American Political Influences on Global Commerce - Essay Example

American political influences in Global Commerce Most of the countries in the world are in one way or another involved inbusiness dealings with the United States and it is for this reason that the American government often works towards ensuring that its interests are protected. In order to achieve this, the United States more often than not gets directly involved in the political affairs of the countries with which it has dealings and this is normally to make sure that there is a safe environment to protect its business interests. It is because of the need to protect its interests that the United States has become one of the biggest backers of globalization, because the latter ensures that the rest of the world is opened to the influence of the American way of life, thus resulting in the development of more markets for American products (Berkowitz 93). Globalization is a process through which all the nations in the world are integrated by characteristics which are political, social, or economic. In recent decades, globalization has led to the exchange of ideas, cultures, as well as products, which have been channeled through advancements in the transport and telecommunications sectors. Mainly due to the influence of the United States, globalization is currently so advanced, that all the countries in the world cannot do without each other, the interdependence having solidified over the years. It is because of this interdependence that the political influence of the United States has come to be felt in all the countries in the world as it attempts to open up more markets for its businesses. The American political influence on global commerce can be said to have a huge impact on the sovereignty of the states which are affected by it. In fact, it can be said that this influence undermines state sovereignty because decisions that are made have to consider their impact on the interests of the United States. An example of this is an oil exporting country, such as Saudi Arabia, which heavily depends on the income from this product to fund its national budget. If Saudi Arabia, for example, were to act in a way which displeases the United States, then this country would be forced to abandon such actions through the placing of sanctions on its exports. Moreover, because of globalization, the United States has come to develop interests in other countries (Norris and Shenai 149). To protect these interests, it has become necessary for America to intervene in the political affairs of the nations with which it conducts business. This action has not only made the latter countries lose their sovereignty in determining the way in which they would like to run their economies, but it has also encouraged their overdependence on the United States for a market for their products. Thus, a country such as Saudi Arabia has come to be completely dependent on the political goodwill of the United States in order to conduct any business with it. Since most of the oil exported by Saudi Arabia goes to the United States, it has become crucial that they both maintain a cordial political relationship because they need each other for economic survival (Kurzman 157). The American influence on commerce has come to be heavily influenced by the diversity of the cultures with which it has to deal. One would suggest that it is because of the cultural diversity of not only the countries that the United States deals with, but also of its own people that has come to influence its political influence in the global business environment. Cultural diversity refers to the variety and differences in race, ethnicity and class that are present in a society, state or the world. Different people all over the world have diverse cultures or customs and this can be said to be what makes them different and marks them out from other people (Wrampelmeier 163). Languages, food and mode of dressing are also part of the cultural diversity that the United States has to deal with, notwithstanding the conformity to everyday way of living by people of a certain society. It has been found that history profoundly determines aspects of culture, but while this may be the case, the environment also plays a significant role in the development of a cultural identity. This definition implies that the people who develop the cultural resources and control access to the culture itself. Thus, in its attempt to achieve political influence over the global business environment, the United States has come to be influenced by the need for cultural diversity, so that the commercial world can focus on those aspects of culture that are beneficial for business (Drope and Hansen 27). It can be argued that American political influence has come to affect the culture of consumption all over the world. It does not hinder this but encourages the interaction and exchange of the diverse cultures, but this normally occurs with a bias to the Western model. Furthermore, the American political authority over the rest of the world has had a positive influence on those states that participate in international trade. It boosts their presence in the global market and avails new technologies to them. On the other hand, it has come to raise the problem of outsourcing from less developed countries in a bid to cut costs. The increasing use of technology in global business has ensured that more business activities are conducted than in previous ages. Because of technology, there is swifter production of goods and services to satisfy the ever growing demand in the world markets. However, the outsourcing that has developed as a result of the introduction of technology has led to plenty of suffering for those individuals to whose countries production has been transferred. There have, for example, been some legal issues concerning the working conditions of the local people in Saudi Arabia who work in the oil industry. In addition, there have also been legal issues concerning the working conditions of individuals working in the sweatshops of China (Wrampelmeier 163). The political influence of the United States in global commerce has also come to be affected by the legal issues arising from the conditions of international trade. The United States, in exerting its political influence on global commerce, has to come to terms with the laws on trade that have been put in place by the countries it conducts business with. Furthermore, as a member of the World Trade Organization (WTO), America has to follow the rules and guidelines set by this organization to ensure that fair global trade takes place. Thus, like any other member of the organization, the United States, in the exertion of its influence, might end up being taken before the WTO for arbitration of disputes that may arise. While American influence has led to a propagation of a unified culture in some regions, in others, it has brought about cultural relativism. This is the idea that all faiths, norms, and principles or values are relative to individuals within their own social contexts. The spreading of this idea has been of an effect that is a direct opposite to what many people who oppose the American dominance believe. Many of the opponents of United States influence have said that its main effect is the continued erosion of local cultures, in favor of the more dominant, western one, in order to ensure the expansion of markets for Western products (Sussman 15). The idea of right or wrong are relative to the culture within which an act is being practiced; this suggests the what is believed to be morally wrong in one society or culture may not be deemed to be so in another. The need to have cultural relativism in the world has come out of a desire to better understand the cultures which are alien to the American one and to treat them as having equal value, so that an environment that is ripe for business relations can be created. An example of an instance where cultural relativism plays a part in business is the relationship between the United States and Saudi Arabia. Despite the many differences in their cultures, the United States and Saudi Arabia are some of the world’s biggest business partners, with ties ranging from the economy to the military (Wrampelmeier 160). This can be considered to be a direct effect of globalization as cultures which previously functioned apart from one another have now been brought together, and in some areas, they exist hand in hand. This means that however much the American people might feel about other cultures, they have to accept them because not to do so would mean losing the benefits that comes with globalization. From an environmental viewpoint, it can be considered to be detrimental as it forces companies to produce a lot more because of growing demand, in a rather short time. In relation to culture, American influence has had a negative effect as states lack distinction from others as they endeavor to become one. This is because culture is one of the main identifiers of a state and American political influence advocates for uniformity in the various aspects of culture. The political influence of the United States is normally exerted with the mission of representing, sustaining, and safeguarding the interests of the businesses that belong to its citizens (Berkowitz 97). Thus, the American government has various core objectives and one of these objectives is the creation of a business environment which is favorable for conducting commercial activities both within and outside its territory. A second very important objective is to support the development of business in the United States with the aim of ensuring that all major businesses which are started are successful and highly competitive in the international market. The third and probably most important objective is the promotion of the United States as an international business hub because this will not only attract investors to invest their money in this country but it will also ensure that the local businesses are given international exposure hence ensuring their success (Cushon, Muhajarine and Labonte 93). Therefore, it can be said that the American influence on global business has been brought about mainly because of the need to safeguard its economic interests. In addition, it can be said that in order to exert its influence on global markets, the United States has had to ensure that it develops an understanding of the cultures of those states with which it conducts business. This has been done so that it can be able to create an environment conducive for business. Works Cited Berkowitz, Peter. "Exceptionally American." Policy Review.147 (2008): 93-100. Cushon, Jennifer A., Nazeem Muhajarine, and Ronald Labonte. "Lived Experience of Economic and Political Trends Related to Globalization." Canadian Journal of Public Health 101.1 (2010): 92-5. Drope, Jeffrey M., and Wendy L. Hansen. "Purchasing Protection? the Effect of Political Spending on U.S. Trade Policy." Political Research Quarterly 57.1 (2004): 27-37. Kurzman, Charles. "Pro-U.S. Fatwas." Middle East Policy 10.3 (2003): 155-66. Norris, Teryn, and Neil K. Shenai. "Dynamic Balances: American Power in the Age of Innovation." The SAIS Review of International Affairs 30.2 (2010): 149-64. Sussman, Gerald. "The Myths of Democracy Assistance: U.S. Political Intervention in Post-Soviet Eastern Europe." Monthly Review 58.7 (2006): 15-29. Wrampelmeier, Brooks. "Saudi Arabia on the Edge: The Uncertain Future of an American Ally." Middle East Policy 19.3 (2012): 160-4. Read More