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What is globalization? What are the pros and cons of globalization? Why ethics is important. |
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By: Nicholas Arnold Ishak
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What are the pros and cons of globalization? How can it be a good thing?
New technologies have changed the world of business forever. It’s easier than ever to conduct business overseas without ever leaving the comfort of your own home. Globalization is the way of the future. With the right systems in place and if proper trade comes to play between all countries this could potentially result in less conflict between countries because each country will provide goods and services needed by other countries, this will set the stage to get as close as we can to global peace. There are a multitude of angels good and bad when it comes to entering global markets. On one hand entering a global market can produce cheaper resources for manufacturers, and a bigger market to sell but it also can cause loss of jobs in the company's home country and not all countries have ethical standards when it comes to employees.
How can outsourcing be a bad thing? Unfair labor laws, ethics in business:
On a sad note, it’s heartbreaking to notice the unethical labor laws and wages in other countries. Research shows that the average monthly wage in china is converted to $322.23 (2,200 yuan). Although the cost of living is far cheaper in china this does present grandiose challenges for Chinese citizens seeking to dwell in countries with far better living standards. China is a major manufacturing country, the majority of goods are produced in the east due to the cheap labor and resources at hand. Although the attainment of cheaper resources and cheaper labor are sure fire ways to cut the cost business, many don't realize that some of that cost is paid by the ill treatment of workers and the lack of safe products being used like lead paints or unsafe chemicals.
Another major issue with entering global markets is the fact that jobs in the company’s home country tend to be outsourced to cheaper laborers in places like China, Vietnam, Thailand etc. There is an ethical quandary when it comes to outsourcing jobs. Some companies couldn't care less about the social issues they create when outsourcing labor, nor about the ill treatment of workers. I feel international work and product standards need to be applied but most importantly enforced so that one can enter global markets with the assurance of moral and ethical standards. Although it might seem far-fetched for us to achieve this, I know for a fact proper education and empathetic application about the bi-products produced like less than acceptable living standards and health issues that come from products manufactured in cheaper labor companies can and has made a difference.
What are the advantages of a global trade? The duality of globalization:
On a higher note global markets can be gold mines for companies when it comes down to resources. Though some places have unethical employment situations not all of them do. This provides an opportunity to cut cost and grow businesses exponentially. The lower cost of labor and the lower cost of goods are game changers in the world of business for better and for worse. There is duality in outsourcing, but if cards are played correctly and the human condition is taken into consideration then a global market can be a good thing. The proper utilization of a global market could be beneficial to both employer and employees.
Conclusion:
One of the biggest advantages of a global market is simply more people to sell too. There are over 330,000,000 people in the United states but there are 7.5 billion people on the earth. Although we must take into consideration everyone is not as fortunate as the u.s citizen, we are the country of the fat homeless people. The poorest among United State citizens live far better lives than some middle class citizens in seemingly third world countries. When morals are applied when conducting business globally there is a betterment of living in those countries. The implementation of such standards takes third world-like countries into the futures they deserve.
New technologies have changed the world of business forever. It’s easier than ever to conduct business overseas without ever leaving the comfort of your own home. Globalization is the way of the future. With the right systems in place and if proper trade comes to play between all countries this could potentially result in less conflict between countries because each country will provide goods and services needed by other countries, this will set the stage to get as close as we can to global peace. There are a multitude of angels good and bad when it comes to entering global markets. On one hand entering a global market can produce cheaper resources for manufacturers, and a bigger market to sell but it also can cause loss of jobs in the company's home country and not all countries have ethical standards when it comes to employees.
How can outsourcing be a bad thing? Unfair labor laws, ethics in business:
On a sad note, it’s heartbreaking to notice the unethical labor laws and wages in other countries. Research shows that the average monthly wage in china is converted to $322.23 (2,200 yuan). Although the cost of living is far cheaper in china this does present grandiose challenges for Chinese citizens seeking to dwell in countries with far better living standards. China is a major manufacturing country, the majority of goods are produced in the east due to the cheap labor and resources at hand. Although the attainment of cheaper resources and cheaper labor are sure fire ways to cut the cost business, many don't realize that some of that cost is paid by the ill treatment of workers and the lack of safe products being used like lead paints or unsafe chemicals.
Another major issue with entering global markets is the fact that jobs in the company’s home country tend to be outsourced to cheaper laborers in places like China, Vietnam, Thailand etc. There is an ethical quandary when it comes to outsourcing jobs. Some companies couldn't care less about the social issues they create when outsourcing labor, nor about the ill treatment of workers. I feel international work and product standards need to be applied but most importantly enforced so that one can enter global markets with the assurance of moral and ethical standards. Although it might seem far-fetched for us to achieve this, I know for a fact proper education and empathetic application about the bi-products produced like less than acceptable living standards and health issues that come from products manufactured in cheaper labor companies can and has made a difference.
What are the advantages of a global trade? The duality of globalization:
On a higher note global markets can be gold mines for companies when it comes down to resources. Though some places have unethical employment situations not all of them do. This provides an opportunity to cut cost and grow businesses exponentially. The lower cost of labor and the lower cost of goods are game changers in the world of business for better and for worse. There is duality in outsourcing, but if cards are played correctly and the human condition is taken into consideration then a global market can be a good thing. The proper utilization of a global market could be beneficial to both employer and employees.
Conclusion:
One of the biggest advantages of a global market is simply more people to sell too. There are over 330,000,000 people in the United states but there are 7.5 billion people on the earth. Although we must take into consideration everyone is not as fortunate as the u.s citizen, we are the country of the fat homeless people. The poorest among United State citizens live far better lives than some middle class citizens in seemingly third world countries. When morals are applied when conducting business globally there is a betterment of living in those countries. The implementation of such standards takes third world-like countries into the futures they deserve.