It is said that the world has become a global village. Fast transportation, telecommunications (telephone, etc.), radio, TV and the computer have brought the most distanced countries and nations close to each other. Globalization is this coming together of countries in all fields of commercial, industrial and cultural activity.
The developed or advanced countries are getting closer in their own ways. The developing or still underdeveloped countries have not found ways of co-operating fruitfully.
The concept (general idea) of globalization became popular after the collapse of Communism in the Soviet Union and Eastern Europe. It is, in effect, the victory of capitalism and means trade without restrictions, free movement of capital and technology and the operation of a completely free market economy. Strangely, and understandably, it does not sanction free movement of labor, from one country into another.
Globalization aims at opening up new markets and expanding investment. In fact, capital does not flow easily from the developed countries like the US, UK, France, Germany and Japan into our developing countries. Rather, our capital flows to the multinational companies of the developed world. in our countries. The multinational companies buy cheap raw material from us at the low process and send it to the developed countries. The developed countries then send back highly expensive finished goods to us. Our labour classes are so illiterate that they cannot work on modern machines to add to production with foreign capital even if it is available.
Globalization can succeed if our working classes are educated and trained with foreign capital. In addition, the money of our feudal lords and capitalists should be used to educate the working classes.
Globalization also means free trade or the lifting of restrictions of duties and taxes on imports and exports. We do not stand to gain much when our goods cannot compete with those of the developed countries. When the goods of the developed countries are allowed free entry here, our people will buy them in preference to our goods. Our goods will not even be exported. This kind of free trade will result in the closure of our factories and unemployment of the labor classes.
In fact, the time is not ripe for making free trade internationally operative. This can happen, of course, when the developed countries have spent their capital and efforts on the education and training of the workforce of the undeveloped part of the world.