Globalization can be said as the process by which national and regional economics, societies, and cultures become integrated through the global network of trade, communication, immigration and transportation. In the last decades, globalization gives mostly its attention on the economic side of the world which consist of the trade, foreign direct investment and international capital flows, but in today’s world, globalization consist of activities in so many different areas such as culture, technology, media, socio-cultural and also political areas. To shorting the meaning of globalization, it is the integration of markets, industries, policy-making and cultures in the global world.
Globalization in a general content is said to be beneficial to all countries most especially when the countries is specialized in products or services which can be exchangeable with other goods from another country or countries. But in the system of exchange in globalization, the benefit will never be on an equal distribution in the globe; there are always ‘’winners’’ and ‘’losers ‘’.
Economic globalization such as economic opportunities has been responsible and successful in countries like china, Brazil and Vietnam they have achieved significant poverty reduction. Globalization on the other hand, has so many problems due to the rapid economic growth; most of the low-income countries have less prosperity towards globalization, which is seen as the global poor have been left far behind in the scheme. The increase in foreign trade in the past decades have lead to the transformation of the standard living of the industrialized countries most especially the sub- Saharan African countries living in extreme poverty in the last twenty years.
It is very clear that the winners of globalization are the developed countries while the losers are the third world countries. Globalization also widen the gap between the rich and the poor, the rich get richer and the poor seems to be getting poorer day by day. For example the Africa spend $1.4billion repaying debts for the international community but receiving only $12.7 billion in aid from other countries. While many countries spent half of what they get from export to pay their debt.