Globalization we can is inevitable in this day and age. Now that it has taken place there is no turning back and no country that has been touched by globalization can reverse the process and survive and prosper. This is because today economies are more complex and complicated than ever and technology has shrunk the world to such an extent that all countries and economies are interdependent and cannot survive individually (Kustin, 1993, pp. 4-8).
Long Term Befits of Globalization
The benefits of globalization are many and while there are many short term benefits of globalization likewise we can also name many long term benefits of it. Some of the short term benefits of globalization have been the lower cost of goods and services that have been achieved by the use of comparative advantage and also economies of scale. For instance having goods produced in China has lowered the prices of many goods that are currently sold in the United States. Big retailers like Wal-Mart contract manufacturers in China to produce for them due to the cheap labor that is available that will give them a price advantage, which they will not be able to gain if the goods were produced elsewhere - where labor was more expensive.
Likewise globalization has helped increase service levels like has been done in the health care industry in North America. The issues related to the acute dearth of radiologists in North America has been addressed by radiologists in India, based in India being hired to fill the vacancies, however unlike in the past they are not physically present North America but carry out their duties virtually with the help of modern day...
The essay looks at the external forces that have to be encountered by organizations that are preparing to go global or are already global. In the next section the essay then investigates why some organizations choose to stay local or regional while others decide to go global and how the local and regionally focused organizations survive in this day and age. The impact of the internet and other technological innovations on globalization are closely evaluated in the next section. The article then goes further and looks at the broad gains and losses that have been made from globalization in the last decade or so. Next the paper goes on to look at the main reasons behind international expansion being key to the growth and survival needs of today’s multi-national companies. Last but not least the author gives his personal opinion on globalization and concludes by summarizing the main points covered in this essay.
This paper makes a conclusion that globalization today is inevitable and no country nor economy that has been touched by globalization can turn back the clock and survive without globalization because all economies and countries are interdependent on each other for their survival and globalization is the thread that keeps them all connected. There have been many short and long term benefits of globalization such as lower priced goods being manufactured and individuals having access to products and services that they never had before. Likewise though, there have been many long and short term drawbacks due to globalization.