Meaning, Advantages and Disadvantages Article shared by: Let us make in-depth study of the meaning, advantages and disadvantages of globalisation. By the term globalisation we mean opening up of the economy for world market by attaining international competitiveness. Thus the globalisation of the economy simply indicates interaction of the country relating to production, trading and financial transactions with the developed industrialized countries of the world.
Accordingly, the term globalisation has four parameters: Thus taking the entire world as global village, all the four components are equally important for attaining a smooth path for globalisation. In this way, the imperialist nations gained much at the cost of the colonial countries who had to suffer from the scar of stagnation and poverty.
But the advocates of the policy of globalisation argue that globalisation would help the underdeveloped and developing countries to improve their competitive strength and attain higher growth rates. Now it is to be seen how far the developing countries would gain by adopting the path of globalisation in future.
In the mean time, various countries of the world have adopted the policy of globalisation. Following the same path India had also adopted the same policy since and started the process of dismantling trade barriers along with abolishing quantitative restrictions QRs phase-wise.
Accordingly, the Government of India has been reducing the peak rate of customs duty in its subsequent budgets and removed QRs on the remaining items in the EXIM Policy All these have resulted open access to new markets and new technology for the country.
The following are some of the important advantages of globalisation for a developing country like India: Prolonged protective scenario in the absence of globalisation makes the production system careless about cost effectiveness which can be attained by following the policy of globalisation.
Cost effectiveness and price reduction of manufactured commodities will improve the terms of trade in favour of agriculture. This would result trickle down effect to reduce the proportion of population living below the poverty line viii Globalisation enhances the efficiency of the banking insurance and financial sectors with the opening up to those areas to foreign capital, foreign banks and insurance companies.
Globalisation has its disadvantages also. The following are some of these disadvantages: As with the WTO trading provisions, agricultural commodities market of poor and developing countries will be flooded farm goods from countries at a rate much lower than that indigenous farm products leading to a death-blow to many farmers.Globalization lets countries move closer to each other.
People, companies and organizations in different countries can live and work together. We can exchange goods, money and ideas faster and cheaper than ever before. Modern communication and technology, like the Internet, cell phones or satellite TV help us in our daily lives.
Meaning of Globalization, Its Advantages and Disadvantages. Category: Essays, Paragraphs and Articles On April 1, By Team Work. Introduction: The world has getting smaller every moment. Due to Globalization, it looks as if the entire world has grown up as one nation and every person on earth has become a global citizen.
Globalization has several advantages on the economic, cultural, technological, social and some other fronts. Any myths, existing in the mind, regarding these must be dispelled.
What are the advantages and disadvantages of globalization? What purpose does it serve? What is the advantages of globalization outweigh its disadvantages? What are the benefits of globalization? Why did Globalization . In the process of globalization, through international exchanges and interaction of culture, China’s national culture has on the world stage showed a dazzling brilliance!
Conclusion. Advantages of globalization The first notable advantage may be the overall rise in the living conditions of the different populations of the world. Thanks to globalization markets have opened.