companies way of thinking. In this case, profit seems to come before tradition.
There are two main arguments dealing with globalisation in terms of sociology. The
first explains globalisation as merely being a phenomenon characterized by changes
in the world economy. The second deals with globalisation being a new phase of
capitalism that transcends the unit of the nation-state.
Globalisation can suggest simple capitalism. Something that merely involves the
Western, developed world. Companies such as McDonalds and Nike pioneered the
concept, breaking down geographical barriers and setting up their business in many
different countries. This created the sense of there being a global market, a force that
was worldwide as opposed to being confined to one country only.
With regard to third world countries, Weber argues that due to globalisation,
undeveloped countries will be able to accelerate the developing process, by adopting
the ‘correct´ cultures and values. Globalisation is their main chance of developing, by
a process of adoption of the methods and philosophies on display in the Western
world.
However, other sociologists will argue globalisation is just another way for the rich,
western world to exploit the third world countries. The other negative viewpoint of
globalisation is a transitional class, which consists of the most powerful people from
the top corporations in society. He believes that the multinational companies are the
“Transitional Capitalist Companies”. They have the power and the wealth to exploit
these countries as much as they want, as the developing countries are merely
struggling to lift themselves from their own pits of depravity. This is where issues
such as labour exploitation come into the equation. A fully functioning global
company setting up business in the third world will always look to keep labour costs
down, by exploiting the under-qualified workforce, who would not know of the sort
of wages they should be asking for. They believe that globalisation will have limited
benefits for third world countries, until they cut off all ties with the Western world.
This is due to their being a feeling of dependency, by which the third world is not
developing at a natural rate, but is merely feeding off investment and interest show in
its own country. It is not using the globalisation techniques, instead the developing
world is being used by globalisation as merely a place to exploit cheap labour and
avoid certain taxes. Some areas are so keen to have corporate, global companies
establish themselves within their country that the government offers grants, subsidies
and special tax avoiding benefits, hoping to be incentives to locate there.
Therefore, two established sociological theories regarding globalisation seem to clash,
proving how much debate and controversy there is over the issue. Another theorist
argues that globalisation is setting a good example for the third world countries,
whereas the other main argument completely contradicts it, stating that the global
companies are in it for mere exploitation.
The concept of globalisation is not about society as a whole but about individual
multinationals, companies who have evolved to huge and powerful organisations.
They exploit and use people predominantly from third world countries as they choose,
and it is all simply for their own gain. Globalisation has more benefits for
multinationals than it does for undeveloped countries and its inhabitants. It allows
them to push their cultures and values deeper into society, this can be seen with the
Americanisation concept. According to some theorists, it forces undeveloped
countries to become even more dependant for aid and trade. In the long run they are
not developing naturally and their culture is being destroyed. It is common to see
huge, high rise buildings in completely deprived areas of shanty town. Therefore the
contrast of lifestyle is immense, as the rich world has literally embedded itself in the
centre of some of the poorest areas of the world. The debt which third world countries
have built up means that the Third World is in full control of the smaller countries and
such deprived countries will continue to owe them. All the while the global
philosophy of happiness and wealth in the world is being preached, despite its obvious
flaws.
There are blatant arguments for and against the use of such ruthless globalisation
techniques being used in the business world. The impact it can have on developing
countries is immense. It can create so many jobs and revamp areas dramatically, while
at the same time acting as an exploiting foreign concept, that is completely out of
touch with the traditional surroundings of its new habitat. Sociologists talk of
globalisation as being a huge world power, something that has spread quickly across
the globe, bridging gaps in world communication. People are interacting across the
world on a daily basis about business deals and opportunities and as such, a global
market has been created. Whether or not this is a positive concept is still being
debated.