Atienza, Kerby G.

BSBA HR-1

Lesson 1 Understanding Globalization

My Perspective on Globalization

Three things come to mind when I think of Globalization, Growing

Interdependence, Strong relationships or connections, and Global advancement. These
three made me realized how broad and strong the globalization are. But as I go further,
discovering and reading some of the definitions and meanings of Globalization I
realized, that this topic had a lot of meanings, definitions and purpose. The diverse,
often disparate, and mostly contested definition of globalization are focuses in different
aspect such as, the economic, financial or industrial, political, informational, and
cultural.

I learned that Globalization is a process by which businesses or other

organizations develop international influence or constant international scale. Inasmuch
as, Globalization is not just about the process it’s about the growing scale of trades we
had, services and flow of international capital and the wide or rapid spread of
technologies that we can use to stay connected and globally advanced. I believed that
in our lesson we are more focused to the economic side of Globalization. So, as I
expect on my learning journey prior to this lesson or topic, it would be more challenging
and extra fun for me, since when we say economic it’s all about the trade, capital, the
money, information and people. Economic Globalization also is a complex global
process of expanding the market economic system all throughout the world. The market
economy, the economic system that gives freedom to the entrepreneurs to control
productive process to pursue profit, is just one kind of economic system designed by
human societies. It is a corporate-driven process of enhanced transnational exchange
of products, services, technologies, and capital, creating an increased interdependence
of world economy.

Furthermore, when I think the major contributions of Globalization there are lots
of words come to my mind. I believe in all aspect, such as in the economic, social,
cultural, political, financial and informational, the Globalization plays a big role and
made a huge impact upon the development of our nation. The contribution of
globalization to the economic development, in general is that the Globalization helps to
boost our economy and increased the numbers of people getting hired specifically in the
fields of business outsourcings processes like the companies of TeleTech, BPO,
Accenture, Concentrix, and Insurances such as PRU Life UK, SunLife, Manulife and
many more. In addition, it also improves our trading system, such as the process of
importation and exportation of our own products from local to international market, I
must say, that these major impacts of Globalization help our economy in a positive way,
but we need to know that in every situation there is a pros and cons.
 Moreover, people must be extra careful and at the same time set some
limitations to limit those negative impacts. The next one is the social development, when
we way social development it refers to the development of interaction with the human
world around us, including relationships with others also the social skills we need to fit
into our culture or society. Furthermore, the great impact of globalization prior to the
social and economic development, I think is by being socially and globally connected to
each other. As our world became more and more advance because of the development
of modern technology. It is now easy for us to stay connected, share and find new ideas
and information that will help us to communicate, share and improve our international
trade, capital and information. And one of the great examples to describe the great
contributions of globalization to the social development are the recent indicators of
Global Connectedness Index (GCI), a measurement of flows and interconnections of a
country to other global players through exchanges in trade, capital, people, and
information. Based on the Global Connectedness Index in 2018 report, the World’s level
of connectedness in terms of international trade, capital, information, and people is at its
peak at 2017. Moreover, the report indicates that the Netherlands is the world’s most
globally connected country, while the Europe is the most highly globally connected
continent. Amazing right? In addition, also the economies in Southeast Asia like
Cambodia, Malaysia, Singapore, and Vietnam have exceeded expectations for global
connectivity, particularly in trade flow. However, based on this report, only 20 percent of
the global economic output of the countries is exported from the home countries and
only 3 percent of people are living outside these countries they were born in. This
shows that the material and social flows are more within and between countries rather
than on a global level.

For me, Globalization had lots to offer but we must understand that Globalization
has its positive and negative effects or impact since the day it was developed. And one
of the positive impacts of Globalization is that, It Increases economic growth. By
increasing the international exchange of goods, technological advances, and
information, globalization increases economic development for any country participating
in the global economy. An increase in economic growth means better living standards,
higher incomes, more wealth in a country, and, often, less poverty, in short, the overall
well-being of a country. Next is, it Makes production more affordable. A global market
allows businesses wider access to production opportunities and consumers, meaning
that there are more goods available at a wider range of price points. Also, it promotes
working together. When different countries come together to engage in trade and
investments in a global financial market, they become interdependent and often come
to rely on one another for certain goods and services. Lastly, it brings opportunities to
poorer countries. Globalization allows companies to move their production from high-
cost locations to lower-cost locations abroad, this means bringing jobs, information
technology, and other economic opportunities to countries with fewer resources.
 Hence, while it can benefit nations, there are also several negative effects of
globalization that is need urgent limitations, this one is about Unequal economic growth.
While globalization tends to increase economic growth for many countries, the growth
isn’t equal, richer countries often benefit more than developing countries. Next is the,
Lack of local businesses. The policies permitting globalization tend to advantage
companies that have the resources and infrastructure to operate their supply chains or
distribution in many different countries, which can hedge out small local businesses, for
instance, a local New York hamburger joint may struggle to compete with the prices of a
multinational burger-making corporation. Inasmuch as, It also Increases potential global
recessions. When many nations’ economic systems become interdependent, the
likelihood of a global recession increases dramatically, because if one country’s
economy starts to struggle, this can set off a chain reaction that can affect many other
countries simultaneously, causing a worldwide financial crisis. Second to the last was it
Exploits cheaper labor markets. Globalization allows businesses to increase jobs and
economic opportunities in developing countries, where the cost of labor is often
cheaper. However, overall economic growth in these countries may be slow or stagnant.
Lastly, Globalization causes job displacement. Globalization doesn’t result in an
increased number of jobs; rather, it redistributes jobs by moving production from high-
cost countries to lower-cost ones. This means that high-cost countries often lose jobs
due to globalization, as production goes overseas.

To formally close this chapter, I must say those things that come to my mind after
thinking about globalization is truth and really happened. Throughout my journey upon
knowing this topic, I’ve learned so much I enjoyed and gain lots of knowledge about
Globalization. I get to familiarized and know it’s meaning especially into the economic
side of it. Also, I realized and valued, its major contributions to our society, economy
and a nation as a whole. Inasmuch as, this lesson gives us a wider knowledge about
the real situation of how our world is changing now, from an ordinary world to a more
and advanced and globally connected now. So, as a student it opens my eyes and heart
how important it is especially it has a positive and negative effects so, as a citizen of this
nation we need to become more creative and at the same time disciplined since we
want a world that is balanced especially now, we are more globally connected so we
need to maintain this and set some limitations to avoid any circumstances. Moreover,
before I end this chapter, I just want to put this meaningful quote by Kofi Annan. If
globalization is to succeed, it must succeed for poor and rich alike. It must deliver rights
no less than riches. It must provide social justice and equity no less than economic
prosperity and enhanced communication.
Citations:

Google/Internet

https://www.masterclass.com/articles/how-globalization-works-pros-and-cons-of-
globalization#what-are-the-disadvantages-of-globalization

https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2233648

https://www.beehive.govt.nz/speech/social-and-economic-impacts-globalisation

Books

Al-Rodhan, N. R., & Stoudmann, G. (2006). Definitions of globalization: A

Comprehensive overview and a proposed definition. Program on
Geopolitical Implications of Globalization and Transnational Security,
6(1-21).

Altman, S.A., Ghemawat, P. & Bastian, P. (2018) DHL Global Connectedness Index
2018: The state of Globalization in a fragile world. Bonn, Germany: Deutsche
Post DHL Group, Headquarters.