strict imposition of the absolute will of the most powerful state or states. Rather,