In the United States today it is very easy to see the influence of international companies and customs within everyday life. From cars to food, trade and investment from other countries is very important to the American economy. Likewise, American influences are important internationally as well. This aspect of the international economy is commonly called globalization. Globalization, as defined by James N. Rosenau in his article "The Complexities and Contradictions of Globalization," simply describes the process under which norms, businesses, ideas, products, and other aspects particular to a certain country that are integrated into the everyday life of other countries around the world (Rosenau, World Politics 98/99, pp. 2). For example, one can go to Japan or England and find a McDonald’s, a popular American fast food Restaurant. Similarly, it is very common to find international products like Toyota or Mitsubishi, here in the United States.
There are many benefits to Globalization. One important aspect of Globalization is that it increases international trade, which in turn increases the flow of money through the world. Businesses become more prosperous and employment more stable. This international trade also can create the element of competition. Prices may be lowered on certain goods as a result of this. Furthermore, Globalization also increases communication between different nations throughout the world, which in turn may create allies or "friends" among other countries in times of crisis. Different nations can work together to enhance the business and general living standards of the society as a whole (Rosenau, World Politics 98/99, pp. 15-16).
However, there may be some serious downfalls to Globalization. It may be prosperous to rely on international trade and business, but it can also be dangerous. Take for example what is going on in the world in terms of economics right now. According to a recent article in the Washington Post, the world has fallen under what is being called a "global economic crisis." It started with the Asian Economic crisis, then spread to Japan and Russia. Now the United States and Europe are trying to "prevent economic slowdown" from spreading to their countries (Mufson, "Economic Crisis Adds New Fears," Washington Post Online 5 Oct). As a result of lowering boundaries to allow international trade and monetary flow many nations, such as Japan and Russia, also open themselves up to economic disaster. If one country falls to economic crisis, it could cause a domino effect on every one else. This is where the idea of Localization comes into play.
Unlike Globalization, Localization is a process that prevents the norms, businesses, ideas, products, and other aspects particular to a nation from filtrating into other nations. A nation practicing Localization also closes itself out from influences from other nations. One positive advantage to Localization is that it creates nationalism. In other words, it...