Globalization has intensified over the past couple of decades, which has increased interconnectedness of the world in areas such as economies, politics as well as culture. Notwithstanding this, globalization has resulted in winners and losers, which means that the process of globalization has had both positive and negative impacts on the world. The winners of globalization included developed nations and the environment while the losers include developing nations.
One of the winners of globalization is the developed countries more so the west countries such as America. This is because most of the transnational corporation has been able to access the global market and earn more money, which has increased the overall wealth of these developed countries. In addition, they operate in different countries, which have been made possible by globalization. The effects of globalization, however, differ according to socio-economic status. As such, the elite has a more transnational interest such as American elites, and government agencies that have played a key role in the globalization process as compared to other nations. This is because they understand the importance of globalization to their countries especially in case of Multinational Corporation who bring back the wealth to the country. To depict the positive aspect of globalization on developed nations, the head of General Motors stated that “what’s good for General Motors is good for America (Huntington 2004). Besides, globalization has enabled the American multinational companies operating on global to hire their workforce across the globe. This enables them to get the most talented employees across the globe owing to the fact that they are able to offer high compensation compared to less developed countries. The resulting effect is increased wealth, which have a positive impact of these developed nations. Despite the fact that the multinational corporation are considered to take wealth to their developed nation they also help in lifting the living standard of the workforces in the developing countries as they pay them compared to their fellow in developing countries.
The other winner of globalization is the environment. Due to globalization, countries across the world have been motivated to cooperative in handling environmental issues. In this view, nations have been gaining structural reach through cooperation with other nation actors and this has resulted in the environment to be one of the winners of the process of globalization. Besides, globalization has enabled the states to cooperate in more areas. Besides, globalization has widened the cooperation, which has transformed the issue of environmental pollution such as global warming (Weiss 1999). Besides, globalization is encouraging industries in the different nation across the world to invent new ways of being clean and green as the global cooperation is supporting environmental sustainability. Despite the fact that developed countries tend to be a bigger contributor to environmental pollution, the globalization through the international organization is encouraging cooperation.
Despite the fact that there has been a winner from the process of globalization, there have also been losers. One of the losers is the developing nations who have been provided resources necessary to aid globalization. Globalization has had negative countries in most of the developing countries, for instance, individuals from the developing nations are leaving their countries to nation to achieve higher education and get better jobs in the developed countries. This is known as “brain drain”, which usually results in negative economic implication on these developing countries (Weiss 1999). In fact, expansion of world market for specialist skills has made it difficult to prevent workforce from migrating to countries that are considered to be the highest bidders. As argued by Huntington (2004), economic globalization has acted as a force that has broken down the national boundaries and merged these economies into a global economy making it possible for the people with skills to pursue their careers from moving from one nation to another. This means individuals from developing countries can move to highly developed countries to seek better employment and better living standards. However, these countries suffer from human capital deprivation as their skilled workforce tend to be brain drained and in turn lead to a shortage of skilled human capital stock.
Weiss, L. (1999) Globalization and national governance: antinomy or interdependence?. Review of International Studies, 25(5), 59-88.
Huntington, S. P. (2004) Dead souls: The denationalization of the American elite. The National Interest, (75), 5-18.
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