Introduction: Globalization is a system that outcomes in fine or negative results and it creates thoughts of efficiency and it deals with acceptance and courting. Early contemporary globalization is one manner of amendment and unification. The distinction between early and current globalization is the application of expansionism and its method via control of international alternate and the flows of data. In our society, globalization plays extensive position to modifications and improvement. Early cutting-edge globalization is volatile and it creates pressures on the enterprise because of growth method and procedures.
The term “global village” epitomizes the sociological definition of globalization. The global village has a technological dimension and a cultural dimension. The technological dimension refers to the enabling and enhancing technologies which dismantle the barriers of distance and time in communication and transportation resulting in step fall in costs. The cultural dimension refers to the cross-border transmission, diffusion and, a certain amount of assimilation of cultures; global explosion of knowledge and information; attitudinal and aspirational changes and convergences. From a corporate perspective, globalization in its true sense is a way of corporate life necessitated, facilitated and nourished by the transnationalisation of the world economy and developed by corporate strategies.
Second, is to explain how individuals, state or non-state actors interact with this system. Third, is to identify the downsides of globalization and last is to explain the role of the US in stabilizing this system and how this state became a key actor for globalization. To begin with, the new system of globalization is an encompassing process of change. It involves the inescapable march to new technology and democratization of various idea this is why the main perspective of globalization is “integration”. Moreover, the system of globalization could stand by its own feet since it has its own demographic pattern which explains why people from rural areas move to urban area just to follow the trend in the global scene, also it has its own dominant culture mainly the reason why it tends to homogenize
As Creazza & Dallari (2010) argued, technical progress, liberalization of markets and the diffusion of global production systems are creating new opportunities and challenges for industrialized countries as well as for the global market economy. Each manufacturing company that needs to alter its business process has to decide how to source its activities; to execute them in-house or to outsource (Graf & Mudambi, 2005). Once the firm selects to outsource, it has to select its partners and the location of the business process operation. Manufacturing firms tried to exploit opportunities of these new conditions by outsourcing their production to countries with cheaper labor and manufacturing costs (Bock, 2008). These areas were selected based on some economic drivers that offer attractive production costs.
In my opinion, globalization is an important issue, as it allows countries to collaborate politically, socially and economically. As every concept, it has its own negatives and positives, so is globalization. Globalization is important as it is a term of changes in societies and worlds economy, that leads to border movement, new investments, and cultural changes. Globalization process has been used for many centuries, but only in recent time globalization became the most focused discussion. One of the reasons why globalization is important issue is because of the world economic problem and different businesses.
The fundamental forces of globalization – the ever-increasing stresses of economic competition and spectacular advancements in technology – have led to a dramatic change in the nature of the marketplace and the manner in which it functions. As the global economy shifts ever more towards free-market systems in the face of cutthroat competition, it becomes ever more important to pay attention to what goes on behind the veil: to how, in practical fact, that competition is sustained. Before the liberalization of India’s economy in 1991, regulations were in place to ensure the protection of indigenous industries and their workforce. However, as part of the free-trade manifesto of the World Trade Organization, India, as a founding member, was compelled to remove the quantitative restrictions hitherto in place on goods imported from abroad. With the influx of foreign goods and investment, it became more difficult for enterprises to maintain their economic viability, forcing them to cut costs.
Concept of Industrialization Industrialization is complex and multidimensional in nature. However, one of the ways to understand the concept of industrialization is to examine the definitions, types and benefits of industrialization. Industrialization Defined The term ‘industrialization’ can be defined as the systematic process of change in social and economic relations among workers, employers and society in achieving economy growth through new machines, processes and services which science and technology made possible (Adejugbe 2004). Forms of Industries Studies have shown that industrialization could take several forms and types depending on its purpose, size, structure, capital and raw material used. In this study, industries are
The latter, mostly happens when the investments are made in underdeveloped and developing nations, in which the taxation costs coming from an arbitral award resulting from ISDS mechanism may generate social and economic chaos. Companies are also the principal contributor to global problems; such as global warming and social inequality. On view of this, it is clear that companies are playing a big and important role on creating global problems, and should be included on the global decision making
There are few benefits come under trade liberalization to the term of economic development will be discussed. Poverty Reduction First benefit of free trade or low-tariff or taxes in global trade in developing country will be poverty reduction according to many researches. Literally income of poor in developing countries will increase in the result of increasing in export or import. Some advanced countries set high tariff or restriction to protect domestic industries but once they lower down the tariffs or remove restriction, export from developing countries will increase eventually. Developing countries access new market and increase export result in create more jobs, increase income of poor, increase in foreign direct investment.
There are different variants of industrial development followed by different countries. However, the common principle among them is the focus on competitiveness in terms of both price and quality, cost–cutting, technological advancement, flexible production systems, demand oriented production, development of and integration into global commodity chains. With the slow adaption of neo-liberal policies and removal of barriers on world trade, it has become essential for industry to supply competitive goods in a globalized trade regime as it is necessary to sustain them. The opening up of trade barriers and restrictions have also greatly changed the composition of production especially export production in the industrial sector for various countries. Different countries now produce export goods in which they have a comparative advantage that is the ones which they can produce more efficiently than others.