Globalization provides an
overall benefit to individual economies around the world, by making markets
more efficient, increasing competition, and spreading wealth more equally
around the world.  Globalization
enables large companies to recognize economies of scale to reduce costs and
prices, which in turn supports further economic growth.  This outsourcing is key to many businesses
success, but can hurt many small businesses attempting to compete
domestically.  With increased competition from globalization,
technological innovation is being stimulated. 
By being able to streamline supply chains companies in the industry are
able to improve their own economic output by making this process more
efficient.  Foreign direct
investment tends to increase at a much greater rate that the growth in
world trade, helping boost technology transfer, industrial restructuring, and
the growth of global companies. 
Companies are able to choose their own markets, with the best growth prospects,
anywhere in the world.  This profit
motive is color-blind and doesn’t care about religion or politics, making
it all about the bottom line.  There are
drawbacks to this economic ideology.  The
benefits of globalization can be unfairly skewed towards rich nations or
individuals, creating greater inequalities and leading to potential conflicts
both nationally and internationally as a result.  Globalization also leads to interdependence
between nations, which could cause regional or global instabilities, if local
economic fluctuations end up impacting a large number of countries relying on
them.  In relation to the United States,
globalization has opened up more markets, which in turn, helps American
companies sell their products worldwide. Globalization also aids in the ability for American corporations
to sell their products outside of the country and aids in keeping the nation
“on” or “near the top” economically. 
Globalization is the key reason to why the United States has become, and
is, one of the world’s super powers.