Negative effects

There are many negative effects to globalisation. Not only to developing countries, but also to developed countries. Many companies have outsourced jobs to developing countries. They do this because they can find cheaper labour than in their own countries. This means that many people in developed countries are losing their jobs. This also means that there are more people without jobs and fewer jobs in developed countries. This leads to competition in jobs and reduced wages which leads to a poorer standard of living.

In developing countries, globalization has led to exploitation of labour. Prisoners and child workers are used to work in inhumane conditions. Safety standards are ignored to produce cheap goods. This leads to many people being over worked, this has a negative effect on their health and they are not getting paid very much at all. Local businesses aren’t able to compete with large multinational businesses that have come into their country. This means that there are fewer jobs available apart from working in sweat shops.

Overall the main negative effects are that there is a big impact on developing nation’s health and culture. There isn’t much economic benefit either, the rich get richer and the poor get poorer.