In recent decades, globalization has been defined as an economic force driving worldwide economic integration and the expanding of businesses beyond their domestic borders. The worldwide trend of diminishing trade barriers, increased technology, and reduced shipping costs have promoted a prosperous era of world trade. Companies are no longer limited to their domestic boundaries and may conduct business anywhere in the world. In addition to these limitless possibilities, some benefits of globalization include lower prices and job creation.
Manufacturing activities can be performed where labor and supplies are cheapest leading to reduced consumer costs. Jobs can be created in poorer economies that eventually lead to prosperous economic growth. Yet the effects of job creation and globalization are like a double edged sword. Jobs often are eliminated in countries with higher costs and out-sourced to countries with lower cost structures. This has been viewed as one of the main disadvantages of globalization and a point of contention between employees of multinational companies. However, many of these benefits continue to outweigh its disadvantages therefore I believe the world will continue to see globalization rise as a powerful global economic force.
For this reason, it’s vitally important for Manufacturing and Distribution companies to be prepared to take on Globalization if they aren’t already. Our reach is expanding everyday and we have quick and easy access to almost anything we need. But this also brings on management of much more.
Silverware builds solutions with Microsoft Dynamics® NAV giving you enhanced management capabilities especially for your accounting departments. Microsoft Dynamics NAV is the most widely used mid-market ERP software for manufacturing and wholesale distribution in the world. Over 76,000 companies and 1.3 million daily users run their businesses with Microsoft Dynamics NAV. Silverware works throughout the southwest with a focus on companies located in Arizona (AZ) plus Nevada (NV), Colorado (CO), New Mexico (NM) and Utah (UT). We welcome the opportunity to learn about your company and explore ways we can help you achieve your business objectives.
By David Thikoll with Silverware, a Phoenix, Arizona Microsoft Dynamics NAV Partner
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Hey that is a very nice article. I just want to know in a brief summary of how globalization can affect consumption levels. I know you have explained that but I didn’t understand it completely. What about the waste produced in consumption as a side affect? How badly will that affect our world?
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