Strategy and Globalisation

Question: Identify and discuss in detail political, economic and socio-culture aspects of global expansion. Answer: Globalisation can be defined as a process through which integration among the countries across the globe takes place. Major reasons of globalization are international trade and exchange of different cultures of different nations. It raises interdependency within the countries globally. Global expansion is a phenomenon through which one country can influence another country economically, politically, socially, technologically and environmentally as well. After globalization came into play, it became easier to operate countries at large scale. Main aim of globalisation is to generate higher growth level, improving standard of living etc. Globalisation leads to income convergence across the nations, raising quality of life, access to knowledge, technology (Beck, 2015). Economic impact of globalisation: Globalisation has a significant impact on economic growth of a nation. Globalisation leads to free international trade; as a result there exists free movement of goods and services beyond domestic territories. It enhances better opportunities for developing countries as they get wider market. Inflow of human capital, technology rises. Countries can focus in their comparative advantage, it leads to higher export and that can accelerate the economic growth of a nation. Globalization helps to create wealth (Lizardo, 2015). Globalisation has always been a disputed topic. Many economics has argued that only developed countries are reaping the benefits of globalisation, as there is significant rise in their export level. It has increased the gap of income inequalities. The countries which have weak financial system, easily gets affected by the volatility of capital inflows. Globalisation leads to competition among the developing countries to attract foreign firms, which leads to environment degradation. Political impact of globalization: Globalisation impacts one nation in various ways and one major impact is seen on the political condition of a state. From the time globalisation came into play it has been observed that there is substantial decline in the importance of nation state. Many international organisations such as WTO, IMF controls the financial systems. It reduces the controls of one nation in decision making with respect to their country. One can see immense intervention of these international institutions, and that reflects in their decisions. Nongovernmental organisations are also impacting in public policies like humanitarian aid, developmental efforts. Global expansion has lead to significant rise in terrorism also. Political stability can be achieved with the implement of democracy; however globalisation leads to corruption, lack of transparency and inefficiency (Hirst et al., 2015). Social impact of globalisation: One major impact of globalisation reflects in the pattern of society. Social impacts refer to the impact of globalisation on the life and well being of people and societies. Society on a nation is influenced by economic and political movement. The concept of social justice is a farfetched dream to achieve. Aim of social justice is to establish the fair and equitable practice with the values of human rights. Globalisation has increased women employment but not women empowerment. It has failed to reduce gender inequality. Every society had its own culture, social norms, but with the advent of globalisation and extensive use of media, it has influenced millions of people at the same time (Isin, 2013). Globalisation can be seen as an ongoing process. Goal of expansion is to achieve growth and stability in economic, political and social sense. References: Beck, U. (2015).What is globalization. John Wiley Sons. Hirst, P., Thompson, G., Bromley, S. (2015).Globalization in question. John Wiley Sons. Isin, E. F. (2013).Democracy, citizenship and the global city. Routledge. Lizardo, O. (2015). The Effect of Economic and Cultural Globalization on Anti-US Transnational Terrorism 1971 2000*.Journal of World-Systems Research,12(1), 149-186.