Globalization Argumentative Paper

Globalization Argumentative Paper

Colleen DeStefano

COM/295

May 2, 2016

David Parsons

Globalization is a term that refers to expanding outside of one’s own boarders and is usually reserved for international business dealings; especially that of goods and services import and export. Although some may contribute and associate globalization with corporate greed, there are many positive things that have occurred due to its use.

(1.) Globalization has opened up the world market place allowing for an increase in free trade, capital free flow and the use of less expensive labor markets. Globalization, when looked at purely from a business standpoint is a good thing; however, when taking into consideration the full effects of globalization, its strain on the overall economy can be crippling. For the sake of this argument I will only examine the positive aspects of globalization on the business market. As globalization allows for the operation in foreign markets it is definitely a benefit for business as it expands their market and has the potential to significantly increase profits.

(2.) This open market also allows for businesses to have a wider spectrum of suppliers and consumers. Not only does it increase the market but it also expands the ways in which companies communicate. (3.) A broader range of communication helps companies to improve their abilities to manage their inventory, supplies and distribution. For instance, a company who does business in China may hire a local Director of Operations. By doing this, the company now has a local representative who is also familiar with the language, business practices and customs of the local region.

Businesses are now capable of operating just as efficiently in their foreign markets as they do in their local markets. (4.) An additional advantage of globalization is outsourcing. As previously mentioned, outsourcing may not be good for the overall economy, but it is/can be extremely lucrative for companies. Outsourcing allows for companies to acquire materials and labor at a fraction of the cost of acquiring it locally. The less expensive labor market allows for the creation of jobs in some of the poorer economic area while also providing state side consumers with goods for a less expensive price.