Positive and Negative Effects of Globalization


Positive and Negative Effects of Globalization Introduction

            Globalization refers to the interaction of cultures, economies, and populations across the world guided by the realization of interdependence among them (Shopina et al., 2017). This process happens in the form of trade and deals that have cultural, social, and political impact at an international level. Having access to the global environment has created an opportunity to gain benefits through joint efforts and a wider audience. However, this access has also meant that joint actions or what others do will affect more people even in instances where it is negative. Understanding the positive and negative effects of globalization is, therefore, a step towards learning how to utilize the opportunities and manage the negative impact as the interaction across globes increases.

Positive Effects of Globalization

             One of the most significant results of globalizations is that a global market is created. The dynamic behind this benefit is that nations are not self-sufficient despite their different strengths. A global market is created when they interact such that access to not only what is best but also what is lacking is created (Erixon, 2018). Additionally, a nation can optimize its strengths through a global market for them. A global market as a result of globalization thus creates more room for returns.

            Another positive impact of globalization is the advancement of technologies. The interaction involved in globalization has led to a focus on diversity and how to make the best use of it (Erixon, 2018). Consequently, a need for innovation has developed with the result of new technology that not only makes it possible to overcome the differences at the international level but also to deal with the larger community that is created. Globalization has influenced modern culture, society, and operations, which have driven the advancement of technology.

Negative Effects of Globalization

            A negative effect of globalization that stands out is that despite bringing people together, it drives inequality. For instance, growing unemployment in some developed countries has been attributed to the outsourcing of jobs to developing countries (Shopina et al., 2017). Globalization makes this a more effective possibility through the opportunities such as remote work and a wider population for recruitment. While the ground is leveled by globalization, challenges are created where people with the required skills lose job opportunities and those getting the new jobs that were initially not available are open to exploitation. Globalization thus breeds inequality by expanding the environment with finite resources.

            Another negative impact is that globalization is a threat to the benefits of individuality. Nations often pride themselves in their national identity and cultural practices. By eliminating borders, globalization creates a threat of loss of important cultural practices and national resources unless extra efforts are put in place (Shopina et al., 2017). With some developing countries yet to put stringent measures on responsible use of the environment, globalization means that they can be exploited to serve global needs. The consequences of globalization can, therefore, be negative as imbalances threaten individuality.

Positive and Negative Effects of Globalization Conclusion

            Globalization involve interactions that could breed either negative or positive consequences. The negative consequences emerge from an imbalance in power that threatens some communities in the process of taking advantage to the international access. Globalization’s positive impact is from the opportunities created from the wider market and relationships. However, what stands out is that there are regulatory efforts that might address the negative consequences as the negative impact takes place in extreme cases of an uncontrolled environment.



Erixon, F. (2018). The Economic Benefits of Globalization for Business and Consumers. European Centre for International Political Economy.

Shopina, I., Oliinyk, O., & Finaheiev, V. (2017). Globalization and its negative impact on the global economy. Baltic Journal of Economic Studies3(5), 457-461. (PDF) GLOBALIZATION AND ITS NEGATIVE IMPACT ON THE GLOBAL ECONOMY (researchgate.net)