Submitted by Erica Watson on the 2018 winter session program in Vietnam and Cambodia sponsored by the Alfred Lerner College of Business and Economics…
The idea of globalization is to create a worldwide economy where resources and products can move freely across borders. This concept is something taught in the classroom, but not always easily seen in America. I learned more about globalization through the two finance courses I took during my winter study abroad program. Our professor challenged us to actively find examples of globalization as we traveled across southeast Asia. It was very interesting to see it from another perspective, outside my home country. For instance, as we arrived in Cambodia, I noticed several American chain restaurants. It was strange to see a Dairy Queen and Krispy Kreme Doughnut Shop in practically a third world country.
During our program, we visited an American medical equipment company, Medovations, that had recently opened a factory in Vietnam. This was a prime example of companies globalizing to stay competitive in the market. It made me think about how globalization is both helping and hurting the U.S. economy. Medovations and other American companies in Vietnam exploit cheaper production costs in developing countries rather than in the United States. I think companies like this are most beneficial to Vietnam because the foreign investment helps grow their economy and create opportunities for their citizens. This also benefits the United States because we are provided quality medical equipment at a much cheaper price than if it were produced in the United States. On the other hand, by moving a production facility to Vietnam, the company has taken some jobs away from American citizens. In general, visiting this business was very interesting and I learned a lot on the topic. It really showed me how globalizing can be so impactful for developing countries. The visit gave me a better understanding on conducting business globally and reminded me to think from the position of other countries other than just my own.