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Business Globalization

In: Business and Management

Submitted By covergrl2
Words 265
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When it comes to globalization there can be pros and cons and even ethical issues that can arise. An ethical issues resulting from globalization are richer countries not helping or investing a lot more to fight epidemics like those of HIV and malaria, and allowing or supporting the sale of generic drugs in third world countries. Another ethical issue from globalization is putting our country in jeopardy by taking jobs and moving them overseas such as China for services more cheaply. The governments in these countries are desperate for these jobs and for foreign investors to help their growing economies. For these reasons many times the government restrictions are kept at a minimum. A bigger danger can arise when a US corporation sets up manufacturing operations in a third world country and due to the lower expectations or less stringent regulations, lower standards are practiced there. Payoffs and bribes and not respecting cultural differences can lead to ethical issues resulting from globalization.
There are risks and consequences associated with global businesses such as operational risks. This is caused by the assets and financial capital that aid in the day-to-day business operations. Problems that can occur are breakdown of machineries, supply and demand of the resources and products, shortfall of the goods and services. Environmental risks such as air, water, and environmental pollution may affect the health of the citizens. Terrorism risks are important because these are attacks that may stem from lack of hope; confidence; differences in culture and religious philosophy, and/or merely hate of companies by citizens of host countries.

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