The Major Concerns of Globalization - Essay Example

Business Ethics It would not be a mistake to argue that living in the society should be considered to be one of the irreplaceable prerequisites for the development of the inner potential of a human being. Indeed, it is the presence of other people around that allowed many of our characteristic abilities came to existence. Nevertheless, it is obvious that societies all over the world feature a different level of development. This is particularly seen in the interactions that are carried out in the financial dimension. With the modern world being globalized, this issue becomes an important one and should be taken care of, but there is no single view on it. This paper will argue that there are several concerns, both material and abstract, that should be addressed simultaneously so that paths to harmonization of duties of companies and the local employees can be found. In order to do so, the analysis will employ two articles: The Great Non-Debate Over International Sweatshops by Ian Maitland and Values in Tension: Ethics Away from Home by Thomas Donaldson The major concerns of globalization To begin with, one should make straight the major concerns of globalization. Indeed, the topic in question is surely a rather controversial one. That is why there is no wonder that there will be different, sometimes contradicting points of view. Thus, the authors of the first article note that financial concerns should be addressed in first turn. In other words, when a company operates on a global scale it should make sure that all its payments are carried out correctly. This means that the interaction between the domestic employer and the overseas employees is perceived as conventional labor relations and should be treated accordingly. That is why one might suggest that make important aspects are neglected in this case. On the other hand, the author of the second article note that ethical issues should become the primary focus. It would not be an exaggeration to suggest that the modern business world is different if compared to other ages because of the high importance that is attributed to ethical issues. That is why globalization should not be regarded as a simple expansion of production that crosses the national boundaries: from this point of view the phenomenon is question becomes extremely complex since it starts involving additional aspects that may not be connected directly to the production, but are able to modify the relations significantly. That is why it is rather obvious that the focus should be on the Golden mean between the two points of view. There is another perspective that should be taken in account. For example, the author of the first article notes that the negative state of affairs that can be witnessed nowadays is primarily caused by the social in equality that exists in the world. This means that when a company from a highly industrialized country comes to the territory of a developing country, the former practically reinforces the existing social inequality since the rich become richer and the poor stay poor or the same which widens the gap which undermines the prosperity of the society. As a result, globalization has a negative impact on the countries that are involved in it for there can be no prosperity in the world as long as different countries are not able to enjoy at least the minimum acceptable level of prosperity. On the other hand, the author of the second article notes that it is not the conflict of two classes that causes the negative effects of globalization, but rather the conflict of cultures. Indeed, despite the ongoing process of globalization, each country still maintains its cultural beliefs and norms which have a tremendous impact on the way business is conducted. This means that the society suffers not from introduction of more money that contributes to social inequality, but to introduction of values that ate foreign and not acceptable in the society. As a result, the negative impact of globalization can be effectively explained by the clash of cultures. Obligations in the global context There are several points that are made in the first article with regard to obligations. It is suggested that the foreign workers should be paid the same amount of money that their counterparts receive that live in the country where to company comes from. While this might seem as a rather fair solution, there are objections to it and the author clearly states some of them. For example, if the foreign workers are paid as much as domestic one, then there is no need in engaging the labor force that exists outside the country. There is no doubt that that is not the approach that will bring companies to the heights of their success. This vision can be compared to the concept of ethical imperialism which was developed in the second article. According to it, it may be necessary to use the same moral and ethical standard in other countries though it may contradict with the local customs. The similarity between the home standard approach and ethical imperialism is clear: they both put emphasis on the supremacy of the domestic norms over foreign. The authors of both articles point out that this is not the approach that is likely to provide the best results. While it may seem as the fairest one, it is clearly not the one which will help a company avoid local conflicts. As a result, the two articles dismiss the use of one size fits all ideology and point out that it may be responsible for the worst outcomes of globalization. The first article provides the readers with another approach; it is called the liberal standard. According to it, the payment that the overseas employees will receive should be determined by the agreements and no sum may be considered to be too big or too small. Indeed, if the people abroad as willing to work for money that is several times smaller than the minimum wage in the United States – that is their choice. With this is mind, it becomes clear that the current debate about the wages that workers in the sweatshops receive is resolved: it is their decision to work in those conditions and it is the exact state of affairs that they agreed on. A similar point may be found in the second article when the author discusses the idea of cultural relativism. This is the concept which claims that there is nothing wrong with any customs as long as it is accepted by the society. Figuratively speaking, one man’s poison is another man’s cure. The authors note that some acts which are regarded as inacceptable in one cultures, for example corporate gift giving, is heavily practiced abroad, for example in Japan. Similarly, what is acceptable in the United State may not be acceptable in other parts of the world, for example Saudi Arabia. All this shows the controversial nature of globalization when people still retain their differences despite the common ground that they use to interact with each other. Finally, it is rather interesting to examine the way that the authors propose to resolve the problems that are associated with globalization. Thus, the first article notes that is may be beneficial to work out a set of rules that would guide business activities of any country all over the world. In other words, it should be some kind of a useless mechanism that works only on paper: it should be a combination of practices that are accepted world wide and that make sure that big corporations from industrialized countries treat their foreign employees fairly. In spite of the fact that the latter concept is rather difficult to define, there must be a consensus about when the line should be drawn. The author of the second article has a similar vision, but it is manifested in slightly different form: according to this text, it is the corporate culture that is thought to guide a prosperous company and allow it to avoid all the pitfalls when it enters the global market. Indeed, it may be necessary to provide some free space when it comes to ethical decisions, but ultimately there should be some cornerstone values that shape the vision of the company and stand for its integrity. In other words, in the process of globalization it is crucial to be able to find the Golden mean between adaptability and rigidity of the system of values. This can be easily facilitated through corporate values. Conclusion Having examined all the points that were brought up in the paragraphs above, one is able to come to the following conclusions: globalization is surely a complex phenomenon and in order to understand the obligations that companies have in it, one should first identify the significant issues that guide its development. Indeed, some argue that it is the financial issues that should be taken into account, other see Ethics is the major concern. With all this in mind, one should be able to outline several paths to harmonization. Thus, the solution lies in finding the perfect balance between the domestic norms and foreign customs. Both authors agree that universal rules that are adhered to by everyone and corporate values that shape everyone’s activity can help in this process. Works Cited Allhoff, Fritz, and Anand J. Vaidya. Business in Ethical Focus: An Anthology. Peterborough: Broadview, 2008. Print. Read More