Why is globalization good or not good for a business?
- Wider market with more variety - there is an ample selection of products of different kinds and manufacturing materials.
- Access to products from all over the world
- Gives a chance to support the economy of third world countries since there is a steady money flow.
- More chances to invest in a variety of markets
- Improved communication among markets from different parts of the world, and more chances to make meaningful business connections.
- Cultural and ethnic tolerance and improved relationships.
- More need to use technology and "flat world" tools, such as Facetime, Padlet, and other applications that bring the world together.
- Since countries build relationships through global markets, they will also tend to watch out for each other for the benefit of both.
There are some cons to globalization
First, there will always be hidden agendas from small interest groups who could benefit from globalization when it benefits them. Moreover, these groups stop at nothing to achieve their goals, and care very little about the cultural identity of the country with whom they negotiate.
Outsourcing continues to be a problem with many countries, both developed and not. If the country in the middle of a globalized market is too developed, it will not care much on either way of finding human resources. If the country is not developed enough, it will be up to a third party to determine human resource capabilities.
One last problem with globalization in a chaotic or unstable market is precisely that: the shifts in the economy and social/government policies that will affect how the processes are carried out.
Therefore, rather than "jump in the bandwagon" of a hot topic for the sake of doing what everyone else is supposed to be doing, one needs to explore what are the real needs and process strategies that are needed in an organization and then plan carefully how to proceed.