Challenges To Globalisation – Repositioning Expectations
January 11, 2022
In this article, I will majorly be talking about the challenges to Globalisation. As a pre-requisite, I felt it was necessary to give my take on the meaning: Globalisation is the effortless, simple and straight-forward movement of any kinds of goods, services, cultures, practices, etc from one place to another which leads to the interdependence of countries. It is also the exchange or amalgamation between people, communities, companies, economies and governments. It is the growing interdependence of the world’s economies, cultures, and populations, brought about by cross-border trade in goods and services, technology, and flows of investment, people, and information. Countries have built economic partnerships to facilitate these movements over many centuries. But the term gained popularity after the Cold War in the early 1990s, as these cooperative arrangements shaped modern everyday life.
This is followed by the types of Globalisation which are Economic Globalisation, Political Globalisation and Cultural Globalisation. There are definitely other types of Globalisation, but I have limited my research to the 3 major types.
There are 3 Schools of Thought under Globalisation. They are:
a.The Hyperglobalist School of Thought
b.The Sceptic School of Thought
c.The Transformationalist School of Thought
There are several key factors which have influenced the process of Globalisation. A few of them include improvements in transportation, freedom of trade, improvement and increase in communication, increasing availability of labour and skills, rise in the global banking scenario and also rapid and increasing growth of multi-national corporations.The wide-ranging effects of globalization are complex and politically charged. As with major technological advances, globalization benefits society as a whole, while harming certain groups. Understanding the relative costs and benefits can pave the way for alleviating problems while sustaining the wider payoffs. I have in this paper discussed the challenges to globalisation. A few of them are, income inequalities, disproportionate wealth and trades, increase in terrorism activities, higher job insecurity, displacement of the work force, increasing unemployment, increase in drug abuse, pick-pocketing, murder and other such criminal behaviours, price instability, fluctuation in the US Dollar value, etc.
There are a few developments in Globalisation, they are, 9/11, Economic Crisis of 2008 and the triumph of Donald Trump and other right wingers and their anti-immigration stance, covid19 pandemic and deterioration of China’s ties with other countries.
In essence, Globalisation is about the world becoming increasingly interconnected. Today, countries are more connected than ever due to air travel, containerised sea shipping, international trade agreements and legal treaties, and the Internet. In business, Globalisation is associated with outsourcing, free trade, and international supply chains. Technological advances, particularly blockchain, mobile communication and banking, are fuelling economic Globalisation. Nonetheless, rising levels of protectionism and anti-globalisation sentiment in several countries could slow or even reverse the rapid pace of Globalisation. Nationalism and increasing trends toward conservative economic policies are driving these anti-globalisation efforts. Global trade is also made more difficult and facing rising threats from other factors, such as these:
i.climate change
ii.decaying infrastructure
iii.cyber attacks
iv.human rights abuses
Globalisation is a longstanding trend that is in the process of changing and possibly slowing. There are advantages to the more open border and free trade that Globalisation promotes and negative consequences. In a modern, post-pandemic world, individuals, businesses, and countries must consider both sides of Globalisation, learn how companies are rethinking global supply chains to avoid disruption and reap the benefits of Globalisation.
