The puzzle of mainstream and deviant globalization

This probe examines the puzzles or challenges of globalization to developing as well as developed countries. Indeed this study is undertaken in nexus with another enquiry of the authors about the challenges confronted and strategically tackled to globally operating and expanding companies based in Pakistan. Globalization offers both opportunities and threats and embodies merits and demerits for people of the world. Mainstream globalization is recognized as acceptable or idealistic part of it, whereas deviant globalization is recognized as unacceptable or dark part of it. The investigation isqualitative in type and nature. From the extant literature, it extracts various theories and gains insights about various areas of globalization in a bid to comprehend its context and consequences in a better way. Therefore, the mode of data analysis is also literature assessment. The key findings reveal that globalization leads to both progress as well as retrogression; there are incidences when many countries have benefitted from it, whereas others have not. Ultimately, it rests on the individual countries’ governments that how wisely and effectively they react and manage the un-stoppable waves/changes in the world economy due to globalization. The bottom line is, the solution to the dilemma lies in gloco-localization, whereas the forces and institutions promoting globalization (like United Nations, World Trade Organization, World Bank, and International Monetary Fund) devise the policies to derive global economy by keeping in view the local values and concerns of independent states.


Introduction
Globalization is the integration and interdependence of the economies, and offers the leverages of free flow of trade, investment, finance, technology, and people around the world (International Business Review -Volume 9 Number 2 July -December 2014

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• What are the different meanings of globalization in various contexts (like trade liberalization and international regulations)? • Is it equally beneficial for developed and developing countries?
• What are the positive and negative aspects of globalization (so-called mainstream and deviant globalization)? • What are ways out to subside or eradicate the problems associated with globalization?

Research Design and Data Collection
The probe involves qualitative research paradigm to deliberate various crucial dynamics of globalization and to look at individual cases of many countries. It involves literature survey and examination of qualitative as well as quantitative investigations undertaken in this matrix.

Justification and Significance of the Study
This study endeavors to analyze various perspectives of globalization like its positive and negative aspects in an attempt to reach at workable solutions for the developed as well as developing countries, which may aid toward reducing the worries toward this realm and exploiting full potential of an integrated global economy.

Literature Review (Globalization, Development, and Trade Liberalization)
Globalization embodies many facets inclusive of development and trade liberalization among developed and developing nations; however it also incorporates negative development. Globalization is the integration of economic activities across borders for value addition (Gilman et al., 2011). The essential ingredients of economic transactions consist of goods, services, ideas, people, and money or capital, all of which get integrated. Indeed, globalization is the integration of socio-economic activities across borders, because when men civilized and socialized, they traveled around the globe; they sometimes fought with each other, or made friendships. The economic interests of men in terms of trade, investment, or will to capturing others' resources coupled with social interests of making companionship, love, and marriages dominated, and led the way to globalization. Another author, Sklair (2000 as cited by Jeffus, 2003) defined the term globalization from three dimensions. The first is that internationalization and globalization are used interchangeably. The second is the integration of global economy through various forces and institutions, which spurs congenial relations among nations for trade, finance, development, mobility of people, and cultural exchanges. The third is the state-less (or border-less) global community. This is also termed as hyper-globalization.
The act of globalization evolved when human beings descended from one region to another region of the world in search of food, water, and to discover the world. In this way, civilizations, culture, languages, knowledge, and skills were also transformed. With respect to business, historically, when the business of many firms grew substantially in domestic markets, they strived to extend their outreach in overseas markets. In the 1 st century BC, Indian merchants traded and exchanged spices and other goods with Roman Empire and Babylon (Larsen, 1983;Young, 2001).In this way, trade across borders took place. The chief mode of transport was vessels carried in oceans. People of different countries started communicating and socializing with each others. In this way cultural exchange took place. The industrial revolution evolved in Europe and America in 18 and 19 th centuries, which upheld mass production and in order to ensure sales, the philosophy of the then managers was Another essential aspect of globalization is corporate globalization, which is rise of globally operating and expanding companies in all parts of the world. Many perceive it as corporatization and global dominance by global or intercontinental companies (Jeffus, 2003). However, corporate globalization is not that much simple, it exposes a firm to concealed risks, uncertainties, volatile markets, strange foreign laws and regulations, and stern rivalry among domestic cum global businesses (Qureshi, 2014;Li, Qiu, and Wan, 2011). On the other hand, many successful intercontinental companies are conglomerates and bigger and stronger than even many individual states. According to Trivett (2011), if Walmart were a company, it would have been bigger than 157 countries of the world. It was ranked as the number one company in the world at one time having revenue worth US$$421.89. The number second company, Exxon Mobil was also bigger than many countries and enjoyed annual revenue for US$354.67. Indeed they are states within the states (Qureshi, 2014). The extant literature contains many cases of corporate mis-governance and ethical challenges by such intercontinental companies. However, many of them responsibly perform their operations (Ibid, 2014).
Along with globalization, there emerged development. All of the sectors of an economy were gradually developed. Education, health, infrastructure, industries, trade, media and so forth, these all the sectors kept advancing in terms of modern technology and wide spread knowledge. People around the globe became more aware of the natural phenomenon and developments around the planet. People from small or poor countries to big or rich countries enjoyed the opportunities to obtain the highest level of education. Health facilities were enhanced. Inventions in healthcare enlarged human life and cushioned against many detrimental and even fatal diseases. Simultaneous development in all spheres of life took people out of dark ages. With the advent of television, freedom of media, and later on internet compressed the world into a small village. Through TV, people learn about developments around the globe, and through internet, they come into contact with friends, relatives, academia, business counterparts, and even strangers some times. Some typical examples regarding development of various sectors particularly in the third world countries can be witnessed from the facts that development in the education domain has resulted in international syllabus, actually many education institutions refer curriculum of advanced countries. From primary and secondary school education, special people to adult literacy programs, trade/diploma institutions to higher education, and research at universities level, all comply with national or international standards during designing curricula. The books referred in universities are taught around the world. The renowned pedagogies or methods of https://ir.iba.edu.pk/businessreview/vol9/iss2/8 DOI: https://doi.org/10. 54784/1990-6587.1274 teaching are adopted particularly in universities, like books, case studies, video cases, multimedia aid, computers aid, simulation techniques, role playing, group discussions, projects, research, presentations, and so forth. Thanks to America, England, and developed nations, as many of the renowned books, research articles, slides of particular subjects or even books, and a lot of reading stuff is available on the internet for free, but not all such stuff is free. The similar trends are found around the planet. Another example of development and modernization is in the domain of health, as highly advanced and contemporary medicaments are available all around the world, which not only subside or remove various ailments but enhance human life. Likewise, health equipments and instruments in hospitals, and state-ofthe-art technology based pharmaceutical and healthcare plants and machinery are found in all corners of the world. Some examples of the bright side of development consist of inventions like X-Rays to MRI technologies, developments in cardiac surgeries to HIV/AIDS drugs, inventions like the internet that revolutionized the world, etc.
Over the last century, trade liberalization has been nurtured many folds and chiefly upheld by World Trade Organization (WTO). It has made it mandatory for its member states or signatories to abolish import quotas, tariff and non-tariff barriers, entry barriers, and other obstructions in the way of global business. WTO offers many agreements, few of the most significant ones include these covenants (World Trade Organization, 2014;Dasanayaka, 2011): the most favorite nation (MFN) status clause stipulates member countries to provide a non-discriminatory status to all the members of WTO, which means there should be no quotas or quantitative restrictions of import of goods and services, tariffs brought down to certain limits, no discriminatory policies for grant of licenses for business to overseas companies, offering subsidies to local producers, and discouraging dumping of goods and services. National treatment stipulation/clause implies equal treatment to domestically produced/manufactured goods and services, and the imported ones. It means there should be no protective measures for domestic products in terms of bar on entry of foreign firms, their licensing, bar on establishing subsidies, and so forth.WTO assists in internationalization of production facilities, marketing, and distribution networks through various agreements, such as Trade Related Intellectual Property Rights (TRIPS) to protect the trademarks of goods and services, or company names, copy rights on artistic products like designs of products, designs on packing and labeling of products, any published work, or audio and video works, and patents on inventions or innovative products; Trade Related Investment Measures (TRIMS) to protect investment of companies in the global arena that safeguards them from any anti foreign investment policy of a country; and Agreement on Technical Barriers to Trade (TBT), which ensures that technical standards, such as testing and certification procedures for various products do not create any redundant obstacles in multilateral trade. One perfect example of this is, when Pakistani cement manufacturers export their cement to India, at the Indian border, the customs authorities delay in getting the goods cleared as they demand testing and quality certifications issued by Indian authorities (Federation of Pakistan Chambers of Commerce and Industry, 2014). The ultimate aim of WTO is to encourage firms from all continents to go global to unleash their potential and tap the unending opportunities, which are up for grabs for everyone, and especially the developing countries should come ahead to hold them, avoid trade restrictions, quotas, and business barriers, and capitalize their low-cost offerings. A great majority of countries of the world have become members of WTO and their political systems or global political economy has also endorsed the agenda of globalization. They have turned to market economies or mixed economies, deregulations, and privatization. The most of goods and services is produced and distributed either by the private sector only https://ir.iba.edu.pk/businessreview/vol9/iss2/8 DOI: https://doi.org/10. 54784/1990-6587.1274 (as in market economies), or by the both sectors, public and private (as in mixed economies), while governments impose almost no obstructions on production, pricing, and distribution of goods and services.

The Bright and Dark Sides of Globalization
Many institutions and members of the civil society foresee globalization (and pertinent domains like trade liberalization and international laws) as an assault on their native languages, values, traditions, overall culture, religious rituals and values, and ultimately loss of their national identification. English has become an international language. Chinese foods and fast food like burgers and sandwiches have become multi-local foods. Jeans paints and shirts have become global dressing. Songs in pop music, sung in any language attract the music fans. A variety of dances are merged together in free dancing. A famous physical game, 'Kabadi' played in India and Pakistan became an international game. Due to rise in popularity of Indian films, Indian language Hindi (that resembles with Urdu language in speaking form), and Indian culture is getting famous. One can cite hundreds of examples like that. Some other serious concerns of globalization include dominance by multinational and intercontinental companies (in every country) resulting in weakening local industries, loss of income and jobs i.e. unemployment, (Jeffus, 2003), closure of sick units surge in crimes to remove hunger and other reasons, exploitation of the poor (Gilman et al., 2011), increment in pollution, menace to ecological system, overall crippling socio-economic systems, and losing national identification. Many institutions and people belonging to various forums entertain these trends quite negatively, however the others defend that the merits of globalization outweighs these costs.
Globalization and international trade don't take place with altogether fair trade practices, but it also involves unfair trade practices. Some examples include smuggling i.e. illicit import, export; infringement of intellectual property rights including trademarks, copyrights, and patents; corruption and mal-practices in awarding tenders and international contracts; dumping of goods i.e. selling them below the cost in order to degenerate competition and dispose of the surplus goods; monopolies and cartels to dominate the market or for profiteering through over-pricing; hoarding of commodities and goods; unethical competition, counterfeit and substandard or poor quality products, use of marketing gimmicks, inclusive of hidden terms and conditions about promotional schemes, unentertained warranty and guaranty claims; and misleading advertisements; infiltrationi.e. selling products into unauthorized territories by distributors, dealers, or sales-force; selling smuggled or duty-stolen products into grey markets; exploitation of consumers and violation of consumer rights and laws; e-frauds and cyber crimes; corporate espionage and malpractices; creation of trade barriers by some countries for others i.e. committing discrimination against others by generating tariff and non-tariff hurdles, such as cumbersome requirements for quality testing and other certifications; and so forth. Eventually the big sufferers from all such unfair international trade practices are less developed countries and transition economies. Another essential but negative dimension of globalization is about the developed countries' (DCs) priority to regionalism or internationalism(i.e. offering favorable treatment to their friendly countries and discriminating others) instead of multilateral trade with every country under the doctrine of globalization. This is labeled as paradigm shift. The incidences of unfair trade practices and the criminal activities for money led to the birth of a new term called criminal (black or underground) global economy. Unfortunately, the https://ir.iba.edu.pk/businessreview/vol9/iss2/8 DOI: https://doi.org/10. 54784/1990-6587.1274 members of criminal international or global economy leverage the same global supply chain and free trade facilities that proponents of mainstream globalization do.
Along with the positive aspects of globalization, the globalization has also expedited the nurture of a giant international criminal economy, leveraged by technology and illicit finances. The global supply chain of the black economy is estimated to be around $2 to $3 trillion, growing at the rate of seven times than the legitimate trade (Gilman et al., 2011).But eventually, we all enjoy and celebrate the extra ordinary developments and accomplishments of globalization, like offering tribute to Google entrepreneurs, Sergey Brin and Larry Page, and inventors of Twitter, Face-book, flying cars, smart phones, cardio surgeries, MRI, HIV/AIDS drugs, and so forth, which tend to globally accessible.

as cited by Jeffus, 2003])
There are unending discourses on the domain of globalization. Various authors have posited their views in favor of or against globalization. Its positive aspects include: foundation of an integrated global economy, interdependence of countries for trade, investment, finance, and technology. It supports the free flow of many products, standardization, good business practices, and promoting formal economy. Eventually, it leads https://ir.iba.edu.pk/businessreview/vol9/iss2/8 DOI: https://doi.org/10. 54784/1990-6587.1274 to globalization of: markets, financial systems, technologies, companies, [production, marketing, supply chains, value chains, and brands], customers, culture, and community (i.e. global community). The wave of globalization is hard to stop because there is fast growth in global marketplace, global customers and consumers, global culture, global media, and global community. People of the world are coming closer through this and are integrating in all aspects of development. With the advent of the internet, the distances among countries have been dramatically shrunk. Indeed globalization is the product or result of corporate globalization. When large companies extended their businesses beyond borders, they wished to have a trade or other barriers' free global market. Renowned economists like Adam Smith also advocated the benefits of free trade among countries in 18 th century; it all paved the way to the foundation of movement for globalization -the integrated global economy (Hill, 2005;2006).Its negative aspects include: developing countries have been facing the problem of assault of cheap imports by developed countries (Anjum, 2011;Anjum, 2006a;Anjum, 2005c), while the developed countries think the opposite (European Commission, 2005). Either (1998, as cited by Anjum, 2011) noticed the rise of 'regionalism,' which exhibits deviation from multilateral trade under globalization, since the champions of globalization were themselves focused toward regionalism. It led to the notions of internationalization to regionalization, and to globalization. Former vice president cum chief economist of World Bank and the noble prize laurite, Joseph Stiglitz documented in his book about west-driven agenda of globalization that advanced industrial countries declined to allow free market access to developing countries, kept subsidizing their agricultural produce to avoid cheap import from them, and even keep insisting them to eliminate any trade barriers and subsidies on capital goods (Anjum, 2011;Stiglitz, 2002 as cited by Zaidi, 2005). Stiglitz (2002 as cited by Zaidi, 2005) conceived globalization as a 'predatory globalization' or a system designed in favor of advanced high-tech countries in a bid to exploit the poor countries. They are caught in the vicious debt circle of IMF and WB, their economies can be under the tutelage of them, and will lose their sovereignty. For instance, Pakistan has been receiving dictations from IMF and WB to bring reforms by adding up more taxes, raising electricity charges and prices of various goods and services. Instead of working together to bring institutional reforms, good governance, and transparency, only focusing on the means to escalate tax revenues to assure prompt repayment of debt installment is an abuse of an already crippling economy. Anjum (2011) terms it as a capitalists' debt trap and strategic slavery of the poor countries. He further adds that it's like debt cancer and Accumulated International Debt Syndrome (AIDS). That's why he posits that 'globalization is a global campaign to establish capitalists' regime to trap the poor for temptation of free trade and debt from global lending entities, imposing rules, standardization, and compliance, and dominating them altogether. The authors Vargas-Hernandez and Noruzi (2009) assess globalization as the dark spot spreading fast in the global economy, creating wide-spread inequalities among countries and social classes, and is posing the challenges of losing national identity and security. They posit that it was discovered in the year 2002 that 500 largest corporations of the world drive the global economy, which belong to G-7 group (the group of world's most affluent countries), and then thirty seven thousand largest intercontinental companies do, which again belong to G-7. They cite a survey of Forbes in the year 2000 that the share of the world's largest intercontinental companies is in favor of USA, Europe, and Japan, as they hold approximately 50%, 30% and 10% respectively. However, the individual annual revenue of many of these companies is greater than the individual GDP of many smaller states. The authors Gilman et al. (2011) perfectly elaborated multi-faceted dimensions/aspects of mainstream and deviant globalization. Along with the obvious and well-accepted benefits of mainstream https://ir.iba.edu.pk/businessreview/vol9/iss2/8 DOI: https://doi.org/10. 54784/1990-6587.1274 globalization, there is a dark or deviant side of it as well, which is unacceptable, as there is an emergence of criminal global economy, which employs the same channels of globalization. For instance, global criminal rackets trade in illegal products and through illicit means and ways (like smuggling i.e. illegal imports, exports); do money laundering for investing and financing in criminal activities (while corrupt politician and bureaucrats also do money laundering); and use state-of-the-art technology in their crimes. Such technology includes hacking computers' databases, surveillance tools, latest weapons, skilled manpower, and so forth.
The issues related with deviant globalization seem unending. They require intervention of public-private sectors (including social sector), international institutions, and particularly laws-making institutions to resolve them. National and intercontinental companies on the other hand can enhance endeavors to gather more market intelligence to get acquaintance on their products' counterfeit versions, infringement of their intellectual property rights, infiltration of their products, selling them in grey markets, unfair competition, and so on. Such intelligence could be used to seek legitimate solutions/remedies. Another solution to the challenges of globalization lies in 'glocalization' or integration of global and local values and concerns. European Commission (2005) has applied the terms 'micro and macro localization,' which means globalization or globally adopting a local value and localization or locally adopting a global value. This is the only way out since it encourages global economic integration for the sake of free trade, investment flows, finance, technology sharing, and overall development, while it also respects the indigenous civilizations, cultures (values, norms, rites, rituals, etc.), languages, religions, history, and other concerns. When foreign companies enter a country for business, they not only earn profit, which they can repatriate back to their countries of origin, but they generate jobs and income for their employees, as well as goods and service-providing intermediary industries, generate tax revenues for the host government, and bring their technology and skills to polish the local staff. Indeed, they generate income from their own resources, expertise, and experience; otherwise nothing would have been changed in the host country. The rich and poor countries, but especially the poor ones should take initiatives to energize and develop their micro, small and medium-size enterprises (SMEs) and large-scale industries and companies on sustainable basis. In addition, they have to monitor and control any irregularities, mal-practices, and crimes by domestic cum foreign-based business entities, which calls for transparent and goodgovernance systems by their watch dogs. World Trade Organization (WTO), the leading global body to nourish free trade and globalization safeguards the interests of countries through international dispute settlement mechanism for trade and investment disputes, and providing the right to member countries that they can safeguard their developing industries by imposing restrictions on import of certain products up to a specified time frame. The bottom line is, in practice, even exercising globalization isn't easy, because the powerful has always been dominating the weak. Global institutions like UN, IMF, WB, and WTO have always remained under the influence and directives of the rich and developed countries. With the true spirit of glocalization, the fear of Westernization and Americanization can be ended.
Another argument about globalization, trade liberalization, and international regulations is that it is the global dominance of powerful elite class and corporate global dominance or worldwide dominance by intercontinental companies. The forces of WTO and affiliated entities that flourish globalization have been devising stringent laws and practices like standardization and certification for quality enhancement, process improvement, hygiene, and environmental protection related technical barriers to trade, so that the role of majority of https: //ir.iba.edu.pk/businessreview/vol9/iss2/8 DOI: https://doi.org/10.54784/1990//ir.iba.edu.pk/businessreview/vol9/iss2/8 DOI: https://doi.org/10.54784/ -6587.1274 developing countries remains limited to export of cheap primary goods and cheap labor supplier only. They cannot compete with the advanced/developed countries in resources and technology, value addition, advertising, and branding .This is true in case they cannot cope up with such barricades that have positive aspects too, such as assuring quality and safety of products, environment, and consumers. But the counter argument is that the many developing countries have encountered such menaces very well. The examples include Asian and European countries like China, Hong Kong, Taiwan, South Korea, Malaysia, India, Turkey, Holland, Sweden, Finland, Norway, and Denmark. They just need to pay attention to education, good governance, value addition and branding, research and development (R&D), and patent registration, which can enable them to seek financers, angel investors, and venture capital companies to commercialize their products and turn them as loyal brands. These people can study even in the domestic or international best schools and universities by winning scholarships. They can serve outside their country which is termed as brain drain, but they can serve their countries by staying in or out of them. There is a well-known example of Baidu, the Chinese Google. Two Chinese students studied in United States and came across with a superb idea of launching Chinese Google search engine, since a vast majority of people in China have lack of awareness or fluency of English, and they would prefer to do internet searching in Chinese language. Their idea clicked and their business grew many folds and escalated its range of products. Then they determined to go global by floating their shares i.e. initial public offering (IPO) from US. The present worth of their company stands US$50 billion (Google, 2014).

Conclusion and Recommendations
This section concludes the research work and offers recommendations for the policy makers, global community and especially developing countries.

Conclusion
The waves of globalization tend to be unstoppable. In addition to its merits of socioeconomic integration for the sake of enhancing free and fair trade, investment, finances, inflows of human resources, and easy mobility of people around the world, its demerits include exploitation of the poor and under-developed to developing countries and emergence of global criminal economy. The transnational criminal gangs (engaged in sell of contraband, counterfeit, sub-standard, and grey market products for example) also employ the same channels of supply chain that global companies and businesses do. Even then, there are incidences of prosperity and development through globalization and trade liberalization among many countries such as, China, Hong Kong, Taiwan, South Korea, Malaysia, Indonesia, Thailand, India, Turkey, and many others. Pakistan is also gradually tapping the underlying opportunities in the era of globalization. But this is not the case with all the countries.
Globalization, trade liberalization, and international regulations are also perceived as global dominance of powerful elite class and corporate global dominance. World has witnessed emergence of many intercontinental companies that dominate the world and tend to be bigger and stronger than many individual states. The forces of WTO and affiliated entities advocating globalization have been preparing and enforcingstern legitimate conditions like standardization and certification for quality and safety assurance. These practices pertain to technical barriers to trade with the purpose to limit the role of majority of developing countries to export of cheap primary goods and cheap labor supplier only. But the counter https://ir.iba.edu.pk/businessreview/vol9/iss2/8 DOI: https://doi.org/10. 54784/1990-6587.1274 argument is that many developing countries in Asia and Europe have encountered such menaces very well. They require improvements in their educational system and overall good governance, and support inventions, innovations, and patent registration, which can enable them to seek financers around the world to commercialize their products and develop their brands.
Along with globalization, trends of regionalism are also observed among friendly countries such as many countries of Europe, North America, and Asia.
The solution of the puzzle regarding mainstream and deviant globalization lies in gloco-localization, where global forces, institutions, and developed countries execute polices at macro-economic level but do entertain the issues of individual countries at micro-level. For instance, they have the right to limit or restrain import of many goods and services up to a determinate period in order to safeguard their domestic industries. Their governments can seek financial and technical assistance of the national and international agencies to uphold standardization and certification of their products and processes. They can learn from the worldwide sources about value addition and branding to enjoy high value for their products. They can obtain technology from different companies and countries, and can spur their domestic industries, technologists, and scientist to invent, innovate, and patent their products and processes.

Recommendations
• In an attempt to wisely tackle the challenges of globalization, especially the resource-less or poor countries have to formulate and execute effective policies. For instance, they ought to design the contracts to work with international companies to explore minerals from their country along with processing facilities. Otherwise, it tends to be difficult about the right valuation of the minerals extracted. Like India and many Arab countries, they should enter into agreements with them that they must have to offer some stake or share in the venture to some domestic player, who can monitor the process and eventually learn the technology, skills, and expertise. • All the estates particularly the poor countries should endeavor to cope up with the hardcore troubles of transnational criminal rackets running the global black/under-ground economy. This task seems utmost cumbersome but can be done by seeking technological assistance from their trade partnering countries, especially the advanced ones. • Under-developed and developing countries need to enforce a mechanism of good governance cum transparency and prioritize education, inventions, innovations, strategic partnerships/collaborations for technological development, patent registration, value addition and branding. • Global forces, institutions, and developed countries should concentrate toward glocolocalization and execute polices at macro-economic level but do entertain the issues of individual countries at micro-level. They should enforce a mechanism to protect intellectual property rights, but make sure that elite class of the world does not exploit the poor through patents by pricing their products twenty to hundred times costlier than their actual cost. They should investigate the factual cost of their research and development (R&D), as many of them can exaggerate their cost and outgoings.