Groupe 15 @ Sophia : Globalization – Pros and Cons

In our group, we have debated, in terms of pros and cons, how we apprehend the globalization process.

First of all, let’s evocate pros of such a phenomenon:

* Spread and sharing knowledge and diversified goods and services

* Markets openness which creates plenty of opportunities for companies and individuals (like new jobs opportunities and new market share)

* Better communication between citizens, states and international institutions

* Improvement of transport (cost and speed) and ways of communication

* New technologies and scientific progress which permits a improvement of medicine and so an increase of life expectancy all around the world

And then, cons of globalization which of course constitute a lot of challenges for the future:

 * The immense enrichment is misallocated and the wealth gap between poor and rich countries has increased

* Globalization is from the beginning an occidental process which resulted in the disappearance of some culture and ancestral knowledge

* Increase of black market and international criminality

* The diminution of Nation States role in the democratic and social fields

* Global warming and environmental destruction

* As the interdependence increases, the systemic risk of a global collapse from financials actors (from “Too Big to Fail” banks) is more present

* Delocalisation and competition between workers without same social rights

As a conclusion, we can assert that globalization permit to enhance our way of living and personal comfort (life expectancy, immense middle class emergence, better transports and communication for sharing knowledge). However, as we mentioned earlier, big challenges are ahead and it the purpose of course existing international institutions and politics but first of all citizens and companies.

Group93@Sophia – Debate : Globalization, The Pros & The Cons

Globalization has a lot of definitions which tend to have the same meaning: it is “the worldwide movement toward economic, financial, trade, and communications integration”. There are also many aspects involved in this movement as it involves trade, transactions, migrations, investments, knowledge. The technological progress has changed the rules of the “game”. How could you imagine 50 years ago that we could be able to talk face to face with someone being at thousands of kilometers thanks to some inventions like Skype? How could you imagine that everyday people would cross the Atlantic in less than 10 hours? Thanks to the transport revolution, free movement and mobility have enabled openness to new cultures and countries. People now can travel easily all over the world and share knowledge.

However this share of culture and knowledge can lead to a “standardization” of the culture: in some places of the world, people are losing their identity! We could notice a global loss of local cultures, traditions, dialects, over the past years. There is an economic gap between the richest and poorest countries and the richest tend to influence the way of life of the poorest as they can export their culture more easily, bringing a “cannibalization” risk. A culture can make another disappear. Moreover it is often done in a non-sustainable way as an important part of this cultural integration is led by multinational companies trying to make profit. As an example you can find natives of remote villages of the Amazonian forest drinking Coca-Cola. Multinational companies have now more power than some nations! Their turnover is more important than the GDP of the last ones.

Policies have followed technologies as borders have been opened for instance in the Schengen area. This phenomena allows exchanges of capital, workforce and raw materials between the countries. As markets got opened, companies have experienced unlimited opportunities to grow. Globally the world has seen an improvement of its living standards. Indeed this new economic boom has led to a decrease of unemployment rates, a raise of the salaries and consequently the eruption of a new middle class in the emerging countries. The Third World countries have also developed a lot as many of them are no longer only exporters of raw materials. Emerging and poor countries are following the “Western” path. Apart of this, we could observe the better political stability that the Globalization process has brought in the world. “Westernization” drives the spread of democracy and human rights all around the world thanks to Education, NGO’s and so on.

But is really Globalization beneficial for all the countries at the same scale? The interdependence makes some of them more vulnerable to global crisis. Emerging countries have lower labor costs and this is a huge competitive advantage since Trade was made easier. Lower labor costs mean lower prices for the consumer so companies of the developed countries have to deal with this and they sometimes decide to outsource in order to avoid bankruptcy. It leads to unemployment. The benefits of Globalization are not for everyone. Actually it increased inequalities between and within the countries, cities and countryside. The wealth gap shows that the positive effects of Globalization have not been distributed equally. More than that, the economic growth has not been followed with a proportional advance of social rights in many parts of the world. Many borders got open but some remain closed. Illegal immigration has increased as people know better than before that they can have a better life with better socio-economic situation elsewhere.

Despite the positive sides of having a globalized world with people moving everywhere, it is also important to remind that Terrorism is also included in the process. We open borders not only for “good” people. So terrorists can also unify, exchange ideas and take actions easily across countries. Some extremists want to implement by brute force their doctrines not only at home but everywhere. People travel more than before, consequently there are more risks of rapes or attacks. The increase of terrorism also increases the danger for people travelling because of the instability of some regions of the world.

Finally let’s not forget the environmental damage that has come with the Globalization process over the last decades. More and more species disappear each year because of mass consumption & exploitation. The developed countries tend to protect their technological advances to remain competitive but by doing so they let emerging countries develop themselves by using a lot of polluting industry. The Tourism industry is developing faster and creates a mass Tourism which can badly affect the eco-system. The global warming is today a major concern for the entire world and the lack of rules and sanctions to fight it have been underlined. The environment being a common interest, companies and governments are taking a step together toward ecological awareness. Today we know that tackling global warming will only be possible if accompanied through the years by a sustainable development.

Globalization is already here and we cannot change the facts. However, as students in Tourism, we will be actors in the world of tomorrow. Although the globalization movement has begun many years ago, it is still a moving and growing process that can be controlled in a sustainable way. We know what are and will be the consequences of a non-sustainable development and this is why today we can say YES to a globalized world but ONLY under certain conditions.

Group 88 @ Sophia SCMP : Pros & Cons

In fact, we are divided on the issue of the Globalization. We were present for the end of the Globalization 2.0. We are actors of the Globalization 3.0, we are individually going global, and take advantage of it through our travels, studies, technologies, and consumption modes… Hence as we discussed about, Globalization offers advantages such as having access to large range of products at low prices thanks to free trade, enhancing technological innovations quickly and fairly, as well as speed, quality and quantity of information, developing international trade and companies through investment in EMCs, mixing cultures… But Globalization is the engine of some difficulties uncontrolled yet, like unemployment in OECDs because transnational firms can have best options (lower wages, les regulation…), a great dependence between countries in particular regarding the finance (when New-York sneezes, Paris blows), international companies take over governments, profits from FDI do not stay in EMCs and return to headquarters in OECDs, the increase of wealth gap, the lost of cultural identity, the global warming issue… So in the one hand we may say Globalization is needed to continue developing and increase our wealth, and in the other hand say no, Globalization is not the way to follow, it benefits to only a privileged few.

It is all the more difficult to take a stand because Globalization blinds us. According to P. Ghemawat, “the world is not flat” as opposed to what is often thought. If we look at some data that P. Ghemawat gathered, we can see that cross-border phone calls (a kind of information flow) represents only 2% of all voice calls in the world in 2011 (6% including internet telephony). Regarding immigration (flow of people), first-generation immigrants accounts for 3% of the world’s population. Concerning investment (kind of capital flow), FDI represents roughly 10% of all investment in the world in 2010: that means 90% of investments around the world is domestic. And then if we look at the export/GDP (kind of trade in products and services), this ratio should be around 20% (official statistics say 30%) if we adjust double counting (for instance an engine part bought in china, is assembled in Czech, and then the engine is sent to Germany, the Chinese engine part is counted multiple times in official statistics). So clearly we are not in a high internationalization process, and we think Globalization is overstated.

A main reason is due to all governments. Governments only look into the microscope. It means they take national and international decisions that are in line with their country’s requests (to meet their population’s requests). Instead, they should look into a telescope and think about taking decisions for the good of all, even taking national decision. Because if each country (population and government) goes well, trusts others, has no internal problem, it will be more open and let Globalization do its regulatory work naturally.

Group 1 – Sophia Antipolis – AMAIS – Globalization Pros and Cons

Today, we live in a globalized world, whatever we agree or not with it. Here are some points, for and against globalization:

Pros
– Make exchange easier (trade, finance) cheaper production, make some business possible
– Open to the world, easy to discover new culture,
– Cultural mix
– You can pay everywhere in the world
– Political reinforcement, solidarity
– Develop new fair trades

Cons
– Disparition of some culture for only one
– Some countries loose some power
– Increase wealth gap
– Power for only one elite who decide for everybody
– Increase systemic crises

Globalization Pros and Cons – Group 58 Sophia

globalization-hands-pic

Regarding the world situation, the debate of globalization is far to be closed.

Here is our point of view on the debate :

Pro’s:
– The principal aim: decrease the gap between poor and riches countries
– Free circulation of information and people
– Cohesion in countries about actual problematic: Human rights (dictatorship), energy, environment, etc.
– Share cultures
– Outsourcing of the activities
– Largest choice of product for consumers
– More competitiveness, decrease of price

Con’s:
– Global warming: lack of rules
– Increase inequality IN the countries
– Lost of local culture due to standardization of the world
– Offshoring, less and less French companies product in France (made in France)
– Globalization facilitates the spread of diseases.

Group 33 @Sophia – Debate about globalization

After three weeks of learning about globalization, we came up with several points while debating over its pros and cons:

PROS

  • When associated with institutions and the right policies, the growth inducted by globalization may be transformed into sustained development and improve individual and collective well-being.
  • Citizens from countries who are well integrated in the world economic system have access to various products and worldwide competition make them cheaper and cheaper.
  • Globalization increases cultural exchanges and gives opportunities for people to get to know other way of working.
  • Thanks to globalization, we can use differences between national markets to launch a product in the markets of EMCs or under developed countries.
  • Globalization leads to more international cooperation: more funding can be raised to fight diseases such as Ebola.
  • Globalization represents more opportunities for people to travel and thanks to high development of NTIC, stay in contact with people all around the world.

CONS:

  • Globalization creates unfair development and dependency situation for EMCs: the most striking example are commodity prices that account for a big part of their revenues are defined by western traders.
  • Through globalization it is easier for terrorism and mafias to develop since they find funding  and help outside their core countries: we see example not only with Al-Qaida but also with the Islamic state receiving support from various terrorist movements all over the world.
  • The main goal of liberalization in the 18th century was to eradicate interstate conflicts, goal that has not been achieved since globalization did not prevent the two world wars to happen.
  • The worldwide labor competition between countries oblige workers to make concessions and constantly increase their productivity to stay competitive. Thus pressure on the job market has increased.
  • Due to the high interdependence between national economic systems, a national crisis turns quickly and more easily into regional and world crisis.
  • Despite all the charity works, associations and NGOs, globalization increases wealth concentration, income inequality and gap between the richest and the poorest.
  • Growth, short term profits and productivity have become the top priorities of all governments and companies, hiding the more long-term important issue of protecting the environment and preventing global warming.

Globalisation is a fact, and it would be impossible for us to reverse its effects so even if one finds more cons than pros to globalisation, we should try and find solutions to live with it or embrace it.