Globalization – Definitions, Types and Many More

Introduction

Globalization is the process of developing or expanding business services and technologies worldwide. It requires a considerable investment to grow into a multinational corporation.

Definition

Globalization is the process of interaction or integration among people, companies, and governments worldwide. Simply, it is the widening, depending, and speeding up worldwide interconnectedness.

Types

Social: It refers to integrating our societies with different groups of people
Technological: This refers to the spread of technology worldwide, like solar panels and medical technologies.
Financial: There is an ease at which money can be spread around the world, like NYSE and FTSE
Economic: It refers to how corporations do business as multinational organizations nowadays.
Political: It refers to diplomatic negotiations between nation and state. It includes the standardization of global rules around trade.
Culture: This refers to the spread and mixing of world cultures. This concept relates to cultural adaptation, diffusion, and hierarchy.
Ecological: It refers to the idea that the world needs to be considered one interconnected ecosystem.
Sociological: This refers to the idea that the world is no longer seen as a group of distinct nations.

Advantages

Transfer of Technology: This refers to the communication of people worldwide using advanced technology at low cost, time, and effort.
Better service: Technologies like mobile networks, internet, electricity supply, and many more have made it easier to provide better services.
Standard of living: This enables people to improve their living standards and overcome poverty.
Extension of markets: It provides the market an opportunity for worldwide where companies can demand for their products and services and can demand for foreign currency and customers.
Affordable Products: Now a days as the technology is increasing companies are also increasing their products in better quality, prices and quantity to avail profits.

Disadvantages

Growing Inequality:  This may increase the difference throughout the world by increasing specialization and trade. this may boost the per capita income and cause a poverty line.
Increasing the unemployment rate: Globalization can increase unemployment where it demands high skilled labor at cheapest price
Trade Imbalance: This refers to the currency between the countries import and export.so trade imbalance refers to the values between the countries import and export of goods and services.
Environmental loot: The moto of industrialization is to increase the results of globalization but it harms the environment at the same time which may hurts the landscape badly.
Conclusion: Globalization is no doubt a worldwide phenomenon.it has held the countries coming together in terms of culture and technological aspects.