The Pros and Cons of Globalization - Essay Example

?Globalization – What is it? Globalization is a complex term to define because it includes so many things in a single word. Normally, globalization is taken as a trend that connects countries economically via expansion in education, society, and politics. People have started considering themselves not only citizens of their countries but global citizens, impacted by the global happenings. The internet and the economy have played the leading role in bringing people closer (“Wise Geek” par. 1). Globalization has removed the distances of time. Modern communication means have enabled wider contacts with the outside world. People are becoming more prone to getting impressed by various foreign cultures and traditions. Language is no more a hurdle any more, as people worldwide are interacting through trade, social online forums, different media sources, and many other ways (“Wise Geek” par. 2). Globalization has impressed our lives through its innovation in ideas. It has created an environment of popular culture. All those who inculcate a feeling of belonging to the global community want to be a part of the popular culture. By popular culture means change in interests is welcomes, as people in the United States get entertained with the South African music and love reading the Japanese comic literature. Some music content of America is very well received in other parts of the world, such as the American soap operas are famous in Israel. In the music segment alone, Indian film music is popular in countries wherever Indians are residing. Indian movies are also seen widely in other countries. Sometimes, they attract more crowds in foreign lands than in their country of production. All this has happened because of reducing physical boundaries among nations; globalization has made this possible with the revolution in means of communication (National Geographic 1). Globalization is not limited one facet of life; it has become all-pervasive for those budding managers of the future who like to dress even in global corporate attire. Most professionals in various countries prefer to follow international dress code of suits in formal wear and T-shirts and jeans in casual wear (National Geographic 1). From the perspective of future manager, it would help the manager of a multinational company to entertain varied taste in music and clothing. He can well appreciate distinct music choices of staff, when working outside his/her state of origin. Wider knowledge of music will help in making acquaintances with others if tastes match. Even if tastes are not similar, knowledge of other peoples’ culture will bring strangers nearer. Overall, it will help a manager to jell with wider set of people at work, if outlook is broader and global. Culture is a very wide aspect that can help a future manager to build strong relationships in business. Food is yet another cultural trait. Imagine, as a manager of the US origin, you visit India and develop a taste for South Indian cuisines. Whenever, if you get a chance of posting for some years in India, you may show willingness to accept your posting there to not only relish South Indian food, but make a lot of friends there, just because you have a liking for Indian movies or film songs, or for that matter Indian cuisine. Managers need to cross the boundaries of physical world truly if they want to fit the role of global as well as glocal, which means they are adept in both local and global cultural traits. They can develop cordial relations with staff in a foreign land, which will help them in leveraging more business for the company they are working. Present a Concise, Articulate, and Supported Argument of a Pro and Con of Globalization Arguing in favor or against globalization is not free from political connotations because the very process is complicated enough to decide what are its pros and cons, as pros considered by some are observed as cons by others. The list of the pros and cons of globalization includes various benefits and disadvantages of globalization. Some of them are: Communication is understood to be a major pro of globalization. It has made easy the management of natural catastrophes for welfare organizations. Earlier, latest effective medicines used to be out of reach, but now globalization has made them available as well as affordable. Globalization has opened varied job opportunities for people to come out of chronic poverty. Students can study outside their country to get a globally accredited degree (National Geographic 4). People are not unanimous that all is well in globalization. Issue is raised over the widening negative impact of Western culture over local traditions and customs, which are being threatened all over the world because of globalization. They believe that globalization has aired the trend of eating hamburgers and watching Hollywood movies. This belief is debated by others who remark that people are more willing to follow some points of other cultures without sacrificing their own customs. Irony of the situation is that sophisticated technology is mostly used to maintain and spread old beliefs and customs (National Geographic 5). Those who are against globalization counter that free trade has created unfair work conditions. They also cite how outsourcing has made jobs drifting to developing countries and paucity of jobs in the country from where businesses are being outsourced to third-world nations. Advocates of globalization claim that labourers in poor countries are earning higher wages than they were earning otherwise, before globalization. They also favor globalization for promoting free trade that has reduced prices in richer countries and contributed positively in the economy of poorer countries (National Geographic 6). The example of American economy can well illustrate the con of globalization for actually being a pro. The growth of China, for example, might not be good for America, as Americans are losing jobs both in manufacturing and services sector because of outsourcing them to China. The past record is a proof that since 1980, American manufacturing has faced a loss of 6 million jobs and its contribution to the GDP has reduced from 29 percent to 11 percent. All this has been due to outsourcing of manufacturing operations to countries like China where labor and production cost is relatively cheaper. Same is true of the services industry where not only high paying jobs like programmers, editors, scientists, accountants and medical technicians have shifted to India, but other jobs related to operations have also shifted place, such as customer support, marketing, insurance and any job that can be done via internet. Americans are compelled to okay a lesser paying job (Collins par. 4-6). A pro of this scenario is that American consumers are having varied choices at lesser costs relatively. Jobs in export-generating sectors are doing the balancing act for laborers in import-competing sectors. Interesting question is that con of outsourcing should not out-weigh its pro. In the American case, it seems that con is doing more harm than the good created by the pro. Globalization is there to continue, but precautions can be taken to implement the trade laws, compel the competition to play the game with same rules and by keeping some flashy cards of the game intact, not to provide a competitive edge to others (Collins par.7). Advice to the CEO of Wal-Mart (The World’s Largest Retailer) and Apple (The World’s Most Valued Brand) on the Ethic of Globalization whereby the Corporation must do well by being good The chief executives of multinational companies, such as Wal-Mart and Apple need to take certain precautions. Global work scenario demands not making certain mistakes. Perspectives need to be changed essentially on the global platforms. The horizon of ethics should also be global in range. The need of global work ethics has arisen because there have been news that ethical parameters are being ignored while availing cheap labor from developing countries. Companies are making compromises by putting at risk the health and humanity issues or environmental issues. Overseas operations, for example, by Wal-Mart need to adhere to the regional preferences and tastes. The CEOs should make visits to such locations themselves to take a view of the ground reality there, rather than staying for the week-end in the luxury hotel there. Wal-Mart CEO should get an insight of the living routines of common people and spend some time with them so that a first-hand impression can be made about the do’s and don’ts of working in distant places. Cultural traits can be critical to adhere to win the confidence of the people that they won’t be exploited (“What is Globalization?” 1). As a policy decision, only local people should be recruited, trained, and entrusted with the jobs of responsibility at all levels of postings. It will help Wal-Mart to control easily any volatile situation. Local people at senior level positions can better serve the interests of a company, as they are well adept in local cultural traditions and staff would also easily develop a kinship with the management. Such decisions at CEO level need to be taken for the overall interests of Wal-Mart (“What is Globalization” 1). Wal-Mart is a mirror to evaluate MNCs illegal and unethical practices. Apple has also compromised its position by not adhering to environmental parameters for the health concerns of its employees, working in Chinese factories. There have been reports of Apple’s workers in Chinese factories being treated below dignity and working in compromised conditions. Another type of unethical practice by multinationals has been their misuse of the bargaining power and market hold to using pressurizing tactics to get away with environmental degradation and non-adherence to national labor laws (Sethi par. 14). Wal-Mart and Apple should ensure that their supplier factoring are also adhering to ethical norms and stop purchasing material from such suppliers. There should be no difference between what these companies are proclaiming and preaching, and what is being done in reality. In the case of Wal-Mart, it came out that the industry’s security system was highly erroneous. Evaluation of the company’s CSR report confirms that integrity assurance has been the weakest area to work on (Sethi par. 15-20). The same parameter applies to Apple Inc. and both the companies need to work in the true global spirit to improve upon the ethics. Works Cited Collins, Mike. “The Pros and Cons of Globalization.” 28 June 2010. Web. 30 November 2013 . National Geographic. “Globalization: Popular Culture.” National Geographic Education. Web. 30 November 2013 . Sethi, S. Prakash. “The World of Wal-Mart.” 8 May 2013. Web. 30 November 2013 “What is Globalization.” Yahoo Answers. Web. 30 November 2013 . Wise Geek. “What is Globalization?” Wisegeek.org Web. 30 November 2013 . Read More