Discuss what 'globalization' means in the business context and consider the wider implications for industry and society in general.

Globalization

Contents
Discuss what 'globalization' means in the business context and consider the wider implications
for industry and society in general...................................................................................................3
INTRODUCTION...........................................................................................................................3
MAINBODY....................................................................................................................................3
Impact of globalization on businesses....................................................................................4
Impact of globalization on society.........................................................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

Discuss what 'globalization' means in the business context and consider the
wider implications for industry and society in general
INTRODUCTION
Globalization is determined as the effective term which depicts that how interdependency of
world’s culture, population, economies are growing constantly which are resulting in the
enhancement of trade among two or more countries (Dignam and Galanis, 2016). Globalization
is also promoting innovation in terms of products and services which are further traded across
the world in appropriate manner. Globalization has brought range of benefits for the businesses
as well as society which results in the growth of nation. The present report will provide clear
description on the concept of globalization, its associated benefit, its related drawback and
consequences over the businesses as well as society.
MAINBODY
Globalization
The respective term globalization has completely transformed that the working capability
of the company which is operating its business at local as well as international marketplace.
Globalization has developed range of business opportunities for the companies and also helps
them out in improvising their business performance at the marketplace where they are operating
their business activity (Scherer and et. al., 2016). It can also be said that globalization has not
only supported businesses but at the same it has developed range of opportunity for individual
seeking for the job. In addition to this it has contributed in the enhancement of standard of living
of the society in lucrative form. Overall, it has been determined that globalization has supported
in the growth of the whole world which is not only seen in the monetary but at the same time it
can also be seen in the form of creation of new products and services at marketplace. In addition
to this, globalization has also developed range of learning opportunities for the people as they are
able to know about different culture as well as their values which are being followed by business
organizations across the worldwide. It includes range of aspects like free trade, higher movement
of labors, enhancement of capital flows, development of multinational companies, increase in
communication among the nations which support all associated countries are getting from one
another in adequate manner.

Impact of globalization on businesses
Benefits, drawback and consequences of globalization for businesses
The term globalization has both sides that is positive as well as negative which is
influencing societal development and growth. The positive side of globalization can be seen in
the form of benefits for the company at the same time negative side associated with the term
globalization can be seen in the form of drawback as well as consequences. Benefits associate
with the globalization includes greater number of choices, free flow of labor, reduction of global
inequalities, lower prices, economies of scale and many others (Bianchi and Labory, 2018).
Whereas, if it is talked about the negative side of globalization that is drawback mainly includes
structural unemployment, tax competition, brain drain from different nations, environmental
costs, lower cultural diversity etc. All of them are common benefits and drawback for the
businesses. If it is talked about the businesses, it has been acknowledged that main benefit for
companies is larger market which simply means that business organization wider market where
they can easily approach more number of customers and enhances their business performance in
adequate manner. In addition to this, another benefit of globalization for the business
organizations is cultural diversity which simply businesses are effectively able to hire employees
from different culture that means from the nation where they are operating their business. This
simply provides opportunity to the company to allow employees to learn from one another as
they belongs to different culture. In addition to this, it also improvises working practices of the
company which includes diversity that ultimately provides support to the company in gaining
competitive edge and enhancing quality of their business practices (Pearce and Tombs, 2019).
Apart from this, if it is talked about the drawback of globalization for businesses it can be said
that it increases negative impact over the environment which includes higher pollution rate, also
it seen that the concept of globalization is only helpful for the large scale companies as well as
well highly educated people. In simply means that globalization makes richer more rich and
poorer more poor. Another drawback of globalization is that it enhances chances of global
terrorism (Gereffi and Lee, 2016).
Consequences associated with the globalization process simply means that continuous
increase in global working has also started raised up chances of issues at global scale which
means that businesses operating at global scale mainly faces issues related to new culture,
unsupportive behavior of employees, enhancement of workplace issues etc. In addition to this, it

can be further said that globalization has also increased competitiveness at marketplace. This has
directly increased issues related to products and services, prices, technology, production zone of
the company and many others. At the same, it has also been analyzed that if the same company
operates its business at small areas then there are higher chances that the operating cost, cost of
products and services are lower which ultimately enhances chances of increase in profitability
and better approach over the market share within the same zone.
Impact of globalization on society
Benefits, drawback and consequences of globalization for society
Globalization has ultimately improved performance of businesses while at the same time
it has contributed its majority of proportion in the growth of the society as well that its
development. It has been analyzed that globalization has developed range of business
opportunities for the people especially students as they can easily study from where ever they
wants too (Cvetkovich, 2018). Here, Apart from this, this concept has also provided
opportunities for the society as they can easily acquire latest technology, better and advanced
products and services, developed healthcare facilities, media and other resources which will
ultimately help them out improving the quality of life they are living. On an average the main
benefit that is being attained by society is enhancement in employment rate as all are getting the
jobs as per their qualification. The main reason behind this is the candidates are having more
number of opportunities within their same nation as well as external marketplace area too
(Perraton, 2019).
On the other hand, it is emphasized on drawback associated with the same concept that is
globalization is cultural homogenization, exploitation of emerging nations, ineffective impact
over local economies, negative impact over the environment and many others. The main
drawback related to globalization is increase in environmental cost which simply means that it
maximizes usage of non-renewable sources which are highly scarce. Along with this, the impact
of globalization over the environment also includes quick rise pollution rate results in the global
warming (Rodrigues and Mendes, 2018). Here, it has been analyzed that enhanced global
warming also places impact over the farming practices which are not production satisfactory
quantity of products and services. All of them are mainly related to the effect of globalization on
environment. Here, effects of globalization on society has been explored that it simply includes
issues associated with the demographic, raise in global terrorism as these people are able to the

terrorist working at international level. Simply enhances number of opportunities for the terrorist
as they are able to develop their networking at international scale which ultimately increases
global terrorism worldwide that is harmful for whole society. In addition to this, it has been
analyzed that globalization has increased collaboration of cultures at international scale which
ultimately can result in the decline of traditional as well as cultural values associated with the
specific culture as they are not being followed at different nations in the same manner that is
being valued and practiced in the home country.
Consequences associated with the globalization includes changes that takes places among
human beings (Gatti and et. Al., 2019). Here, it has been analyzed that there are large number of
rural people which are moving towards urban zone with adequate level of acceleration. This have
also raised lots of complication among the people who have grown up and the one who were not
been developed. Along with this, globalization has also increased family disruption as well as
domestic violence.
CONCLUSION
On the basis of overall information specified in the above report, it is concluded that the
concept of globalization is highly beneficial for the business originations as well as society. The
main benefit related to the same is increase in higher number of opportunities for the companies
as well as people in terms of good jobs, products and services. It also supports businesses in
approaching advanced technology, cheaper import of human capital and capital flows etc. On the
other hand, negative impact of globalization that is main drawback of this concept is increasing
higher competition at local as well as global marketplace. At the same time it places negative
impact over the environment too.

REFERENCES
Books and Journals
Dignam, A. and Galanis, M., 2016. The globalization of corporate governance. Routledge.
Scherer, A.G., Rasche, A., Palazzo, G. and Spicer, A., 2016. Managing for political corporate
social responsibility: New challenges and directions for PCSR 2.0. Journal of
Management Studies, 53(3), pp.273-298.
Bianchi, P. and Labory, S., 2018. Industrial Policy for the Manufacturing Revolution:
Perspectives on Digital Globalisation. Edward Elgar Publishing.
Pearce, F. and Tombs, S., 2019. Toxic capitalism: Corporate crime and the chemical industry.
Routledge.
Cvetkovich, A., 2018. Articulating the global and the local: Globalization and cultural studies.
Routledge.
Rodrigues, M. and Mendes, L., 2018. Mapping of the literature on social responsibility in the
mining industry: A systematic literature review. Journal of cleaner production, 181,
pp.88-101.
Gatti, L., Vishwanath, B., Seele, P. and Cottier, B., 2019. Are we moving beyond voluntary
CSR? Exploring theoretical and managerial implications of mandatory CSR resulting
from the new Indian companies act. Journal of Business Ethics, 160(4), pp.961-972.
Perraton, J., 2019. The scope and implications of globalisation. In The Handbook of
Globalisation, Third Edition. Edward Elgar Publishing.
Gereffi, G. and Lee, J., 2016. Economic and social upgrading in global value chains and
industrial clusters: Why governance matters. Journal of business ethics, 133(1), pp.25-
38.