Globalization

Globalization is a process of interaction and integration among the people, companies, and
governments of different nations, a process driven by international trade and investment and
aided by information technology. This process has effects on the environment, on culture, on
political systems, on economic development and prosperity, and on human physical well-being
in societies around the world.
Explain the advantages and disadvantages of Globalization
Advantages of Globalization
1) Globalization allows us to pool all our resources together.
2) Globalization would also reduce labor exploitation issues.
3) Globalization reduces the prospects of tyranny.
4) Globalization improves communication access.
5) Globalization would remove tax havens for wealthy individuals and businesses.
6) Globalization would help the developing world progress faster.
7) Globalization would reduce currency manipulation problems.
8) Globalization encourages free trade.
9) Environmental security in developed countries increases.
10) Encouragement of more researches and development of new machines and equipment
for domestic use.

Disadvantages of Globalization
1. Globalization may encourage more offshoring instead of less.
2. Globalization benefits the wealthy more than the poor.
3. Globalization would encourage disease transfer.
4. Globalization would create a new system of politics.
5. Globalization would negatively impact the environment.
6. Corporate influence of nation-states far exceeds that of civil society organizations and
average individuals
7. Increased chance of economic disruptions in one country affecting all countries.
8. Results in more imports than exports resulting in growing trade deficit and balance of
payment issue.
9. Globalization would make it easier for people to cheat.
10. Increased in flow of skilled and non-skilled jobs from developed to developing nations as
corporations try to find out the cheapest labor
How globalization has helped in industrialization of developing countries and
emerging economies?
In recent decades, developed countries saw a significant portion of their consumption made
possible by industrial production in developing countries, while developing countries became
exporters of manufacturing products. Concurrently, there were substantial declines in
manufacturing employment in developed countries and significant increases in developing
countries. The effect of the latest wave of globalization in this process is subject to heated
debates both in the social sciences and the public sphere. Some see the latest wave of
globalization as a significant force on manufacturing employment in developing countries (e.g.,
Wood 1994; Dicken 2003). However, most of the debate and empirical analyses are confined to
developed countries, and comparatively little research has been done on developing countries
(e.g., Alderson 1999; Brady and Denniston 2006).

Recently, the rapid changes in the world economy led many to argue that economic
globalization became a powerful influence in expanding manufacturing employment in
developing countries.

Globalization encourages creating nations to manage rest of the world increment their
monetary development, tackling the neediness issues in their nation. Previously, creating
nations couldn't tap on the world economy because of exchange boundaries. They can't have
the equivalent financial development that created nations had. Be that as it may, with
globalization the World Bank and International Management support creating nations to
experience advertise changes and radical changes through enormous advances. Numerous
creating countries started to find a way to open their business sectors by evacuating taxes and
free up their economies. The created nations had the option to put resources into the creating
countries, making work open doors for the destitute individuals. For instance, quick
development in India and China has caused world neediness to diminish. It is obvious to see
that globalization has made the connections between created nations also, creating countries
more grounded, it made every nation rely upon another nation.

Creating nations rely upon created nations for asset streams and innovation, yet created
nations rely intensely upon creating nations for crude materials, nourishment and oil, and as
business sectors for modern products". One the most significant focal points of globalization
are products and individuals are moved simpler and quicker thus organized commerce between
nations has expanded, and it diminished the probability of war between nations. Besides, the
development in the correspondence between the people and organizations on the planet
assisted with raising facilitated commerce among nations and this prompted development
economy. In any case, globalization has numerous economy and exchange points of interest the
creating nations, we should likewise take note of the numerous disservices that globalization
has made for the poor nations. One reason globalization expands the disparity between the rich
and poor, the advantages globalization can't general; the more extravagant are getting rich and
the poor are getting less fortunate.

Many developing countries do benefit from globalization but then again, many of such nations
do lag behind. In the past two decades, China and India have grown faster than the already rich
nations. However, countries like Africa still have the highest poverty rates, in fact, the rural
areas of China which do not tap on global markets also suffer greatly from such high poverty.
On the other hand, developed countries set up their companies and industries to the
developing nations to take advantages of low wages and this causing pollution in countries with
poor regulation of pollution.

Furthermore, setting up companies and factories in the developing nations by developed

countries affect badly to the economy of the developed countries and increase unemployment.
It is safe to say that globalization has good benefits and negative setbacks for developing
nations in the world. Globalization can be thought as a tool and depending on how one uses the
tool or how often or even in what ways it is used. Globalization can be good for a Nation
depending on the nations and the developing nations investing in it.

The effect of globalization on manufacturing employment is mainly through international trade.

Inward FDI stock has a negative impact on industrialization in some models, while FDI flow has
no effect. FDI stock in secondary sector has a significant positive effect on industrialization in
developing countries when added to the models, while FDI flows in this sector has no effect.
These suggest that direct investment in developing countries by foreign companies may be less
important in the global reorganization of manufacturing than the trade between these
companies and the companies from developing countries.

Global supply chain by relating to factor driven economies

The supply chain management system thrives on the coordinated effort of the suppliers, the
manufacturers, the transporters and the distributors to make the product available to the end
user. In this entire setup, the ultimate objective is to give a finished product to the customer on
his demand. So, in order to achieve this goal, each party involved in this process must
understand the importance of its role and thereby adhere to it diligently. The global supply
chain management system has to be a cost effective and efficient way of doing business. The
entire process starting from procurement of raw materials to the distribution of the finished
product has to be cost effective.

Therefore, many companies open up overseas manufacturing units and service centers to
manufacture products on time and provide timely service to its customers. The global supply
management system opens up new business vistas not only for the parent company but is also
responsible for providing each trader to give his best so that the entire chain works in a
coherent and seamless manner. In this system, each one benefits provided each one
contributes on time.

Global supply chain by relating to efficient driven economies

Lately, a large number of organizations have made the most of worldwide sourcing openings all
together to contend all the more proficiently, regardless of whether through diminished
creation costs, closeness to showcase or the need for particular aptitudes. By and by, these
focal points have brought new dangers into the present progressively complex stockpile chains.
While a portion of these dangers are immediate, similar to store network interruption, others
are less clear, for example, licensed innovation burglary and advertising emergencies yet
conceivably threatening to organizations.

Ostensibly, extraordinary wonders, for example, the torrent in Indonesia or the atomic
occurrence in Japan—are increasingly predominant today and have a profoundly obvious effect
on supply chains. In truth, however, globalization has presented new business real factors that
expect organizations to evaluate chance introduction all the more cautiously and to plan for
potential disturbances. As exchange boundaries fell and overall coordination’s improved,
creation moved to bring down compensation nations that offered lower sourcing costs, even
notwithstanding the higher transportation, warehousing and out of date quality expenses
related with seaward sourcing. As this pattern fortified, a longing to be "in the game" pushed
organizations to move so quick into a circumstance they didn't comprehend (neighborhood
guidelines, social qualities, laborer security gauges) without thoroughly considering long haul
coordination’s expenses or future capacity to reestablish. Simultaneously, new efficiencies of
scale have disposed of hindrances to showcase section for a wide range of associations in ease
creating nations like India, China, Bangladesh and Mexico thus putting gigantic weight on edges
and driving nearby firms to discover inventive approaches to reduce expenses.

Global supply chain by relating to research and methodology driven economies

Innovative work (R&D), typically, R&D divisions work outside the limitations of this present
reality. The R&D world is one without cost of products concerns or stock valuation or on-time
conveyance measurements. Now and again R&D architects or researchers have their own
buying individual. More regularly they simply request what they need from whomever they
need. Research and development additionally live in a world liberated from affirmed provider
records. While production network the executives has ascended to incredible noticeable quality
in ongoing year, there are not really related advancements in inquire about techniques.
However, as supply chains spread more than one organization, one focal issue is the way to
gather and investigate information along the entire or important piece of the inventory
network.

References
https://www.researchgate.net/publication/266210759_Global_SupplyChain_Strategy_And_Glo
bal_Competitiveness

http://iimm.org/globalization-and-its-effect-on-supply-chain-management/

https://link.springer.com/article/10.1057/palgrave.jibs.8400076

https://www.researchgate.net/publication/266210759_Global_Supply-
Chain_Strategy_And_Global_Competitiveness

https://vittana.org/19-advantages-and-disadvantages-of-globalization

https://www.forbes.com/sites/mikecollins/2015/05/06/the-pros-and-cons-of-globalization/

https://www.enotes.com/homework-help/what-are-the-advantages-and-disadvantages-of-
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