Globalization creates more opportunities for companies in less industrialized countries to get into larger aspects all over the world. Globalization is a description of how people, states, and businesses cross traditional boundaries and borders by using technology, growth and improved productivity, transfer hold out promises and improving the living standard of people. Globalization provides an opportunity for an increase in the number of goods and services produced hence enhances economic growth to developing countries. Through globalization, the world has become a small village where people can communicate fast even from very different countries.
Advanced technologies provide a platform for industries to research on even better ways of producing goods and where to market products produced since the internet has a significantly large customer base. By the sectors embracing advanced technology, it results in large volumes of sales and exchange, substantial growth rates in GDP, and more empowerment of individuals offering skilled labor. Globalization benefits are the best way to favor a large number of people.
Industries experiencing globalization are often known as global companies, and they have a universal advantage of expanding due to low labor costs in production and marketing, large business gaps for new products in the worldwide market and less expensive cost of production due to reduced inputs and increased outputs. Industries should embrace globalization because either it will achieve higher levels of revenue or can achieve a lower cost structure within its operations. Advancement in technology has made doing business globally even more convenient and conducive than in the past years.
Globalization improves the living standards of people in a country; this, in particular, is a strong opportunity for business growth in markets targeting strong economic growth. Many local populations could not afford some goods and services since they were out-of-reach which is a significant problem for developing countries. This is an opportunity for global companies to capture strong growth and increased profit if they can venture into such markets.
In the past the developing countries could not deal with the rest of the world due to poverty problems in the country, they could not tap the world economy due to huge trade barriers. Globalization has enhanced the World Bank and international management to encourage developing countries to go through market reforms and solve economic problems by disbursing large loans. The developed countries can invest in the less industrialized nations hence creating a win-win situation for all countries. Moreover through globalization relationships between nations has been made stronger due to the inter-dependence created. Less industrialized countries have the benefit of employment opportunities to the vast population while developed countries depend on raw materials from the less industrialized.
One of the significant benefits of globalization is that goods are transported easier and faster as a result of free trade between countries. Furthermore, Peace and cohesion have been enhanced between nations thus improving the GDP of interdependent nations.