Meaning Of Globalization In Economics: Features, Factors, Challenges And Opportunities Of Globalization To The Nigerian Economy

Economics

Topic: Globalization

Table Of Content

  • Meaning Of Globalization
  • Features Of Globalization
  • The Challenges And Opportunities Globalization Presents To Nigeria Economy
  • Factors That Encourage Economic Globalization

What Is Globalization?

This is the rapid integration of economics worldwide through trade, financial flows, technology spill over, information, network across boundaries. It is characterised by liberalization of world economics & economic activities that are free from constitutional controls which fosters and promotes free market enterprises, open competition, professionalism and excellence incorporated governance. As such production facilitates in different countries are brought under the ‘ACGTS’ or ownership of the multi international corporation and there is liberalization. It involves the expansion and across border linkages in a wider and growing variety of social, cultural, political, business economic legal areas. Also it promotes specialization and the application of the principle of competitive advantages in the production of goods and services in a global seal so as further develop the entire world’s resources. This includes human capital and skilled personnel that have helped the world in advertising scientifically and technologically and accelerating a substantial economic growth and development.

Features Of Globalization

1. Keen Competition: There is unrestricted competition between countries in their effort to produce and sell goods and services whenever possible.

2. Single World Maker: All countries of the world tracing freely with each other beome a single market for goods and services.

3. Free Mobility Of Labour: These of free movement of labour and other factor of production from one country to another.

4. Absence Of Trade Restriction: There is absence of trade restriction of any kind between countries making goods and services to more freely across boarders.

The Challenges Opportunities, Globalization Presents To The Nigeria Economy

Globalization has peacefully present many challenges opportunities to the Nigeria economy in economic, cultural and political aspects.

1. Economically

Economic globalization is the increasing economic inter-dependence of national economic across the world through a rapiid increases in cross boarder movement of goods and services, technology in all types of production activities and marketization, and other advance of science and technologies comprises globalization of production, market, competition technology corporation and industries (example) the products of an advances country enter the markets of those countries that have demand for these products.

While the natural resources of developing countries are sold to developed countries that need them.

The rate of economic globalization has increased over the years through the activities of general agreement of trade and tariffs (GATT) and world trade organisation (WTO) which made countries to cut down their business and Nigeria is not an exception.

Factors That Encourage Economic Globalization Includes:

1. Advancement of science and technology.

2. Improved communication leading to reduction cost.

3. Activities of multi national corporation.

4. Sustained financial flows.

All these are affecting all the developing countries including Nigeria that are yet coming up with these development.

2. Cultural Globalization

This involves the transmission of ideas, languages meanings and values across international boarders through a culturation. This process is marketed by the consumption of cultures that have been diffused by the internet, popular cultural and international travel.

It involves the formation of shared Norms and knowledge with which people associates their individual and collective cultural identities and increasing inter connectedness along different populations and culture. The circulation of cultures enable individuals to partake in extended social relations outside their boarders. This cultural globalization is manifested in sports, religion, cuisine, dressing, popular books, films, music and languages. Culture flow mainly from the developed countries as the reverse flow is the significant and the has been facilitated by the information revolution, the spread of satelite communication, telecommunication network information technology and the internet.

As those flow of culture is mainly from centre of the periphery from the north to the south from town and cities to village. It is the culture of village of poor countries which will be the first to suffer erosion which Nigeria is not an exception.

3. Political Globalization

Political globalization consists of the institutionalization of international political structures (examples) the bring of the whole under one government through the setting up of a number of international organisation that regulates all sorts of interactiom. Over the years, the United Nations have channeled their effort towards this direction as it is to delivered that the world wide under one government will safer and free from conflicts, members countries belonging to these international organisation remains sovereign but, through their obligations and commitments have to some extents integrate themselves to the concerned international organisation and grouping.

In all globalization present to the Nigeria economy with challenges opportunities in both political and cultural aspects.