Merits and Demerits of Globalization

The term ‘globalization’ is connected with international relations. It generally means the free movement of goods, services, people and information across the national boundaries. It is the process of worldwide integration of economic, financial, cultural, environmental, and communication system. Globalization creates an integrated global economy which influences economic and social relations among the countries of the world. But globalization is not an unmixed blessing particularly for the people of the third world countries. Trade agreements like NAFTA, WTO, EU, and ASEAN, etc. are done to make the tie stronger and for the ease of trading with each other. It helps to avoid conflicts among countries, promotes understanding and goodwill. It is feared that globalization will affect our culture adversely by exposing it to a foreign culture.

Merits of Globalization –

  • Closer contact with foreign people makes us quite familiar with their manners, habits, and customs. We get the chance of comparing our country with other countries.
  • It helps us fight illiteracy and promotes education.
  • It helps us shed or combat the burning social issues such as child labor, dowry, etc.
  • It has helped the global community to fight against poverty.
  • The benefits of science and technology have reached every corner of the world.
  • It contributes to improving international relations and friendliness among different nations.

Demerits of Globalization –

  • Globalization has contributed to increasing the gap between the rich and the poor.
  • The environment has suffered greatly due to globalization.
  • Many communities failed to preserve their old tradition, custom, and culture.
  • Local businesses, hand-loom industry, Cottage, and small-scale industry suffered a lot due to globalization.
  • The economic downfall of one major economic nation adversely affects the entire global community.
  • The more technologically advanced countries are able to sell their products to less-developed countries.
  • The adverse effect of globalization is not restricted to financial and economic imbalance.

According to a critic, globalization is an irreversible force and the developing nations get hit by its various currents and cross-currents if they fail to manage themselves in their own interest. We should keep in mind that human development, good governance, and investment in infrastructure are the key to progress. If globalization is imposed on a poorly educated and poorly trained labor force with the poor system, it will not lead to the development and progress. It is clear that the richer nations get the maximum benefit of globalization. However, adequate care, caution, and measures should be taken to mitigate the ill effects of Globalization so that every nation can take the fullest advantage of Globalization.