How Globalization has strengthened the Hands of Businesses over Essay

How Globalization has strengthened the Hands of Businesses over Industries in Developing Nations to the Failure of Environmental Policies on Global Warming - Essay Example Globalization has set in and there is a worldwide movement towards financial, economic, communication and trade integration. There is a universal opening of local and nationalistic outlooks to broader perspectives of an interdependent and interconnected world. This has enabled free transfer of goods, capital and services across all national frontiers. Despite the immense advantages that globalization of business operations across the world has caused, there are a number of negative externalities if exercised indiscriminately. Other than having worrying impacts on economic development of some economies, globalization has created implicit, negative pressure on environmental sustainability. This work looks at the intricate relationship that globalization has in strengthening the hands of businesses over industries in developing nations to the failure of environmental policies to keep up with the challenges of global warming. Due to globalization, small firms in the developing world have broken free from the bounds of industries they fall under in their countries of origin. The neo-liberal idealism that business premises have embraced since its proposal by classical liberals like David Ricardo and Adam Smith has changed the business perspectives both in the developed and developing economies in a mega way. Since the 18th Century, long before the current state of globalization of economy, neo-liberal ideal has created a self-regulating market (Sliwa, et al., 2000). The difference between the times in the 18th Century and the 21st century is that the degree of embracing neo liberal economy by enterprise and individuals. The laissez faire markets that have been created by the aspect of economic globalization has created freelance of firms. The extent to which the industry has control over the activities of businesses under it is curtailed and limited. In the long run, there are challenges in regulation and i mplementation of policies intended to create sanity in the businesses’ operations. Before globalization took root to the extent it has presently, industries acted the same position monarchs performed in the earliest economic developments. Industries have for a long time presided over the mercantilism duty of monarchs who exercised close to complete control over the earliest economies. Whereas monarchs did this control of economies and all governance factors by amassing large quantities of gold for bellicose purposes, industries perform market regulation by instituting and implementing laws and regulations. The regulations and legal guidelines are geared towards keeping the firms operating in a particular industry in check. In the contemporary world, there is greater need for businesses to portray responsibility in the face of numerous environmental challenges. Developing countries have suffered most due to cases of global warming although they have contributed the least in cr eating the global menace. Economic growth in developing countries has incessantly become faster and the amounts of emissions make it necessary for the nations to strategize on the means of reducing emission of greenhouse gases. Using the current projections, the developing countries will contribute to over half of the greenhouse gases produced in the world if not controlled (Bergita, 2012). Despite the bleak projections, the developing countries have several strategic alternatives where benefits outweigh costs.