globalization
Uploaded by upanddown on Jul 21, 2004
People all over the world become closer than ever before. Goods and services that appear in a country will be immediately promoted in the others. International transfer and communication are more common. For describing this present time, they use the term: THE ERA OF GLOBALIZATION. This phenomenon affects the economic business and exerts a wide influence on society at that. The growth of the developing countries is the main cause of globalization and it brings both opportunities and disadvantages to them.
Globalization is a process and this process makes developments in these countries. First of all is the independence of each of developing countries. The development in industry, economy, culture and polity gives solutions to social problems. The most serious problem of all of the governments in the world is unemployment, which leads to poverty, social crime, illiteracy, can be easily clenched as most of the labour in developing countries are very cheap so the multinational companies always employ the worker in host countries. Moreover when the multinational companies cooperate with a country, they also bring their religion, culture, and life style. Meeting them, the people in the poor country increase their standard of living and get acquainted with new civilization. Furthermore, globalization also creates an aggressive competition in industry. For the progression of industrialization, less developing countries cooperate with more developing countries to get new technology or instruct employees to know some modern methods. With these advantages, governments have a basic background to build their country and escape from the Third World.
On the other hand, the spread of globalization makes many scientists warn us about its harms. As has been noted, the cooperation between developing countries and developed countries opens a new window for the improvement of economy of each country; however, the advancement of economy always goes with the exploitation of resource. In addition, the multinational companies always have a tendency to appropriate the smaller companies in host countries. By lowing their prices, increasing money in advertising so the smaller ones cannot compete with the bigger ones and that will lead them to the bankruptcy. A disadvantage could be mentioned is environment pollution. The multinational companies do not have to pay some kinds of tax such as: water, electricity, etc. As the result, the governments do not have enough money to deal with pollution problems. Therefore, globalization causes a lot of risk to the countries in the Third World...