Globalization Through Technology to the Global Economy - 550 Words

Globalization Through Technology to the Global Economy (Essay Sample) Content: NameCourseInstitutionImplications of ever-increasing globalization through technology to the global economyGlobalization refers to the increased movement of people, capital, goods, and ideas due to economic integration. The Organization for Economic Cooperation and Development (OECD) defines globalization as, the process leading to increasing internationalization of, markets, financial systems, and means of production, corporation, competition, technology, and industries (Spence and Danny 2). It is without doubt that technological advancements have been at the center of the ever-increasing globalization. Communication, transfer of information, ideas, and knowledge, and movement of people and goods have been the primary facilitators of globalization. The efficiency of these facilitators of globalization has been possible because of technological advancements. The ever-increasing globalization through technology has had various implications to the global economy.One of the implications of the ever-increasing globalization through technology is the fast growth and expansion of the global economy. Technological innovations have made it possible to develop modern and efficient transport systems that ease movement of people, goods, services, and capital. Technological developments have led to the manufacture of big planes, high-speed trains, and modernization as well as the expansion of road networks. Resultantly, there have been initiations of direct flights across nations, lowering of transport costs, and general efficiency in transportation systems (Minkova 28). The development of the international and local transport systems have worked to increase the value of products, and enabling market expansion through opening of previously inaccessible markets.The improvement of the communication and information technology has worked to restructure the global economy. The internet has increased interaction among business people considering the possibility o f online negotiations and processing of deals. Additionally, computer and internet technologies have made it possible for multinational companies to enhance management of diverse branches from a centralized control point. Reduction in the number of line managers has eased the process of decision-making (MarkovicÃÅ'  8). Furthermore, improvement in computer and internet technologies has also led to development and expansion of financial systems. Currently, many banks and financial institutions undertake fund transfer on an online platform. This possibility has eased payment of internationally traded goods and services. The developments have collectively worked to increase the efficiency of the global economy.Another implication of the ever-increasing globalization through technology is the tendency to level the economies of different countries (Spence and Danny 8). Technological innovations currently spreading originated from the developed economies. The need to increase gains fr om changes has led to the movement of the respective technical companies to the emerging and developing markets. The emerging and developing markets have relaxed business policies that attract investors who seek to maximize profits. The situation has seen the initially third-class countries start production and exportation of goods to the developed countries. Consequentially, there has been a reversal of roles, as the initial exporters become importers, and initial importers become expor...