globalization challenges essay

Globalization Benefits and Challenges

Globalization is an established part of the modern world, so most of us do not realize the benefits it brings to our everyday lives—such as easy access to a variety of different cuisines or new technologies developed by countries half a world away.

Even though globalization makes our lives better, it brings some challenges as companies start to grow and expand across borders.

Cultural differences around the world are undeniable. These differences create hurdles for businesses entering foreign markets and necessitate changes to their daily business operations, whether it’s employing workers in a new region or communicating the value of their product to a new audience.

Keep reading to learn more about the benefits and challenges of globalization and how businesses navigate these difficulties to reach their global expansion goals.

What is globalization?

Before discussing the benefits and challenges of globalization, it’s essential to have a strong understanding of what the term means.

The official definition of globalization is the process by which businesses or other organizations develop international influence or start operating on an international scale.

More simply, globalization refers to an open flow of information, technology, and goods among countries and consumers. This openness occurs through various relationships, from business, geopolitics, and technology to travel, culture, and media.

Because the world is already so connected, most people don’t notice globalization at work every single day. But the world is getting smaller, and companies need to understand what this means for the future of doing business. Companies that don’t embrace globalization risk losing a competitive advantage, which allows other businesses to take over new opportunities in the global marketplace.

Related Term: What Is Global Expansion?

What are the benefits of globalization?

Globalization impacts businesses in many different ways. But those who decide to take on international expansion find several benefits, including:

1. Access to new cultures

Globalization makes it easier than ever to access foreign cultures, including food, movies, music, and art. This free flow of people, goods, art, and information is the reason you can have Thai food delivered to your apartment as you listen to your favorite U.K.-based artist or stream a Bollywood movie.

Read more: The Role of Culture in International Business

2. The spread of technology and innovation

Many countries around the world remain constantly connected, so knowledge and technological advances travel quickly. Because knowledge also transfers so fast, this means that scientific advances made in Asia can be at work in the United States in a matter of days.

3. Lower costs for products

Globalization allows companies to find lower-cost ways to produce their products. It also increases global competition, which drives prices down and creates a larger variety of choices for consumers. Lowered costs help people in both developing and already-developed countries live better on less money.

4. Higher standards of living across the globe

Developing nations experience an improved standard of living—thanks to globalization.  According to the World Bank , extreme poverty decreased by 35% since 1990.

The target of the first Millennium Development Goal was to cut the 1990 poverty rate in half by 2015. This was achieved five years ahead of schedule in 2010. Across the globe, nearly 1.1 billion people have moved out of extreme poverty since that time.

5. Access to new markets

Businesses gain a great deal from globalization, including new customers and diverse revenue streams . Companies interested in these benefits look for flexible and innovative ways to grow their business overseas.

A global employer of record (EOR) makes it easier than ever to employ workers in other countries quickly and compliantly. This means that, for many companies, there is no longer the need to establish a foreign entity to expand overseas.

Read more: Your Guide to the Global Marketplace

6. Access to new talent

In addition to new markets, globalization allows companies to find new, specialized talent that is not available in their current market. For example, globalization gives companies the opportunity to explore tech talent in booming markets such as Berlin or Stockholm rather than Silicon Valley.

A global EOR allows companies to compliantly employ talent overseas without establishing an entity , making global hiring easier than ever.

Get the essential global expansion checklist

Learn key tips and insights on how to develop your global expansion strategy, conduct market research, and engage top global talent with compliance.

What are the challenges of globalization?

While globalization offers many benefits, it’s not without challenges. Some of the hurdles companies face when going global include:

1. International recruiting

A common challenge global leaders face when going global is international recruiting . Recruiting across borders creates unknowns for HR teams.

First, companies create a plan for how they will interview and thoroughly vet candidates to make sure they are qualified when thousands of miles separate them from headquarters. Next, companies need to know the market’s demands for salaries and benefits to make competitive offers.

To ensure successful hires, HR teams must factor in challenges like time zones, cultural differences, and language barriers to find a good fit for the company.

2. Managing employee immigration

Despite the benefits of global mobility , immigration is a top challenge companies face when expanding overseas. Immigration laws change often, and in some countries, it is extremely difficult to secure visas for employees who are foreign nationals. The U.S., for example, is getting stricter with granting H-1B visas , and Brexit makes immigration to the U.K. difficult .

3. Incurring tariffs and export fees

Another challenge leaders face when going global is incurring tariffs and export fees. For companies looking to sell products abroad, getting those items overseas can be expensive, depending on the market.

4. Payroll and compliance challenges

Another common global expansion obstacle is managing global payroll and maintaining compliance with changing employment and tax laws. This management task gets even more difficult if you’re trying to manage operations in multiple markets.

5. Loss of cultural identity

While globalization has made foreign countries easier to access, it has also begun to meld unique societies together. The success of certain cultures throughout the world caused other countries to emulate them. But when cultures begin to lose their distinctive features, we lose our global diversity.

6. Foreign worker exploitation

Lower costs do benefit many consumers, but it also creates tough competition that leads some companies to search for cheap labor sources. Some Western companies ship their production overseas to countries like China and Malaysia, where lax regulations make it easier to exploit workers.

7. Global expansion difficulties

For businesses that want to go global and discover the benefits of globalization, setting up a compliant overseas presence is difficult. If companies take the traditional route of setting up an entity, they need substantial upfront capital, sometimes up to $20,000, and costs of $200,000 annually to maintain the business.

Read more: The Hidden Costs of Entity Establishment

Additionally, global businesses must keep up with different and ever-changing labor laws in new countries. When expanding into new countries, companies must be aware of how to navigate new legal systems and ensure global compliance . Otherwise, missteps lead to impediments and severe financial and legal consequences.

8. Immigration challenges and local job loss

The political climates in the U.S. and Europe show that there are different viewpoints on the results of globalization. Many countries around the globe are tightening their immigration rules, and it is harder for immigrants to find jobs in new countries.

This rise in nationalism is mainly due to anger from the perception that foreigners fill domestic jobs or that companies move their operations abroad to save money on labor costs.

For example, the Economic Policy Institute reports that the U.S. trade deficit with China (or the amount by which our imports exceed our exports) cost Americans  3.4 million jobs  since 2001.

How globalization changes your daily business operations

Both the benefits and challenges of globalization change how a business operates in different ways. When companies decide to go global, they must be ready and willing to change internal processes. This helps to accommodate new markets and make their global workforce feel comfortable and accepted at work.

Companies see many aspects of their businesses change once they enter the global marketplace. For example, globalization makes the workforce more diverse . This diversity is an overall positive change, but it creates some challenges, such as language barriers and differences in cultural expectations.

Some operational changes companies should expect from globalization include:

1. Global communication challenges

Before starting to branch out from headquarters, firms have to put an established internal communication plan in place since global employees likely work in a different time zone and have a different native language.

Software and other digital tools help smooth global communication hurdles and allow teams to connect easily. Zoom, Slack, and Google all provide valuable tools for companies trying to manage employees in multiple offices, countries, and time zones.

2. International employee expectations

Foreign employees have different expectations when it comes to things like salary and benefits, as well as how they manage their daily work schedules. Companies that want to take advantage of globalization and hire foreign workers need to accommodate them as much as possible. HR teams must also ensure their employee benefits offerings are competitive and on par with local expectations during the hiring process.

3. Supporting foreign customers

Similar to communication changes with employees, companies must also plan for how they run customer service and support in new countries. Customers in the new market where you offer your products or services might not speak your native language or be close to your time zone.

4. Increased competition

International companies have to adjust more than internal operations. Going global opens up new revenue streams and increases availability to talent. Because of these attractive benefits and the ease of going global due to solutions like partnering with a global EoR, the global marketplace is competitive.

As globalization becomes the norm, many companies often seek the same foreign markets, which increases competition for businesses.

5. Marketing and communication changes

Just like hiring employees in different countries creates internal communication challenges, marketing your products or services to a completely new audience creates obstacles for companies. Businesses need to adjust their marketing strategies to communicate the benefits of their product in a way that resonates with a foreign audience.

You cannot assume that a marketing campaign targeting an American audience (or wherever your HQ location is) attracts consumers in Europe, Asia, or any other popular market, as the consumers there have very different wants and needs.

Go global with the right partner

In the past, cost and regulatory challenges were massive barriers to companies seeking to expand globally in search of the benefits of globalization.

Now, partnering with a globalization expert helps firms navigate any challenge that comes their way—while successfully setting up an overseas presence. Our EOR solution helps organizations establish a presence in more than 185 international markets without the time and costs associated with entity establishment.

The right EOR partner helps your company experience the benefits that globalization has to offer and quickly become a successful player in the global marketplace.

Ready to go global? Contact us to learn more .

Want more insights like this?

Subscribe to our newsletter to receive resources on global expansion and workforce solutions.

Related resources

Culture in International Business: How to Overcome Cultural Barriers During Global Expansion

Business Growth Strategies: 8 Steps to Take Your Business Global

Choosing the Right Mode of Entry Into Foreign Markets: How to Grow Your Business Abroad

Home — Essay Samples — Sociology — Globalization — The Economic and Social Impact of Globalization

The Economic and Social Impact of Globalization

• Categories: Globalization

About this sample

Words: 760 |

Published: Aug 1, 2024

Words: 760 | Pages: 2 | 4 min read

Table of contents

The economic impact of globalization, the social impact of globalization, the environmental impact of globalization.

Cite this Essay

To export a reference to this article please select a referencing style below:

Let us write you an essay from scratch

• 450+ experts on 30 subjects ready to help
• Custom essay delivered in as few as 3 hours

Get high-quality help

Verified writer

• Expert in: Sociology

+ 120 experts online

By clicking “Check Writers’ Offers”, you agree to our terms of service and privacy policy . We’ll occasionally send you promo and account related email

No need to pay just yet!

Related Essays

1 pages / 619 words

8 pages / 3854 words

6 pages / 2661 words

2 pages / 725 words

Remember! This is just a sample.

You can get your custom paper by one of our expert writers.

121 writers online

Still can’t find what you need?

Browse our vast selection of original essay samples, each expertly formatted and styled

Related Essays on Globalization

The Silk Road served as a historical beacon of globalization, illuminating the path towards interconnectedness, collaboration, and mutual understanding. Its significance extends beyond mere trade routes; it encapsulates the [...]

Harrison, A (2013) FOB/CIF Issue in Merchandise Trade/Transport of Goods in BPM6 and the 2008 SNA, Twenty-Fifth Meeting of the IMF Committee on Balance of Payments Statistics, Washington, D.C.Tetlow, G (2018) The short-term [...]

Globalization is a complex process that involves the integration and interaction of countries, cultures, and economies on a global scale. One of the effects of globalization is cultural homogenization, which refers to the [...]

In a world where globalization and multiculturalism are becoming increasingly prevalent, the ability to speak more than one language is a valuable asset. Being bilingual opens up a world of opportunities, both personally and [...]

Globalization is erasing country borders. It’s expanding something to a worldwide scale, and generally making the world a little bit smaller. When you think of globalization in terms of sports, the best example is soccer. Soccer [...]

Globalisation and overseas ventures have made today’s workplace boundarlyless where no one works in isolation (Friedman, 2005). In fact today’s work environment is characterised as volatile, uncertain, complex, and ambiguous [...]

Related Topics

By clicking “Send”, you agree to our Terms of service and Privacy statement . We will occasionally send you account related emails.

Where do you want us to send this sample?

By clicking “Continue”, you agree to our terms of service and privacy policy.

Be careful. This essay is not unique

This essay was donated by a student and is likely to have been used and submitted before

Download this Sample

Free samples may contain mistakes and not unique parts

Sorry, we could not paraphrase this essay. Our professional writers can rewrite it and get you a unique paper.

Please check your inbox.

We can write you a custom essay that will follow your exact instructions and meet the deadlines. Let's fix your grades together!

Get Your Personalized Essay in 3 Hours or Less!

We use cookies to personalyze your web-site experience. By continuing we’ll assume you board with our cookie policy .

• Instructions Followed To The Letter
• Deadlines Met At Every Stage
• Unique And Plagiarism Free

Essay on Globalization

Students are often asked to write an essay on Globalization in their schools and colleges. And if you’re also looking for the same, we have created 100-word, 250-word, and 500-word essays on the topic.

Let’s take a look…

100 Words Essay on Globalization

Understanding globalization.

Globalization is a process where businesses or other organizations develop international influence or start operating on an international scale. It’s like a big bridge that connects people from all over the world.

Impacts of Globalization

Globalization has both positive and negative impacts. On one hand, it opens up opportunities for businesses to expand and grow. On the other hand, it can lead to job losses in certain sectors due to outsourcing.

Globalization and Culture

Globalization also affects culture. It can lead to the spread of popular culture but may also cause the loss of local cultures and traditions.

Also check:

• Paragraph on Globalization

250 Words Essay on Globalization

Introduction to globalization.

Globalization is a complex and multifaceted phenomenon that has transformed the world into an interconnected community. It involves the integration of countries and economies through trade, information technology, and cultural exchange, transcending geographical boundaries.

Driving Factors of Globalization

The advent of advanced technology, particularly the internet, has accelerated globalization, enabling instant communication, easy travel, and international trade. Additionally, liberal economic policies have facilitated the movement of goods, services, and capital across borders, fostering global economic integration.

Globalization has significantly influenced various aspects of society. Economically, it has led to the emergence of a global marketplace, benefiting businesses with broader consumer bases and competitive sourcing. Culturally, it has promoted the sharing of ideas, values, and artistic expressions, enriching societies worldwide.

Globalization: A Double-Edged Sword

Despite its benefits, globalization has its drawbacks. It often exacerbates income inequalities, with wealth concentrated among those who can participate effectively in the global market. Moreover, it can lead to cultural homogenization, threatening local traditions and identities.

In conclusion, globalization is a powerful force shaping our world today. It brings about opportunities for growth and cultural exchange but also poses challenges that require thoughtful solutions. As we navigate this interconnected world, it is crucial to harness the benefits of globalization while mitigating its potential adverse impacts.

500 Words Essay on Globalization

Introduction.

Globalization is a complex phenomenon that has had far-reaching effects on every aspect of modern life. It is a process that involves the integration of economies, societies, and cultures through a global network of trade, communication, and transportation. While some view it as a catalyst for economic growth and cultural exchange, others see it as a threat to national sovereignty and cultural diversity.

The Evolution of Globalization

Globalization is not a new concept; it has been a part of human history for centuries. The Silk Road, for instance, was an early example of economic and cultural globalization. However, the pace and intensity of globalization have significantly increased in the last few decades, largely due to technological advancements. The advent of the internet, for instance, has revolutionized communication, enabling instantaneous and virtually cost-free interaction across the globe.

Economic Implications

Economically, globalization has led to a more interconnected world market. It has allowed countries to participate in international trade more efficiently, leading to economic growth and poverty reduction in many parts of the world. However, it has also led to increased competition, which can have adverse effects on certain sectors and regions. For instance, industries in developed countries may suffer as jobs are outsourced to countries where labor costs are lower.

Sociocultural Aspects

Culturally, globalization has facilitated the exchange of ideas and values, leading to a more diverse and interconnected world. However, this has also led to fears of cultural homogenization, as dominant cultures may overshadow local traditions and languages. Moreover, the global spread of certain lifestyles can lead to increased consumption and environmental degradation.

Political Consequences

Politically, globalization has both empowered and challenged nation-states. On one hand, it has provided governments with new tools for diplomacy and conflict resolution. On the other hand, it has raised questions about national sovereignty, as international institutions and corporations gain more influence.

In conclusion, globalization is a multifaceted and complex process with both positive and negative implications. Its effects are not uniform, varying greatly across different sectors and regions. As we continue to navigate this interconnected world, it is crucial to understand the dynamics of globalization and strive for policies that maximize its benefits while mitigating its potential drawbacks. The challenge lies in ensuring that globalization becomes a tool for inclusive growth and sustainable development, rather than a cause of inequality and cultural erosion.

That’s it! I hope the essay helped you.

If you’re looking for more, here are essays on other interesting topics:

• Essay on Global Warming
• Essay on George Washington
• Essay on Gender Inequality

Apart from these, you can look at all the essays by clicking here .

Happy studying!

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Save my name, email, and website in this browser for the next time I comment.

• SUGGESTED TOPICS
• The Magazine
• Newsletters
• Managing Yourself
• Managing Teams
• Work-life Balance
• The Big Idea
• Data & Visuals
• Case Selections
• HBR Learning
• Topic Feeds
• Account Settings
• Email Preferences

The State of Globalization in 2022

• Steven A. Altman
• Caroline R. Bastian

Its collapse has been vastly overstated, according to an analysis of international flows of trade, capital, information, and people.

As companies contemplate adjustments to their global strategies, it is important to recognize how much continuity there still is even in a period of wrenching change. The idea of a world where economic efficiency alone drives patterns of international flows was always a myth. Globalization has always been an uneven process, with cross-country differences and international conflicts significantly dampening international flows. That’s a big part of why — even before the present crisis in Ukraine — only about 20% of global economic output ended up in a different country from where it was produced. As the landscape shifts, global strategies must be updated, but managers should avoid the costly overreactions that tend to follow major shocks to globalization.

Russia’s invasion of Ukraine has led to a new round of predictions that the end of globalization is nigh , much like we saw at the beginning of the Covid-19 pandemic . However, global cross-border flows have rebounded strongly since the early part of the pandemic. In our view, the war will likely reduce many types of international business activity and cause some shifts in their geography, but it will not lead to a collapse of international flows.

• Steven A. Altman is a senior research scholar, adjunct assistant professor, and director of the DHL Initiative on Globalization at the NYU Stern Center for the Future of Management .
• CB Caroline R. Bastian is a research scholar at the DHL Initiative on Globalization.

Partner Center

45,000+ students realised their study abroad dream with us. Take the first step today

Meet top uk universities from the comfort of your home, here’s your new year gift, one app for all your, study abroad needs, start your journey, track your progress, grow with the community and so much more.

Verification Code

An OTP has been sent to your registered mobile no. Please verify

Thanks for your comment !

Our team will review it before it's shown to our readers.

• School Education /

✍️Essay on Globalisation: Samples in 100, 150 and 200 Words

• Updated on  
• October 25, 2023

Globalisation means the combination of economies and societies with the help of information, ideas, technology, finance, goods, services, and people. It is a process where multinational companies work on their international standing and conduct operations internationally or overseas. Over the years, Globalisation has had a profound impact on various aspects of society. Today we will be discussing what globalisation is and how it came into existence with the essay on globalisation listed below.

Table of Contents

• 1 How Globalisation Came Into Existence?
• 2 Essay on Globalisation in 100 Words
• 3 Essay on Globalisation in 150 Words
• 4 Essay on Globalisation in 200 Words

How Globalisation Came Into Existence?

For all those unaware, the concepts of globalisation first emerged in the 20th century. Here are some of the key events which led to the development of globalisation in today’s digital world.

• The ancient Silk Route as well as the maritime routes led to the exchange of goods, ideas and culture in several countries. Although these were just trade routes, but later became important centres for cultural exchange.
• Other than this, the European colonial expansion which took place from the 15th to the 20th century led to the setting up of global markets where both knowledge and people were transferred to several developing countries. 
• The evolution and exchange of mass media, cinema and the internet further led to the widespread dissemination of cultures and ideas.

Also Read: Essay on the Importance of the English Language for Students

Essay on Globalisation in 100 Words

Globalization, the interconnectedness of nations through trade, technology, and cultural exchange, has reshaped the world. It has enabled the free flow of goods and information, fostering economic growth and cultural diversity. However, it also raises challenges such as income inequality and cultural homogenization. 

In a globalized world, businesses expand internationally, but local industries can suffer. Moreover, while globalization promotes shared knowledge, it can erode local traditions. Striking a balance between the benefits and drawbacks of globalization is essential to ensure a more equitable and culturally diverse global community, where economies thrive without leaving anyone behind.

Also Read: Essay on Save Environment: Samples in 100, 200, 300 Words

Essay on Globalisation in 150 Words

Globalization is the process of increasing interconnectedness and interdependence among countries, economies, and cultures. It has transformed the world in various ways.

Economically, globalization has facilitated the flow of goods, services, and capital across borders. This has boosted economic growth and reduced poverty in many developing nations. However, it has also led to income inequality and job displacement in some regions.

Culturally, globalization has resulted in the spread of ideas, values, and cultural products worldwide. While this fosters cultural exchange and diversity, it also raises concerns about cultural homogenization.

Technologically, globalization has been driven by advances in communication and transportation. The internet and smartphones have connected people across the globe, allowing for rapid information dissemination and collaboration.

In conclusion, globalization is a complex phenomenon with both benefits and challenges. It has reshaped the world, bringing people closer together, but also highlighting the need for responsible governance and policies to address its downsides.

Also Read: Essay on Unity in Diversity in 100 to 200 Words

Essay on Globalisation in 200 Words

Globalization, a multifaceted phenomenon, has reshaped the world over the past few decades. It involves the interconnectedness of economies, cultures, and societies across the globe. In this essay, we will briefly discuss its key aspects and impacts.

Economically, globalization has led to increased international trade and investment. It has allowed companies to expand operations globally, leading to economic growth in many countries. However, it has also resulted in income inequality and job displacement in some regions.

Culturally, globalization has facilitated the exchange of ideas, values, and traditions. This has led to a more diverse and interconnected world where cultures blend, but it can also challenge local traditions and languages.

Socially, globalization has improved access to information and technology. It has connected people across borders, enabling global activism and awareness of worldwide issues. Nonetheless, it has also created challenges like cybercrime and privacy concerns.

In conclusion, globalization is a double-edged sword. It offers economic opportunities, cultural exchange, and global connectivity, but it also brings about disparities, cultural tensions, and new global challenges. To navigate this complex landscape, the world must strive for responsible globalization that balances the interests of all stakeholders and promotes inclusivity and sustainability.

Related Articles

The movement of goods, technologies, information, and jobs between countries is referred to as globalisation. 

Globalization as a phenomenon began with the earliest human migratory routes, or with Genghis Khan’s invasions, or travel across the Silk Road.

Globalisation allows wealthy nations to access cheaper labour and resources, while also providing opportunity for developing and underdeveloped nations with the jobs and investment capital they require.

For more information on such interesting topics, visit our essay-writing page and follow Leverage Edu ! 

Malvika Chawla

Malvika is a content writer cum news freak who comes with a strong background in Journalism and has worked with renowned news websites such as News 9 and The Financial Express to name a few. When not writing, she can be found bringing life to the canvasses by painting on them.

Leave a Reply Cancel reply

Save my name, email, and website in this browser for the next time I comment.

Contact no. *

Connect With Us

45,000+ students realised their study abroad dream with us. take the first step today..

Resend OTP in

Need help with?

Study abroad.

UK, Canada, US & More

IELTS, GRE, GMAT & More

Scholarship, Loans & Forex

Country Preference

New Zealand

Which English test are you planning to take?

Which academic test are you planning to take.

Not Sure yet

When are you planning to take the exam?

Already booked my exam slot

Within 2 Months

Want to learn about the test

Which Degree do you wish to pursue?

When do you want to start studying abroad.

January 2025

September 2025

What is your budget to study abroad?

How would you describe this article ?

Please rate this article

We would like to hear more.

Have something on your mind?

Make your study abroad dream a reality in January 2022 with

India's Biggest Virtual University Fair

Essex Direct Admission Day

Why attend .

Don't Miss Out

Essay on Globalization for Students and Children

500+ words essay on globalization.

Globalization refers to integration between people, companies, and governments. Most noteworthy, this integration occurs on a global scale. Furthermore, it is the process of expanding the business all over the world. In Globalization, many businesses expand globally and assume an international image. Consequently, there is a requirement for huge investment to develop international companies.

How Globalization Came into Existence?

First of all, people have been trading goods since civilization began. In the 1st century BC, there was the transportation of goods from China to Europe. The goods transportation took place along the Silk Road. The Silk Road route was very long in distance. This was a remarkable development in the history of Globalization. This is because, for the first time ever, goods were sold across continents.

Globalization kept on growing gradually since 1st BC. Another significant development took place in the 7th century AD. This was the time when the religion of Islam spread. Most noteworthy, Arab merchants led to a rapid expansion of international trade . By the 9th century, there was the domination of Muslim traders on international trade. Furthermore, the focus of trade at this time was spices.

True Global trade began in the Age of Discovery in the 15th century. The Eastern and Western continents were connected by European merchants. There was the discovery of America in this period. Consequently, global trade reached America from Europe.

From the 19th century, there was a domination of Great Britain all over the world. There was a rapid spread of international trade. The British developed powerful ships and trains. Consequently, the speed of transportation greatly increased. The rate of production of goods also significantly increased. Communication also got faster which was better for Global trade .

Finally, in 20th and 21st -Century Globalization took its ultimate form. Above all, the development of technology and the internet took place. This was a massive aid for Globalization. Hence, E-commerce plays a huge role in Globalization.

Get the huge list of more than 500 Essay Topics and Ideas

Impact of Globalization

First of all, Foreign Direct Investment (FDI) increases at a great rate. This certainly is a huge contribution of Globalization. Due to FDI, there is industrial development. Furthermore, there is the growth of global companies. Also, many third world countries would also benefit from FDI.

Technological Innovation is another notable contribution of Globalization. Most noteworthy, there is a huge emphasis on technology development in Globalization. Furthermore, there is also technology transfer due to Globalization. The technology would certainly benefit the common people.

The quality of products improves due to Globalization. This is because manufacturers try to make products of high-quality. This is due to the pressure of intense competition. If the product is inferior, people can easily switch to another high-quality product.

To sum it up, Globalization is a very visible phenomenon currently. Most noteworthy, it is continuously increasing. Above all, it is a great blessing to trade. This is because it brings a lot of economic and social benefits to it.

Customize your course in 30 seconds

Which class are you in.

• Travelling Essay
• Picnic Essay
• Our Country Essay
• My Parents Essay
• Essay on Favourite Personality
• Essay on Memorable Day of My Life
• Essay on Knowledge is Power
• Essay on Gurpurab
• Essay on My Favourite Season
• Essay on Types of Sports

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Download the App

Globalization Challenges Essays

Summary & reflection: struggle between worldviews assignment, popular essay topics.

• American Dream
• Artificial Intelligence
• Black Lives Matter
• Bullying Essay
• Career Goals Essay
• Causes of the Civil War
• Child Abusing
• Civil Rights Movement
• Community Service
• Cultural Identity
• Cyber Bullying
• Death Penalty
• Depression Essay
• Domestic Violence
• Freedom of Speech
• Global Warming
• Gun Control
• Human Trafficking
• I Believe Essay
• Immigration
• Importance of Education
• Israel and Palestine Conflict
• Leadership Essay
• Legalizing Marijuanas
• Mental Health
• National Honor Society
• Police Brutality
• Pollution Essay
• Racism Essay
• Romeo and Juliet
• Same Sex Marriages
• Social Media
• The Great Gatsby
• The Yellow Wallpaper
• Time Management
• To Kill a Mockingbird
• Violent Video Games
• What Makes You Unique
• Why I Want to Be a Nurse
• Send us an e-mail

Talk to our experts

1800-120-456-456

• Globalisation Essay

Essay on Globalisation

Globalization means the integration of economies and societies through the flow of information, ideas, technology, goods, services, capital, finance, and people. The true meaning of Globalization in a broad sense is connecting in all areas of human life. It is the process by which other companies or organizations enhance their international reputation or start operating internationally. 

Globalization began thousands of years ago when people and companies bought and sold in distant lands. In the Middle Ages, Central Asia was connected to China and Europe via the famous Silk Road. After World War II and the last two decades, governments of many countries have adopted free-market economies. They have greatly increased their own production potential and created countless new opportunities for international trade and investment. New routes and means to transport goods have been discovered, which has allowed the people to expand their business easily and efficiently. 

The government has reduced all trade barriers and concluded new international agreements to promote trade in goods, services and investment. This profitable action has created opportunities for international trade. In foreign markets, companies with these new opportunities set up new factories and establish production and marketing relationships with foreign partners. Hence, Globalization is defined as an international industrial and financial enterprise.

Overview of Globalization

Globalization means the assimilation of economics and societies through the flow of information, ideas, technologies, goods, services, capital, finance, and people. The real meaning of Globalization in a broad sense is connectivity in all aspects of human life. It is the process where the businesses or other organizations expand international authority or start operating on an international scale.

How the Existence of Globalization Came Into Being?

Globalization had started many thousands of years ago when people and corporations were buying and selling across lands at great distances. In the middle age, Central Asia connected with China and Europe through the famed Silk Road. After the Second World War II and during the last two decades, the governments of many countries have adopted free-market economic systems. They increased their own productive potential immensely and created innumerable new opportunities for international trade and investment.

The governments have reduced all barriers to commerce and established new international agreements to promote trade in goods, services and investments. These beneficial measures gave rise to opportunities for global trade. With these new opportunities in the foreign markets, corporations established new factories and started production and marketing alliances with foreign partners. Hence, Globalization is defined as an international industrial and financial business structure.

Advantages and Disadvantages

The frontiers of the state with increased confidence in the market economy and renewed policies in the private capital and resources, a process of structural adjustment spurred by the studies and with the support of the World Bank and other international organizations have started in many of the developing countries. Globalization has also brought in new opportunities to developing countries. Greater access to developed country markets and technology transfer has promised to improve their productivity and higher standards. 

At the same time, Globalization has also created challenges like growing inequality across and within nations, instability in the financial market and environmental deterioration. Globalization is a fascinating exhibition that can be understood as a global system of competition and connectivity. It has created tough competition among countries and global corporations.

Impact of Globalization in India

The British Colonial rule had destroyed the self-sufficient economy of India and left India to be the poorest Independent country. Our first Prime Minister gave preference to a mixed economy to boost the economic condition of the country. Public sectors were set up along with the private enterprises, but because of the socialistic model of the economy, the new strategy did not produce profitable results. Due to this, a number of public sectors became sick and the growth rates of production began to fall. 

During that time, the poverty of the people in India was increasing at an alarming rate and because of low domestic savings and acute balance of payment crisis, there was no adequate capital for investment. During that time of crisis, Prime Minister PV Narsimha Rao introduced the policy of liberalization, privatization to overcome the financial situation. 

India opened up to Globalization after the economic policy of 1991 came into force. Mounting debts and pressure from the International Monetary Fund drove the nation to go global. The process of Globalization has been an integral part of the recent economic growth of India. Globalization has played a very significant role in the growth of export, leading to the expansion of the job market in India. One of the major sectors of Globalization in India has been in the growth of outsourced IT and Business Process Outsourcing services. There has been an incredible increase in the number of skilled professionals in India employed by domestic and foreign companies to cater service to the customers globally, especially in the USA and Europe. 

There was not a doubt that Globalization in India brought a monumental change in the living standards of the people. People in India realized many benefits from Globalization. The establishment of multinational companies generating billions of jobs and access to umpteen numbers of brands and an increase in the forex reserves of the country took India to a higher platform globally. Despite this monumental change in the economy of the country, India also faced the challenges of severe competition from the foreign market and the domestic producers started fearing marginalization and pulverization because of the better quality products produced by the foreign producers.

Globalization had both desirable and undesirable consequences for India and the world. Even though it has accelerated progress in some countries, it has also widened the gap between the rich and the poor.

The impact of Globalization has been both positive and negative on the entire world, but we can surely hope for more advancement in the global economy due to this process.

FAQs on Globalisation Essay

1. How Did Globalization Help India to Improve the Economic Conditions?

Globalization generated umpteen employment opportunities for the people of India by establishing multinational companies. The policy of liberalization and privatization invited foreign traders to do business with India. This has increased the inflow of men, money, material, labor, technology, etc., from foreign countries to India. People have access to foreign brands and the living standards have improved drastically.

2. How is Globalization a Threat to Domestic Producers?

The domestic producers fear marginalization and pulverization because of the entry of foreign and better quality products.

3. What are the advantages and disadvantages of Globalization?

With increasing confidence in market economies and new policies on private capital and resources, many developing countries are beginning to adapt to developments with the support of the World Bank and other international institutions involved in research and development. Globalization also offers new opportunities for developing countries. Greater access to markets in developed countries and the transfer of technology will increase their productivity and demand.

At the same time, Globalization has created challenges such as increasing inequality between and within countries, instability of financial markets and environmental degradation. Globalization is an interesting exhibition that can also be seen as a system of competition and international relations. This has created intense competition between countries and international companies. 

4. What do you mean by Globalization?

Globalization means the integration of economies and societies through the flow of information, ideas, technology, goods, services, capital, finance, and people. The true meaning of Globalization in a broad sense is a connectedness in all areas of human life. It is the process by which other companies or organizations enhance their international reputation or start operating internationally. Globalization has its own benefits and drawbacks. We can learn more about Globalization and how to write an essay on it in detail on the Vedantu website, which has all the necessary materials that students need in order to write an essay on Globalization. 

5. How can Globalization help India improve its economic situation?

In our present times, Globalization has been a boon to many people as it not only allows companies to expand their business but also makes things accessible for everyone. In a simple sense, we can say that it helps in connecting people with the world. Globalization has created many job opportunities in India through the creation of multinational companies. Policies of liberalization and privatization have encouraged foreign traders to trade with India. This has increased the number of people, money, materials, labor, technology and so on—inflows from abroad to India. People have access to foreign brands and the standard of living has improved significantly.

6. How does Globalization threaten domestic producers?

Domestic producers are afraid of marginalization and due to the entry of foreign and better quality products into the market. Globalization can be associated with increasing income and wealth inequality. Many of the world's poorest people lack access to basic technologies and public goods. They are excluded from treatment. Some critics of globalization point to the loss of economic and cultural diversity as international multinational giants and brands dominate domestic markets in many countries. Globalization can hinder competition if international companies with dominant brands and high technology gain a foothold in key markets, be it telecommunications, the automotive industry, and so on.

7. What are the main industries that have grown tremendously because of Globalization?

The integration of national economies into the global economy is one of the most important developments of the last century. This process of integration, often referred to as Globalization, has manifested itself in a tremendous increase in cross-border trade.

The outsourcing business has grown exponentially due to Globalization. The main industries resulting from Globalization are trade and commerce. Automobile companies, clothing manufacturers and transportation, are the three main industries taken over as a result of Globalization.

The Challenges of Globalization

Globalization: Challenges and Relevance of the State System Essay

The globalization phenomenon is posing new challenges to the system of governance the world over. This essay examines the various challenges posed by Globalization and whether Globalization has rendered the state system obsolete.

Globalization and advancements in communications have made economic transactions virtual. International treaties, laws, agreements and deregulation now allow greater access to citizens to move freely across the world challenging traditional ideas of sovereignty, national identities as well as concepts of security shaped by realist and neorealist assumptions (Steans 66). Take for example security, since criminals and terrorists are no longer constrained by geography and operate anywhere in the world using the internet to transfer funds, recruit members and carry out operations, they defy national sovereignties. Sovereign laws cannot be applied as the perpetrators of crimes are located elsewhere. Stateless organizations and multinationals now have the capacity to challenge government economies and money used by such non-state actors subverts national bureaucracies. Naim has identified five wars that globalization has produced namely wars against Drugs, arms trafficking, alien smuggling, money laundering and counterfeit goods (64). Since criminals can freely move around the world, states need to frame a new set of laws and update the existing framework of international and national laws that have far too many loopholes to counter the threat from the above stated five wars. This may require a change in laws regarding sovereignty, greater cooperation and regulation amongst nations (Naim 66). Globalization has also internationalized skilled labor and people possessing specialist skills can find work and legitimacy anywhere. Multinational companies too have benefited as their operations now span the globe, where at times their clout becomes greater than the host countries since some of them are linked to national security of powerful states, oil companies being one such example. In the realm of sports, soccer players are traded globally by soccer clubs and thus have become trans-national cultural products that have universal acceptance (Foer 72-75). Despite the serious challenges posed by Globalization, the construct of modern nation states with clearly defined geographical boundaries, shared ethnicity, religions, cultures, values and customs still require state specific laws, armies and police to ensure physical security of its people. Take the example of the ‘European Union’ where each nation state continues to maintain its identity despite attempts at homogenizing laws, currency and administrative procedures. The globalization paradigm calls for a ‘universalization’ of human rights, which is not likely to happen as Sashi Tharoor has pointed out that perceptions of Confucian, Vedic and African cultures are far removed from the Western ideals of human rights (Tharoor 185).

In conclusion it can be reiterated that though globalization has undoubtedly increased the challenges for the governments’ world wide making it easier for criminals to operate freely, the relevance of the current state system will continue albeit with greater cooperation and change in international laws to deal with the positive and negative challenges of globalization.

Works Cited

Foer, Franklin. “Soccer vs. McWorld.” Jackson, Robert. Annual Editions: Global Issues 05/06. NY: Dushkin, 2006. 72-76.

Naim, Moises. “Five Wars of Globalization.” Jackson, Robert. Annual Editions: Global Issues 05/06. NY: Dushkin, 2006. 61-66.

Steans, Jill. Gender and International Relations. NY: Rutger University Press, 2006.

Tharoor, Shashi. “Are Human Rights Universal?” Jackson, Robert. Annual Editions: Global Issues 05/06. NY: Dushkin, 2006. 185-188.

• Transnational Corporations Advantages and Issues
• Globalization & Moving Towards a Global Culture
• Illegal Arms Smuggling: Effects of Arms Smuggling
• The PwC India Project Management and Maturity Model
• State-Sponsored and Non-State Terrorism
• How Globalization Is Seen in Turkey
• Globalization and Its Contents in the Middle East
• Research & Development in Modern Business World
• Sociological and Economical Viewpoints of Globalization
• Will Globalization Help Thailand Improve Its Economy?
• Chicago (A-D)
• Chicago (N-B)

IvyPanda. (2021, November 29). Globalization: Challenges and Relevance of the State System. https://ivypanda.com/essays/globalization-challenges-and-relevance-of-the-state-system/

"Globalization: Challenges and Relevance of the State System." IvyPanda , 29 Nov. 2021, ivypanda.com/essays/globalization-challenges-and-relevance-of-the-state-system/.

IvyPanda . (2021) 'Globalization: Challenges and Relevance of the State System'. 29 November.

IvyPanda . 2021. "Globalization: Challenges and Relevance of the State System." November 29, 2021. https://ivypanda.com/essays/globalization-challenges-and-relevance-of-the-state-system/.

1. IvyPanda . "Globalization: Challenges and Relevance of the State System." November 29, 2021. https://ivypanda.com/essays/globalization-challenges-and-relevance-of-the-state-system/.

Bibliography

IvyPanda . "Globalization: Challenges and Relevance of the State System." November 29, 2021. https://ivypanda.com/essays/globalization-challenges-and-relevance-of-the-state-system/.

• To find inspiration for your paper and overcome writer’s block
• As a source of information (ensure proper referencing)
• As a template for you assignment

IvyPanda uses cookies and similar technologies to enhance your experience, enabling functionalities such as:

• Basic site functions
• Ensuring secure, safe transactions
• Secure account login
• Remembering account, browser, and regional preferences
• Remembering privacy and security settings
• Analyzing site traffic and usage
• Personalized search, content, and recommendations
• Displaying relevant, targeted ads on and off IvyPanda

Please refer to IvyPanda's Cookies Policy and Privacy Policy for detailed information.

Certain technologies we use are essential for critical functions such as security and site integrity, account authentication, security and privacy preferences, internal site usage and maintenance data, and ensuring the site operates correctly for browsing and transactions.

Cookies and similar technologies are used to enhance your experience by:

• Remembering general and regional preferences
• Personalizing content, search, recommendations, and offers

Some functions, such as personalized recommendations, account preferences, or localization, may not work correctly without these technologies. For more details, please refer to IvyPanda's Cookies Policy .

To enable personalized advertising (such as interest-based ads), we may share your data with our marketing and advertising partners using cookies and other technologies. These partners may have their own information collected about you. Turning off the personalized advertising setting won't stop you from seeing IvyPanda ads, but it may make the ads you see less relevant or more repetitive.

Personalized advertising may be considered a "sale" or "sharing" of the information under California and other state privacy laws, and you may have the right to opt out. Turning off personalized advertising allows you to exercise your right to opt out. Learn more in IvyPanda's Cookies Policy and Privacy Policy .