The Rapid Economic Growth of China - Essay Example

Globalization Impact: A Case Study of China

7/27/2020

Over the past few decades, the global community has witnessed china turn itself from a closed, backward, and developing country into a strong nation that is open and always ready to move forward. Since it started making reforms to its economy, China focused on market-oriented economic development and became the second-largest economic superpower globally with the most significant export by value (Silver, Devlin, & Huang, 2020). Today, China has significantly contributed to its development and its citizens, whom most of them have been raised from poverty levels to an upper middle-level of income. China is the fourth largest country in the world that occupies nearly the entire East Asian landmass. Its most identified characteristic is its large population of 1.4 billion people, which accounts for one-fifth of the entire global population (The world factbook, n.d.).

The country’s rapid economic growth has led many nations within the region and globally to depend heavily on china's manufactured goods. It has been recognized to be the global leader in the manufacturing arena. However, due to its large population and manufacturing arena, complex challenges still face china. China is the largest single emitter of carbon dioxide from the burning of fossil fuels as well as having high levels of water pollutants (The world factbook, n.d.) This environmental issue accounts for global effects that cannot be controlled without China being involved globally.

According to Moisé, China's decision to let the world into their nation and their notion of having an attractive market was not because they actually aimed to be a leader of the global community. “In a world without limitations, multinational corporations sought high concentrations of cheap labor which China was able to offer created its own success in venturing into the global market” . Due to the effects of globalization, other economic powers sought to expand their trade networks, which forced China's hand into the global system. They majored in exports, and in the early 1990s, China continually increased trade, which offered them an average of 7% GDP growth for over 25 years . As the demands in China were exceeding their expectations, they finally agreed to join the global market through their entrance into the World Trade Organization in 2001. Several aspects reinforced foreign investors' interests to enter business within China; One, China has maintained its political position; thus, its political factors are stable for investors. Secondly, its economic stability is a force that has attracted many global nations to invest in Chinese business. As stated earlier, the rapid and steady rise in China's GDP reflects its strong market. About half of China’s exports are produced through Foreign Direct Investment .

China aims at transforming globalization.

According to US congressional studies, China utilizes foreign assistance to benefit them economically and create allies strategically. China’s main financing targets include infrastructure projects, telecommunications, producing and extracting resources, and hydropower for loans and even investments. A majority of the nations that China has provided the infrastructure investment have oil. Therefore through globalization, China is supplied with resources and markets for its development. Despite its size, China realized that they needed other countries to prosper economically. Reports indicate that as of 2007, China had contributed $25 in global aid. Assuming that it was even half of this stated amount considering inflation, it places China among the most prominent donors. It indicates China's evolution in both the economic and political global community. This is a clear indication of the kind of how globalization has changed China.

However, despite China's economic growth in the global market, some countries are not content with working with them. The rate of growth of their military teds to bother even their allies; they tend to this that the growth of China's military is not good for them as allies. The assumption made by many countries, especially their neighbors, is that china investing in their countries acts as a political liability in that they have given China a lot of influence in their economies. The Asian Pacific countries are more careful in investing in China; however, these same countries have considered the United States a better ally. The most significant cause of the trade imbalance between the US and China is the availability of an extraordinarily large labor force due to their large population. Thus, allowing China to benefit from the effects of economic globalization. Even with globalization China has hesitated the universal concept of human rights, especially from the western world; China interprets human rights differently from other countries. A majority of its developed country allies have a record of substantial human rights and have low corruption rates.

Foreign entry into the Chinese market has first enabled business people from other countries to navigate deeper into China's culture. Chinese culture is sensitive to tradition and applies these traditions and meanings in their business conduct and practice. Global interactions have led many Chinese people to learn the English language as a “language of business." The diffusion of diverse cultures has created lucrative opportunities and increased cooperation between nations. Cooperation between regions can also be attributed to global pressures that often affect internal change. Citizens, corporations, institutions, and NGOs can influence and promote global standards. “Workers in China, and around the world, are now acutely aware that they deserve more rights than they given”. Under the communist party, the various NGO's and INGO's based in China are still subject to state censorship.

In the economy's dimension, it is evident that China has more power than the rest of the world in the manufactured goods arena. Its globalized business has thrived through delicate global economic imbalance, causing a more significant impact on its political arena. It has become one of the key players of global society and created diverse networks around the world. The most significant advantage is the income they receive from taxes and importation that help them invest more in producing domestic goods and infrastructure. China’s trade in the global market has also led to cohesion, promotion of peace between it with other countries by showing its commitment to shoulder more responsibility and play its due role in global economic stability.

As much the Chinese communist party wanted to maintain its culture, it was challenging to maintain its culture while embracing globalization. Isolating its citizens from the new global cultures, religions, and political norms. CCP has severally denounced the western culture, which they view as a threat to their society. At the national congress of CCP, Hu Jintao stated that "their ideologies and cultural fields are their main areas which are vulnerable to the hostile forces as a result of the western culture infiltration efforts.” However, globalization has brought so many changes in Chinese culture regardless. These changes are evident from the contradictory relationship between the chia society and the western culture. As much as the CPP doesn’t reflect the opinions of the general public, the Chinese people tend to have a sense of cultural superiority. This is contrary, considering the idolization of some aspects of western culture.

China does not hinder economic globalization from the country as it benefits its economy; however, it tries to limit cultural infiltration. Way before globalization, plastic surgery was non-existent in China; however, it has become common in China in the past decade. This is ironic considering how China upholds their culture, but at the same time, they are paying to have some western-based features. This is one of the examples of the extent to which the flow of information, people, and other products has affected the culture of china. Cultural impacts are mainly due to the media, economic liberation, and china's engagement with other nations. Generally the western has affected the culture and society of China; however, the change has not been in a long term manner, one who strategically infiltrates and undermining china's heritage, instead is the natural result of china's globalization, it is impossible to separate the political and cultural impacts of globalization from the economic effects.

To maintain its stance in the global market, China needs to make more deals with global markets that promote their integration. They should be focused on offering loans to many undeveloped countries to allow them to access their products too. Barriers of entry to the market should be minimized as well as products should be made cheap for the better of the whole market. The establishment of the National Silk Road Fund will open new opportunities for joint economic cooperation and deeper regional integration. By adjusting the balance in economic globalization, it will make it more universally beneficial and inclusive by establishing a multilateral trading system, promoting open regionalism, and creating new cooperative platforms.