Globalization: pros and cons. Group 10 @ Raleigh

PROS

Globalization designs the world as a small village, let the information and money spread out freely, and provides more diversity in cultures, and also for goods and services. For example, an American car can be made up from a German engine, Japanese tires, and Sweden seats assembled in Morocco and sold in France by an Argentinean Manager. But globalization has many others advantages, some of them are listed below:

  • Easy access to knowledge and information through many different canals and platforms
  • Smaller distances thanks to enhanced communication and transports
  • Companies have access to a broad range of markets around the globe
  • Creation of an International supply and demand
  • International competition
    • It often leads to an economic welfare between companies and customers
    • Companies have the ability to choose the best suppliers around the world for better results
    • Easy access to resources, example the iPhone is composed by different raw suppliers around the world

CONS

  • Cultural challenges
    • Homogenizing effects of the globalization, phenomenon of Americanization
    • Cultures endangered
  • Impact of Global trade on Poverty
    Case Study and researches from Yale Center for the Study of Globalization: What are the poverty impacts of global trade reforms under a successful Doha Round for seven of the poorest countries in the world? – “Our main finding is that the Doha development round in the business as usual scenario is likely to have fairly small impacts on household welfare in Zambia.”
  • Global warming
    • Development vs. Climate Change in emerging countries, Linking Climate Change and Development Policies
    • Limitations and mixed results of Global Summits (Kyoto protocol 2005-2012: Japan, Australia, Canada, Spain and Austria did not reach their objectives)
  • Global Health
    Risk of a fast spread of communicable diseases (Severe acute respiratory syndrome (SARS) epidemic in 2003, Ebola virus in 2014)
  • Business: Tendency to privatization and monopolization
  • Boom of a globalized black market and International criminal networks (Drugs, mafia, terrorism, counterfeiting…)

DECISION/CONCLUSIONS

Globalization both harms and benefits the world. Therefore, control and regulation are needed to counter the negative effects of globalization. International cooperation between states, global institutions, NGOs companies is required.

Group 2 CFM @Paris – Globalization: Pro or Con ? The impossible choice

Globalization is an ongoing process that we can not coop with. It touches most of our economic systems, has impacts development, growth, wealth but also culture, society, politics and so on…

We all agree that although we are pro or against globalization, it affects us every day directly or indirectly and will affect us as we discussed for example previously on our professional future.

It is not so evident to balance all pro and cons argument to decide wether or not globalization is a good process that we should accept or one we should try to stop and avoid. However we agree on some pro and con arguments concerning this process.

Here is an extract of some common arguments we agree on:

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Pro=
-it brings competitiveness and efficiency
-it drives the freedom of the society
-helps developing Education, Infrastructure and stimulates Innovation, Research, Development, training
-To some cases if all other factors (political willingness, low corruption, wealth distribution, infrastructure development, R&D, Education, Training) are combined it brings growth and development
-allows better integration of cultures and society

Con=
-it leads to income inequality and wealth concentration
-by driving the economy free markets ends up by leading the world and driving politics, benefiting to companies and not people
-growth is not sustainable and not inclusive
-its bring volatility and uncertainty over markets and economies with high repercussions on people and society
-it enhance tensions between nations and people

Our conclusion is that Globalization is not a process we should support or avoid, it requires a blend of pro and con views to mitigate its bad side effects on economy, people and society and enhance its benefits. Indeed shall we make the invisible hand a bit more visible when needed ?