Globalization: Significance, Strengths, and Weaknesses

Significance of Globalization
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Table of Contents Introduction. 3 Globalization. 3 Strengths of Globalization with Examples. 4 Weaknesses of Globalization with Examples. 6 Conclusion. 7 References. 9 “Significance of Globalization”
Introduction
Given the emphasis on expanding global entities and reducing barriers to business growth, examining the various facets of globalization is imperative. The present study investigates the advantages and drawbacks of globalization, drawing upon the viewpoints of prominent international actors and Obama's address to the United Nations. Focusing on the function of international organizations and multinational corporations, it critically examines how globalization has altered the economic, cultural, and political landscape.
Globalization
Globalization is a complex political, social, and economic phenomenon (Makarova, Makarova & Korsakova, 2019). Kihombo et al. (2022) emphasized how globalization is a dynamic process. Foreign direct investment (FDI) and the growth of non-U.S. MNEs are indicators of a possible shift in the global economic balance of power. The phenomenon of Mini-MNEs, characterized by their relatively small workforce and sales volume, is a testament to the fact that internationalization is not exclusively limited to large multinational corporations. Globalization has converted previously centrally planned economies into free markets, signifying economic liberalization tendencies. However, lowering trade barriers has stoked concerns about job losses, wage stagnation, and outsourcing risks. Detractors posit that it has engendered joblessness and decreased wages in industrialized nations. In contrast, advocates contend that it has reduced production expenses and the possibility of economic expansion.
On the other hand, the speech delivered by Obama highlighted the societal and political consequences of globalization. Despite its potential advantages, the author posits that globalization has resulted in an upsurge of inequality. The proliferation of technology and the worldwide supply chain renders the reversal of globalization impractical, thereby mentioning a “course correction” rather than outright repudiation. Former President Obama highlights the importance of the equitable distribution of advantages, tackling the disturbances brought about by integration, and ensuring that the global economy serves the interests of all individuals rather than solely benefiting the privileged few (Youtube, 2016). ). Hill and Hult (2019) asserted that a society characterized by a significant disparity in wealth distribution is incapable of attaining stability, thereby underscoring the pressing need to implement just economic policies.
Correspondingly, globalization similarly brings opportunities and difficulties. The benefits of economic growth, technological dissemination, and integration are evident. However, they must be counterbalanced against possible drawbacks such as inequality, unemployment, and socioeconomic upheaval. Hence, the importance of globalizati...