To be sure, globalization has brought benefits to Africa. Rising incomes elsewhere in the world have increased demand for African commodities and natural resources, boosting national economies. Globalization has also supported knowledge transfer, enabling African countries to improve living standards by “leapfrogging” to new technologies.
What is the impact of globalization on Africa?
Rising incomes elsewhere in the world have increased demand for African commodities and natural resources, boosting national economies. Globalization has also supported knowledge transfer, enabling African countries to improve living standards by “leapfrogging” to new technologies.
What are the benefits of globalization to a country?
Additionally, globalization will offer new opportunities—such as expanded markets and the acquisition of new technologies and ideas—all of which can yield not only increased productivity but also higher standards of living. International trade. The first avenue of economic integration for most countries is international trade.
Is Africa’s globalization promise unfulfilled?
By 2030, the continent will be home to almost 90 percent of the world’s poorest people. Unless globalization works better for Africa than it has in the past, its promise of shared prosperity will remain unfulfilled.
What are the main questions Africa has to ask itself about globalization?
The main questions Africa has to ask itself about globalization are as follows. First, having escaped the worst effects of the Asian crisis, should it still pursue globalization? Can Africa continue to remain isolated as the winds of change sweep through the global economy? Second, what are the advantages and disadvantages of integration into th...
How does Africa approach globalization?
What are the questions Africa has to ask itself about globalization?
What is the first avenue of economic integration for most countries?
What is Africa's most pressing problem?
Why is Africa's economic performance so poor?
Why is manufacturing not competitive in Africa?
What will happen if Africa has the lowest teledensity?
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About this website
How can we benefit from the globalization?
What Are the Benefits of Globalization?Access to New Cultures. Globalization makes it easier than ever to access foreign culture, including food, movies, music, and art. ... The Spread of Technology and Innovation. ... Lower Costs for Products. ... Higher Standards of Living Across the Globe. ... Access to New Markets. ... Access to New Talent.
How can South Africa benefit from Globalisation?
However, alongside sound macroeconomic policies, globalisation has generally been good for South Africa. Access to global markets has, inter alia, facilitated technology transfers, export growth and investment flows – developments which have all been growth-positive for South Africa.
What is the impact of globalization on African economy today?
In short, while globalization has made some contribution to economic growth in Africa, it has not yet facilitated the process of structural transformation required for countries in Africa to reach the take-off stage and accelerate economic development and poverty reduction.
How can Nigeria benefit from globalization?
Globalization allows Nigeria to export and import goods, capital and investment without restriction. Globalization promotes the rapid output growth that will increase national income and as a consequence enhance higher standard of living of developing country like Nigeria.
What is Africa's globalization?
Globalization represents a process of rapid intensification of broad economic, political, and cultural interconnectedness among the different actors in the global system.
What are the benefits of globalization to developing countries?
Globalization and the turn to the market have clear benefits for developing countries, both in terms of aggregate growth and poverty reduction and in terms of mobility and opportunity for low-income people. Yet new opportunities have come hand-in-hand with new vulnerabilities.
How does globalization affect African culture?
The effect of globalization on African culture, indicates that the integration of Africa through the conduit of globalization has already eroded the sovereign power of Africa, infused African culture and the democratic system of government, retarded their economic and educational systems, and turned the Africans to ...
What are the benefits of globalization in Tanzania?
Positive impact of Globalization in Tanzania Through Globalization trade in currencies increased dramatically in the recent past years. Globalization led to the increase or flow of products from abroad to our markets. Globalization increased the spread of information and public awareness.
What are advantages and disadvantages of globalization?
Comparison Table for Advantages and Disadvantages of GlobalizationAdvantagesDisadvantagesGlobalization has helped provide better services to people worldwide and increased the GDP rate.Globalization can increase the unemployment rate since it demands higher-skilled work at a lower price.4 more rows•Jan 17, 2022
What are the opportunities of globalization?
There are many opportunities resulting from globalization:New markets. Entering into new markets may lead to an increase in the number of customers, therefore will result in increase in sales revenue.Cheaper labor. ... More choices. ... Higher efficiency. ... Lower prices. ... Multiculturalism. ... Increased investments.
What are the 3 types of globalization?
There are three types of globalization.Economic globalization. Here, the focus is on the integration of international financial markets and the coordination of financial exchange. ... Political globalization. ... Cultural globalization.
How can Nigeria improve her economy?
Enhance factor quality by investing in infrastructure, strengthening land tenure security, improving educational outcomes, liberalizing the trade regime and enhancing trade and transport facilitation to help develop value chains and facilitate the efficient reallocation of factors of production, making Nigeria more ...
How does Africa approach globalization?
How Africa decides to approach globalization must be determined by its most urgent goals: accelerating economic growth and development and eradicating poverty, which is not only widespread but deep and severe in some countries. At the beginning of the twenty-first century, poverty remains Africa’s most pressing problem, and economic growth is the sine qua non of poverty reduction. Thus, Africa needs to achieve, as quickly as possible, growth that is both sustained and rapid.
What does Africa need to do to reap the maximum benefits from globalization?
Trade. Tackling Africa’s trade problem requires a two-pronged approach. At the national level, countries need to liberalize trade by removing trade barriers, adopting appropriate exchange rate policies, and diversifying exports. At the international level, there are two strands of thought on where Africa should concentrate its efforts.
Why is Africa's economic performance so poor?
The overriding reasons are Africa’s poor overall economic performance—which is due to a number of factors, including colonial history, disadvantageous geography, heavy economic dependence on exports of primary products, and macroeconomic policy errors —and the advantages Africa can derive from globalization. International trade.
Why are transaction costs so high in Africa?
Third, transaction costs in Africa tend to be high for a number of reasons, including high tariff and nontariff barriers, high international transport costs, poor telephone systems, and unreliable infrastructure facilities for essentials like water and electricity.
What questions does Africa have about globalization?
The main questions Africa has to ask itself about globalization are as follows. First, having escaped the worst effects of the Asian crisis, should it still pursue globalization? Can Africa continue to remain isolated as the winds of change sweep through the global economy?
What is Africa's most pressing problem?
At the beginning of the twenty-first century, poverty remains Africa’s most pressing problem, and economic growth is the sine qua non of poverty reduction. Thus, Africa needs to achieve, as quickly as possible, growth that is both sustained and rapid. The main questions Africa has to ask itself about globalization are as follows.
What are the reasons why Africa has grown so fast?
Africa must also anchor its growth prospects in the development of human capital, physical infrastructure, and strong institutions.
How does Africa approach globalization?
How Africa decides to approach globalization must be determined by its most urgent goals: accelerating economic growth and development and eradicating poverty , which is not only widespread but deep and severe in some countries. At the beginning of the twenty-first century, poverty remains Africa's most pressing problem, and economic growth is the sine qua non of poverty reduction. Thus, Africa needs to achieve, as quickly as possible, growth that is both sustained and rapid. The main questions Africa has to ask itself about globalization are as follows. First, having escaped the worst effects of the Asian crisis, should it still pursue globalization? Can Africa continue to remain isolated as the winds of change sweep through the global economy? Second, what are the advantages and disadvantages of integration into the global economy? How can the risks of globalization be minimized? What are the most important lessons Africa can learn from the crises and growth experiences of the Asian countries so that it can more successfully manage the unavoidable difficulties of globalization? Third, to what extent is Africa already integrated into the global economy, judging from the various indicators at our disposal, and how can it improve its competitiveness in international trade? Fourth, is globalization the panacea for all of Africa's economic problems? Fifth, what policy measures must Africa put in place to derive maximum benefit from globalization?
How does globalization affect India?
Globalization has a major impact on the management of human resources and the industrial relations in developing countries like India. Globalization has an acted in the Indian government on 1990-1991. With the hastening globalization, organizations are changing to the new trends and even move on to set changes in the industrial relations systems and in the human resource management systems. The primary issue addresses in this paper is the extent to which India has retracted her industrial systems for effective industrialization. Globalization is considered to have both positive and negative effects on the developing economies. In this paper both the concepts were covered and explored. In this paper the industrial relations in India with reference to globalization were explored. Keywords: Industrial Relations, Globalization, Collective Bargaining, Worker’s participation, Trade unions.
How did oil exploration affect the Niger Delta region?
Steadily, cases of pollution, resulting from oil spillages, increased as the quantities of oil production increased over time. Almost 50 years of exploration has resulted in widespread environmental degradation in the form of land, surface and ground water pollution. This has affected the region’s livelihood capacity from farming to fishing, which reflects in endemic and systemic poverty among the communities within the region. This study focuses on establishing the impact that globalization and governance have brought to bear on communities in Ogoniland, in the Niger-Delta region. The study area consists of 6 traditional kingdoms, all within 4 Local Government Areas (LGAs) in Rivers state. The study suggests that bad governance and corruption, rather than globalization, is responsible for the poor state of underdevelopment in Ogoniland. There is a near-absence of infrastructure and amenities with a rapidly degrading environment due to pollution from oil spillages and unsustainable oil exploration activities. It is recommended that multi-disciplinary actions be adopted in order to reverse the observed trend. These could be achieved by measures such as: good, responsible governance that abhors corruption in the disbursement of oil wealth; deployment of early warning systems for oil spill detection and cleaning technologies; appropriate compensation in areas affected by oil spillage; and improved Corporate Social Responsibilities by MNOCs.
What is the role of the World Bank and the IMF?
World Bank and the International Monetary Fund (IMF) are twin intergovernmental global organization pillars supporting the structure of the world's economic and financial order. In this study, we take a critical look at more than twenty-five (25) development packages provided to Nigeria by IMF and WB in the past 25 years with more expected under the present Buhari regime towards better development in Nigeria. This paper uses theoretical and literature reviews to provide critical analysis of IMF and WB in the development of Nigerian economy since 1994. The role of IMF and WB shall be equally discussed about developing Nigeria and whether the policies, grants, and support are well intended or misplaced by the Nigerian leadership. The review, therefore, calls for a total review of governance and development plans by researchers, Nigerian government, international communities, and most importantly the IMF and WB to ensure that the intents of grants, aids, and development agenda are achieved as soon as possible or provide better options for the economic development of Nigeria.
Why does Africa need external resources?
The reason is that Africa needs ample amount inflow of external resources so as to bridge gaps in saving and investment as well as overtake itself to sustainable growth levels and oust the already manifesting poverty (Ajayi, 1999 (Ajayi, , 2000 (Ajayi, , 2003. ...
What is regional economic integration?
Regional economic integration ultimately leads to the formation of a monetary union. At this stage monetary, fiscal and financial policies are harmonized for the maximum benefit of member states. In such circumstances, monetary policy is centralized, foreign currency reserves are pooled and centrally managed and a single currency or exchange rate regime is adopted. Within this context, the role of money, in the dynamic sense, the need to regulate and control its volume and value become a paramount task for policy makers. A sound financial system, with standardized rules and regulations, is a necessary condition for a successful monetary union. This paper posits that such sound financial infrastructure does not exist currently in ECOWAS and therefore presents some recommendations on the way forward if the envisaged monetary union in 2004 is to succeed.
How has globalization benefited Africa?
To be sure, globalization has brought benefits to Africa. Rising incomes elsewhere in the world have increased demand for African commodities and natural resources, boosting national economies.
How can globalization be more inclusive?
Making globalization more inclusive will require policies that tackle inequality within advanced economies and boost convergence in living standards between Africa and high-income countries. African policymakers, with support from external partners, can play their part by accelerating regional integration, bridging gaps in labor skills and digital infrastructure, and creating a mechanism to own and regulate Africa’s digital data.
How has globalization contributed to deindustrialization?
But myriad challenges have far outweighed such benefits. For one thing, globalization has contributed to premature deindustrialization. Because advanced economies can now produce goods more cheaply, African countries have found it difficult to develop local industries that create jobs. Moreover, some multinational corporations operating in the region are dodging taxes through sophisticated—and legal—accounting mechanisms such as profit shifting, depriving governments of much-needed resources for economic development.
What was the impact of the 1990s on globalization?
More recently, the advent of new information and communications technology in the 1990s dramatically lowered the costs of distance and ushered in another wave of globalization, characterized by the emergence of complex global value chains (GVCs). These GVCs contributed to the great convergence of recent decades by boosting industrial output in countries such as China, India, Indonesia, Poland, South Korea, Taiwan, and Singapore, enabling them to narrow the gap with advanced economies.
What is Africa's potential?
Africa’s potential may be huge , but it faces formidable challenges. By 2030, the continent will be home to almost 90 percent of the world’s poorest people. Unless globalization works better for Africa than it has in the past, its promise of shared prosperity will remain unfulfilled.
What is the backlash against globalization?
The current backlash against globalization, most notably from working-class citizens in advanced economies who are worried about stagnant wages and insecure jobs, highlights how the benefits of global economic integration were oversold, and its costs undercounted.
How much did Africa's income drop in the 1980s?
Unsurprisingly, therefore, the economic disparity between Africa and richer countries has widened in recent decades, with the ratio of African incomes to those in advanced economies falling from 12 percent in the early 1980s to 8 percent today. In order to reverse this trend and enable Africa to benefit more from globalization, the region’s policymakers should accelerate their efforts in three areas.
What is the role of Africa in the rise of civilization?
The development of Africa played a prominent role in the rise of its civilization. What defines a well structured civilization is having a good writing system, culture, and technology. Researchers believe that African peoples traveled as far as across the ocean and into the Americas bringing these with them.
Why did the Europeans go to Africa?
The Europeans went to Africa because of their many resources and their quantities of gold, fur, and yarn all superior resources for the Europeans.
Why was imperialism important in the 19th century?
These motives helped great empires expand their territory and brought new cultures and languages to both the colonised countries and the countries colonising them. European countries such as Britain and France would use their colonies in Africa for economic gain. They would be able to exploit the country’s natural resources and bring them back to the “mother country” to sell and use.
What were the motives for imperialism in Africa?
The motives for imperialism in Africa was political competition, moral duty, and most importantly economic motives. A motive for european imperialism in Africa was political competition. All together there was 7 countries that colonized Africa.“.
What were the reasons for imperialism?
The four major motives for imperialism are economic, strategic, religious and political. These motives helped great empires expand their territory and brought new cultures and languages to both the colonised countries and the countries colonising them. European countries such as Britain and France would use their colonies in Africa for economic gain. They would be able to exploit the country’s natural resources and bring them back to the “mother country” to sell and use.
Why was the British imperialism positive?
This effect was economically positive because the British created new goods and crops that were available for the natives to buy. If Africans had the right to certain goods, then that meant there was more equality as well. According to Document #2, written by Dadabhai Naoroji, an Indian leader and writer, in Bombay, India in 1871. He made this document to explain the advantages and disadvantages of the imperialism to the British government and the natives as well. He gives economic reasons to back up his facts about what is good or harmful for the area he lives in.
What was the most important motive for European imperialism in Africa?
What was the most important motive for european imperialism in Africa? The motives for imperialism in Africa was political competition, moral duty, and most importantly economic motives. A motive for european imperialism in Africa was political competition. All together there was 7 countries that colonized Africa. “ Make your country a royal throne of kings… the world a source of light, a center of peace.
How has globalization helped Africa?
They reap profits, while local people endure pollution. For all its shortcomings in Nigeria and the continent at large, globalization has helped Africa in ways that Africans often overlook, Bucknor notes. Communications technology, for example, has contributed to a freer press and more effective political opposition.
What steps can be taken to alleviate Africa's problems?
What steps can be taken to alleviate Africa’s problems? Government reform has to come first, Bucknor argues. Money must be channeled to attracting and training better-quality lawmakers and bureaucrats. Once these people are in place, foreign governments and aid organizations need to let them focus on their countries’ critical needs. “Today, officials are overwhelmed and bogged down with too many issues from too many constituencies, including international donor organizations and multilateral institutions,” Bucknor says. “They are paralyzed.”
How has political liberalization benefited the developing countries?
Those moves are paying off, with, for example, the stock markets in Ghana and Nigeria posting strong gains over the last several years. Some African governments also are trying to better educate their citizens. They recognize that the developing countries that have benefited the most from globalization are those with the best-educated workforces. “Gambia and Uganda have registered 20% growth in primary-school completion rates in the last decade,” Bucknor says.
Why is Africa left behind?
To do that, analysts there and abroad have to understand why the continent thus far has been left behind, Bucknor says. Plenty of Africans blame colonialism, which often left their countries with weak, corrupt governments and , at times, arbitrary borders. While colonialism certainly shares part of the blame, it alone can’t explain Africa’s failure to advance during the last several decades. Other former colonies in Asia have thrived after independence.
Why have African countries failed to govern themselves?
In the years since their liberation, too many African countries have failed to govern themselves effectively, Bucknor says. “Simply put, most governments are administratively and technically too weak to manage their countries. Economic governance, characterized by measures to combat corruption, has been poor. The delivery of education and health services has fallen well short of international standards.” Misguided western policies have exacerbated the situation. Many African governments operate under an enormous debt burden, which hamstrings their development efforts. So far, the West has been reluctant to forgive much of this debt.
How much did foreign investment in Africa in 2002 cost?
Foreign direct investment in all of Africa and the Middle East was only $11.6 billion in 2002, compared with $38.4 billion in China in the same year.
Who said that Africa needs to change its ways of doing business?
Bucknor and a scholar from England na med Akpobibibo Onduku argued that governments, companies and aid organizations, both in Africa and abroad, will have to change their ways of doing business if globalization is to deliver the kind of economic growth in Africa that it has in places such as China and India. If anything, many Africans believe that ...
How does globalization help businesses?
Globalization also means that businesses can realize greater profits by tapping into previously untouched markets and taking advantage of lower local costs. By expanding into new countries, businesses reach markets that are hungry for their novel goods and eager to pay top dollar for them.
What are the challenges of globalization?
Globalization presents challenges for multinational corporations in terms of capital investment and leadership. Setting up a business in a new country, especially a developing country, requires substantial upfront capital. The needed infrastructure may not be in place.
Why is a diversified workforce important?
Promoting a diversified workforce: Businesses operating globally attract employees from all over the world. They are likely to draw management staff from the countries where they maintain a presence and employ laborers in a country where labor is relatively affordable. Learning to manage a culturally diverse staff can be both a benefit and a challenge to a multinational business.
How much has the world GDP grown?
World GDP has grown from about $50 trillion in 2000 to about $75 trillion in 2016, primarily as a result of economic interdependence and the increased global trade it allows. India, for example, is a country whose GDP has benefited immensely from globalization in the technology sector:
How does international cooperation benefit the world?
International cooperation has a number of tangible benefits. 1. Increased Flow of Capital. The economic benefits of globalization to much of the world are hard to ignore. Increased trade to larger and more diverse markets results in greater revenues and increased gross domestic product (GDP).
What are the four pillars of global connectedness?
Increased flow of trade, capital, information, and people: The DHL Global Connectedness Index, in partnership with NYU’s Stern School of Business, has identified these four elements as the four pillars of global connectedness. All these elements except capital saw moderate growth worldwide in 2018.
Why is global competition important?
Global competition in the markets leads to both quality and affordability. As consumers realize they have a variety of options from all corners of the globe, they will choose to purchase the best and cheapest options, requiring companies to enhance quality and provide affordable prices if they wish to remain competitive. The outsourcing of work also contributes to lower prices, as many companies hire foreign laborers to do the work for lower pay.
How does Africa approach globalization?
How Africa decides to approach globalization must be determined by its most urgent goals: accelerating economic growth and development and eradicating poverty , which is not only widespread but deep and severe in some countries. At the beginning of the twenty-first century, poverty remains Africa's most pressing problem, ...
What are the questions Africa has to ask itself about globalization?
First, having escaped the worst effects of the Asian crisis, should it still pursue globalization? Can Africa continue to remain isolated as the winds of change sweep through the global economy? Second, what are the advantages and disadvantages of integration into the global economy? How can the risks of globalization be minimized? What are the most important lessons Africa can learn from the crises and growth experiences of the Asian countries so that it can more successfully manage the unavoidable difficulties of globalization? Third, to what extent is Africa already integrated into the global economy, judging from the various indicators at our disposal, and how can it improve its competitiveness in international trade? Fourth, is globalization the panacea for all of Africa's economic problems? Fifth, what policy measures must Africa put in place to derive maximum benefit from globalization?
What is the first avenue of economic integration for most countries?
International trade . The first avenue of economic integration for most countries is international trade. Trade remains the main vehicle for Africa's participation in, and full integration into, the global economy. Africa's trade is, however, concentrated in a narrow range of primary commodities, and, within this narrow range, Africa's market share has been shrinking. During 1960-69, Africa's average share of total world exports was 5.3 percent, and of imports 5.0 percent. During 1990-98, however, these figures dropped to 2.3 percent and 2.2 percent, respectively. These declines are attributed to, among other factors, the restrictiveness of Africa's trade regimes, slow growth of per capita income, high transportation costs, and the continent's distance from major markets. Although Africa made substantial progress toward trade liberalization in the 1990s, its trade policies remain, on average, more protectionist than those of most of its trading partners and competitors.
What is Africa's most pressing problem?
At the beginning of the twenty-first century, poverty remains Africa's most pressing problem, and economic growth is the sine qua non of poverty reduction. Thus, Africa needs to achieve, as quickly as possible, growth that is both sustained and rapid. The main questions Africa has to ask itself about globalization are as follows.
Why is Africa's economic performance so poor?
The overriding reasons are Africa's poor overall economic performance—which is due to a number of factors, including colonial history, disadvantageous geography, heavy economic dependence on exports of primary products, and macroeconomic policy errors— and the advantages Africa can derive from globalization. Africa's economic marginalization, the ...
Why is manufacturing not competitive in Africa?
First, policy has failed to promote the technical capacities or specific knowledge needed to enhance efficiency, which is fundamental to successful industrialization. Second, the key to successful exporting lies in the technical efficiency of firms, which, in turn, is dependent on policies encouraging innovation and economies of scale. Third, transaction costs in Africa tend to be high for a number of reasons, including high tariff and nontariff barriers, high international transport costs, poor telephone systems, and unreliable infrastructure facilities for essentials like water and electricity. Because manufacturing is transactions-intensive, this sector is nonexistent in some African countries and extremely small in others.
What will happen if Africa has the lowest teledensity?
If Africa continues to have the lowest teledensity and the fewest computers of any region in the world, it will remain marginalized and cut off from information and knowledge technology and, therefore, unable to compete in the global economy. Africa must take the necessary steps to rectify its deficiencies in this area.
