How does globalization effect businesses and industries?

Question

How does globalization effect businesses and industries?

Answer 1

Globalization erases geographical landscape, prioritizing and maximizing resources allocation and utilization.

Global players with stronger purchasing power will be strengthened up via resources exploitation, initiating monopolistic trading environment and controlling price and supply of resources. With an established supply chain of resources, wealthy and well-developed manufacturers enjoy a better economies of scale and can be able to engage in research and development, exploring value-added businesses to broaden profit margin.

However, weaker global players eventually loses their own resources and becomes poorer, which is the major reason why anti-globalization has been a strong and endless campaign around the world (activists' demonstration during G8 is meeting a good example).