Globalisation of the World

Globalisation is the process by which the world is becoming increasingly interconnected as an outcome of massively increased trade and cultural exchange. It is the result of technological changes and the liberalisation of world markets. But there are problems and benefits of globalisation in both LEDCS and MEDCS.

            The main benefit of globalisation in LEDCS is that it creates employment for people who would otherwise be unemployed. For example, because multinational corporations such as McDonalds have moved to poor countries like Mexico, they have provided employment to people who would not be employed. Also, globalisation has benefited LEDCS as there is now a greater share of wealth throughout the world because of this. The problems with globalisation in LEDCS is that globalisation operates mostly in the interests of the richest countries which continue to dominate world trade, and at the expense of developing countries - whose role in the world market is mostly to provide the North and West with cheap labour and raw materials. Lack of strictly enforced international laws means that MNCS may operate in a way in LEDCS that would not be allowed in an MEDC - for example polluting the environment, running risks with safety or imposing poor working conditions and low wages on local workers.

            There are many benefits though, of globalisation in MEDCS. Firstly, MEDCS can buy cheap raw materials and items from LEDCS. For example, a company in Britain may pay a girl in India 25p for a football and then sell it for roughly £10. Also, globalisation has allowed people in MEDCS with wealth to be able to visit more exotic countries, enabling more sharing of ideas, experiences, and lifestyles. People can experience foods and other products not previously available in their countries. The problems of globalisation in MEDCS are firstly, many factories in MEDCS have closed down due to competition with cheaper imports form LEDCS. In addition to this, business’ have decided to move away from MEDCS where pay is high to LEDCS where pay is low.

            In conclusion, globalisation has caused many problems and benefits, but we can definitely conclude it has left poorer countries with a greater share of the money.