Globalization Effects on Business, Economy and Health

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Describe an organization (real or made up by you) that presents a challenge or alternative to contemporary neoliberal globalization.

  • What specifically is their critique of contemporary globalization?
  • What is their alternative vision of globalization (what are they advocating for)?
  • What specific actions do they propose to enact their vision?

Neoliberal globalization is also commonly referred to as economic globalization. Scholars agree that neoliberal globalization allows and encourages the dominance of big corporations, such that the smaller companies get a more difficult time penetrating new markets. One reason neoliberal globalization discourages smaller companies from growing is the presence of limiting laws that are promoted by neoliberal institutions, such as the International Monetary Fund and World Bank.

The two organizations try to control trade using government and political aspects. One company that can be cited when discussing neoliberal globalization is Company Y. The multinational giant has a presence in three-quarters of the world’s countries.

The company creates a challenge to neoliberal globalization by incorporating different countries’ economic guidelines and laws into its setup. It has also promoted the wave of neoliberal globalization by adapting to the cultures of the various countries.

The alternative vision of neoliberal globalization is allowing all organizations to trade freely all over the world. Unfortunately, the inclusion of international trade laws regulates the process. It is true that such laws may be hindered by the political processes in different countries. However, bodies such as the IMF and the World Bank have been known to regulate the trading process by controlling the actions of governments.

In the same sense, political motivations can be used to come up with suitable international laws that touch on globalization. Company Y suggests the creation of an international trading nongovernmental organization that can be tasked with creating rules and regulations for international trade, globalization in specific Moreover, the organization created should also be tasked with the drafting of punishments that can be used to control the actions of companies that trade internationally.

In their article “Cocaine, Commodity Chains, and Drug Politics: A Transnational Approach,” Suzanne Wilson and Marta Zambrana illustrate how cocaine is similar to and different from other commodities.

  • In what ways are ‘illegal’ commodities like cocaine and opium similar to other commodities like t-shirts, soccer balls, and bananas?
  • In what ways are they different? (For example, you can discuss how they are produced, consumed, transported, regulated, etc.)?
  • Give a specific example to support your argument.

Cocaine is very different from other legal products in the market today. In the same breath, the illegal commodity is very similar to the legal products in several ways. The first hint of similarity can be drawn from the manufacturing process. Cocaine starts from a natural plant, a harmless plant. An example of a legal product that can be cited is a T-shirt. A T-shirt starts with the process of cotton growing on the farm. The cotton is first planted, harvested, and then spun to form threads, which are then used to make fabric.

After the fabric is made, more thread is used to sew up a T-shirt, create designs, and the end product. The same can be said about cocaine. Initially, the plant would grow naturally in South America. However, the plant has been grown in other parts of the world like Peru due to commercial purposes. The natural and mild stimulant is then manufactured through a series of processes eventually to create the end product, which is cocaine.

In the same manner, both legal and illegal products evolve through time. In the case of the T-shirt and other clothing, they change according to fashion. As for cocaine, it has changed from a medical drug to an illegal drug. Initially, the coca leaves were used in medicine as mild stimulants. Coca was then used to manufacture the drink known as Coca-Cola, one of the most famous beverages in the world. It then evolved to crack and other newer ‘versions’ of cocaine.

As mentioned, there are also some differences that illegal products and legal products share. One difference is the health benefits. The T-shirt gives the person wearing it warmth, making the person healthier in every sense. However, cocaine, in whichever form it is used, apart from the supervision of a doctor, is harmful to the individual. Even Coca-Cola has been proven to have dire health consequences.

In his article, “The swine flu crisis lays bare the meat industry’s monstrous power,” Mike Davis argues that the swine flu or (H1N1 Flu) is a global disease.

  • In what ways is the rise and spread of H1N1 Flu (or swine flu) related to the global food system?
  • Give a specific example to support your argument.

It is arguable that swine flu is a global disease. One of the reasons why swine flu is all over the world is the ability of the virus to ‘jump’ from one continent to another. In this sense, the viruses are usually transported by carriers, either bird, other animals, or even human beings.

Globalization has made the spread of viruses, including the H1N1 flu virus, easier. Meat companies have gone global, distributing packed and processed meat products all over the world. In doing so, they expose the rest of the world to the viruses that the animals whose meat is being used suffered.

In addition, the rise and spread of H1nI Flu, simply known as swine flu, can be blamed on the global food system. Not only do meat companies ship out products all over the world, but agriculturalists also tend to borrow specimens from pigs all over the world in an attempt to nurture better breeds.

For example, a good pig breed from the United States of America can be bought and taken to Europe for the purposes of reproduction. Many agriculturalists and farmers alike do not take proper measures to ensure that the pig taken is healthy due to the substantial competition for such opportunities. The pig will then transmit the Flu to other pigs in the region, thereby creating a pandemic.

In the same breath, the movement of the H1N1 flu strain has led to its development. It has become stronger and resistant to drugs. It is for the scientists to find out a way of defeating the stronger strain, but agriculturalists should also take up the luggage and encourage farmers to ensure that their animals are healthy. Countries and farmers should also ensure that the breeding of animals is done in the most professional and healthiest way possible to avoid transmission of diseases, such as the H1N1.

Read the New York Times article, “For a City in Gridlock, a Lifeline and a Scourge,” 2009. In what ways are the ” motorizados” part of the informal economy? How do they contribute to the economic growth and production of the city of Caracas and the country of Venezuela? Is the rise in motorizados a positive or negative force for the development of Venezuela and for the general well being of the residents of Caracas? Why or why not? How? Give specific examples to support your argument.

The motorizados are a huge part of the informal economy of Venezuela. They not only provide employment, but they also pay taxes to the government, just like everyone else. An example of a man who earns $500 per month from his job as a motorizado is given. It shows how the job provides the unemployed with a way to survive the harsh economy. Moreover, the informal employment these young men get through their motorbikes pays back the government.

They do this through the payment of value-added tax when they buy the motorcycles, when they take the bikes to the garage for servicing, and when filling the bikes up with diesel. However, it suffices to mention that the people who use motorizados to commit crimes also affect the informal economy of Venezuela. They not only make the motorizado drivers jobless by stealing their bikes, but they also kill hard-working citizens who added value to the economy.

Motorizados contribute to the economic growth and production of the city of Caracas and the country of Venezuela in several ways. The first way is through providing employment for the youth and the unemployed. The second way is through providing faster ways for citizens to get to their places of work in time and become more productive. Venezuela, just like all other countries, experiences traffic jams that waste time and waste resources in the process.

Motorizados offer people a solution to this problem because they are faster. Thus, they get people where they need to be on time to save time for working and being productive. Similarly, motorizados have been used to deliver goods and services, making company delivery systems efficient because they are faster than cars.

Even though the rise of motorizados has also seen the rise of crime in Venezuela, it is arguable that the increase of motorizados in the country has a more positive force for development. As mentioned, it has given young people and middle-aged men an excellent opportunity to get work. A handyman in Venezuela earns approximately $250 a month compared to a motorizado, who gets roughly $500 per month.

Perhaps, it is due to the significant amount of money one can make that many young men are buying motorbikes and ferrying people all over Venezuela. It is also arguable that motorizados influence the general wellbeing of the residents of Caracas and Venezuela, in general, positively. They get an alternative, yet a faster mode of transportation compared to vehicles. In the same vein, the motorizados also take the residents right up to the place they want to go, unlike public transport that has one common bus bay.

It suffices to mention that there are some adverse impacts of the motorizados that are referred to in the provided article. However, many of the negative influences of the motorizados are caused by bandits, who have also affected other motorists. Bandits have found an easy getaway using motorizados and hitting men as their target while driving these bikes.

The people of Caracas and Venezuela, in general, have given them different names according to their reputation in order to differentiate the good and the bad motorizados. For example, the mototaxistas are the ones who ferry people and goods across the towns, while the motobanquistas are the criminals.

Read the New York Times article, “Lacy Threads and Leather Straps Bind a Business,” 2009.

  • Does the demand for fetish and bondage products in the United States and Europe help the development of Pakistan? Why or why not? How?
  • Who benefits from this trade? Is this industry good for Pakistan? How? Questions you might want to consider include: Why do you think the factory employs “uneducated female laborers”?
  • How did world events contribute to lower prices for leather, and how did these lower prices contribute to the successful launch of AQTH?
  • Why might AQTH relocate to East Asia? What are the consequences for Pakistan’s economic development if AQTH relocates to East Asia?

The demand for fetish and bondage products in the United States and Europe does not necessarily help the development of Pakistan. The demand has helped two brothers who have a company called AQTH provide for the family. However, the country does not gain much due to the ignorance of the greater community on the viability of selling fetish products abroad.

In fact, the article cites that the customs officials were not able to precisely define a way of taxing the products when they were being shipped to America because they did not know what they were. The only people who have so far benefitted from the trade are the two brothers who own the business, the sellers of the leather that the brothers use their products and the women who have been hired by the company.

One may argue that giving employment to women is a significant impact on the Pakistani economy. However, the women that work in the factory are illiterate and cannot get other, better jobs. If the company were to shut down, they would have no other way of providing for their families.

Development and acceptance of the industry would be good for Pakistan because of the ease of access to leather. In addition, the job does not need a formal education. Many women are not educated due to the culture of the Pakistanis. However, hard economic times have forced women to go out and look for any work they can find to help put food on the table. The job of assembling the products does not need a formal education; thus, women will be in a position to secure jobs in such industries and make their lives easier.

It is possible that the factory has employed the uneducated female workers due to their subordinate nature. The culture of the Pakistani people is very oppressive towards women. Pakistani women are shy and may not ask questions regarding the products.

Additionally, illiterate women are hired due to their illiteracy; they do not know what the products are; thus, it is easier to manipulate them and define the products in a manner that allows the business to blossom. The brothers claim that people do not know what they do. If they knew, then they would be shunned. Having employees who are equally in the dark helps the brothers keep their secret.

The success of AQTH heavily relied on the illiterate staff and the low prices of leather in Pakistan. The low prices were caused by the 9/11 that happened in the US, which saw the Pakistan economy flood with leather and leather products that were half price. However, the economy of Pakistan has not recovered since 2001, which has impacted heavily on businesses like AQTH.

The brothers are thinking of relocating to East Asia due to the bad economy and the political barriers that have been introduced by their current president. It suffices to mention that if AQTH moved out of Pakistan, then hundreds of people who work in the company would be left unemployed.

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