What are challenges has globalisation posted for small producers and workers?
Answers
The impact of globalisation on workers and small producers in India is as follows:
(i) Small-scale producers have been adversely affected by globalisation because they are not able to compete with MNCs or other big producers.
(ii) These small-scale producers could not keep their cost of production low and hence, they lost their markets.
(iii) Globalisation and the pressure of competition significantly impacted the lives of workers in India. The producers could not sell their commodities at competitive prices and had to lessen production.
(iv) Since the quality and cost of raw materials could not be diminished, exporters tried to lessen their expenditure on labour. Many workers lost their jobs due to this.
(v) Workers were only employed on a temporary basis as opposed to employing them permanently. They were also paid low wages and had to work for long hours on a regular basis without getting any employment benefits.
Concept introduction:
The word "globalization" is used to describe how commerce and technology have increased connectivity and interdependence around the world. The resulting economic and societal developments are also included in the scope of globalization.
Explanation:
Given that, globalization posted challenges for small producers and workers.
We have to find, challenges that globalization has posted for small producers and workers.
According to the question,
Challenges of globalization:
- It may cause wealth disparities between different nations to increase.
- In MNCs, worker positions are no longer guaranteed.
- It caused the unorganized sector to grow. Due to fierce competition, small producers have been particularly heavily hurt.
Final Answer:
Challenges of globalization have increased competition hence small producers and workers are facing many challenges.
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