Globalization: A Friend to the Developing World - Coursework Example

Globalization The term ‘globalization’ has been a modern day concept which has integrated in the corporate world of the current times. Globalization pertains to the growing relationships of people, culture, and economic activity on the global level. The term is normally utilized to refer to the perspective of economic globalization: it is the production and distribution of the services and goods on the global platform and takes place with the help of the reduced obstacles of international trade.

These trade barriers include the export fees, tariffs, and import quotas, and also comprise of the free movement of investment and capital in the entire world. There are likely to be huge contributions of globalization towards the economic growth in developing and developed countries. This growth occurs due to the principle of comparative advantage and increased specialization. The concept imparted by this term can also relate to the languages, transnational circulation of ideas, and popular cultures.

Globalization is generally utilized as a shorthand manner of giving the description of connectedness and spread of production, technologies and communication across the globe. This spread has implicated the intertwining of cultural and economic activity. . Thus, we can easily assume that the term ‘globalization’ refers to the process through which information, people, investment, trade, the market economies and democracy are being nurtured further to go ahead of the national boundaries (Johan Norberg, 2003).

Globalization and the Developing World Globalization is a multifaceted term and deals with all the social, political and economic issues in the developed and developing world. It is linked with the developing world just the same way as it connects to the developed region of the world. A developing world comprises of those nations which bear an undeveloped industrial base, low living standard, and low Human Development Index (HDI) (Arthur; Steven, 2003). Just as globalization has negatively impacted the developing world, it has also been friendly towards it in many ways.

There are many ways in which the developing world is being benefitted from the globalization process. This process tends to enhance the rate of international trade of different services and goods. The production processes have been broken down into various stages separated by the geographical boundaries and is conducted on large scale. Moreover, an enormous expansion in the manufacturing exports has occurred from many developing countries. All these factors have created new opportunities and possibilities for the developing regions of the world.

For instance, during 1975 and1994, the developing regions experienced an increasing market share while the rest of the world witnessed the export share to be decreasing. The increasing globalization has also enhanced the participation of the developing world in FDI expansion. Due to the boosting of