Globalization as a Catalyst for Inclusive Growth: Evidence from Bangladesh
Main Article Content
Israt Jahan Ruma
Rajib Chandra Das*
Mahamuda Sultana
Globalization has accelerated growth in many developing economies; however, its benefits remain unevenly distributed across regions, sectors, and social groups. This study rethinks existing globalization policies by examining their effectiveness in promoting inclusive growth in Bangladesh. Using secondary data, the paper explores how trade liberalization, foreign direct investment, and global value chain integration influence income distribution, employment quality, and access to economic opportunities. The findings reveal that while globalization has contributed to macroeconomic expansion, inadequate labor protection, limited SME participation, and weak social safety nets constrain its inclusiveness. The study highlights critical policy gaps and argues for a more balanced approach that aligns openness with social protection, SME support, and institutional strengthening. The paper concludes with policy recommendations aimed at ensuring that globalization fosters equitable and sustainable growth in developing economies like Bangladesh. By proposing an integrated policy framework that connects global economic integration with targeted domestic reforms, this research provides actionable insights for policymakers seeking to reconcile economic openness with social equity in developing economies like Bangladesh.
Ahrens, J. (2011). Governance, Development, and Institutional Change in Times of Globalization. In J. Ahrens, R. Caspers, & J. Weingarth (Eds.), Good Governance in the 21st Century. Edward Elgar Publishing.
Arthur, J. B. (1994). Effects of Human Resource Systems on Manufacturing Performance and Turnover. Academy of Management Journal, 37(3), 670–687. https://doi.org/10.2307/256705
Audretsch, D. B., Lehmann, E. E., & Wright, M. (2014). Technology transfer in a global economy. The Journal of Technology Transfer, 39(3), 301–312. https://doi.org/10.1007/s10961-012-9283-6
Awuah, G. B., & Amal, M. (2011). Impact of globalization. European Business Review, 23(1), 120–132. https://doi.org/10.1108/09555341111098026
Baek, I., & Shi, Q. (2016). Impact of Economic Globalization on Income Inequality: Developed Economies vs Emerging Economies. Global Economy Journal, 16(1), 49–61. https://doi.org/10.1515/gej-2015-0047
Becker, G. S. (1994). Human Capital: a Theoretical and Empirical Analysis (3rd Edition). The University of Chicago Press.
Bitzenis, A. P., Vlachos, V. A., & Papadimitriou, P. (2012). Mergers and Acquisitions as the Pillar of Foreign Direct Investment (A. Bitzenis, V. A. Vlachos, & P. Papadimitriou (eds.)). Palgrave Macmillan US. https://doi.org/10.1057/9781137031556
Blair, M. M. (2011). An Economic Perspective on the Notion of ‘Human Capital.’ In The Oxford Handbook of Human Capital (pp. 49–70). Oxford University Press. https://doi.org/10.1093/oxfordhb/9780199532162.003.0002
Bloom, D. E. (2004). Globalization and Education: An Economic Perspective. In M. M. Suárez-Orozco & D. B. Qin-Hilliard (Eds.), Globalization: Culture and Education in the New Millennium (pp. 56–77). University of California Press.
Chai, H., & Kim, H. (2025). Korea in a Changing Global Trade Landscape. Selected Issues Papers, 2025(014), 1. https://doi.org/10.5089/9798229003384.018
Chowdhury, M. M., Ahmed, R., & Yasmin, M. (2014). Prospects and Problems of RMG Industry: A study on Bangladesh. Research Journal of Finance and Accounting (RJFA), 5(7), 103–118. https://iiste.org/Journals/index.php/RJFA/article/view/12323
Davenport, T. O. (1999). Human Capital: What It Is and Why People Invest It. Wiley.
Ehrenfeld, D. (2005). The Environmental Limits to Globalization. Conservation Biology, 19(2), 318–326. https://doi.org/10.1111/j.1523-1739.2005.000324.x
El Aynaoui, K., Ibourk, A., & Loungani, P. (2019). Making Globalization Inclusive: Job Creation and Wage Inequality in Developing Economies. Open Economies Review, 30(5), 837–840. https://doi.org/10.1007/s11079-019-09552-8
Freund, W. C., & Epstein, E. (1984). People and productivity: The New York Stock Exchange guide to financial incentives and the quality of work life. Dow Jones-Irwin.
Gözgör, G., & Can, M. (2017). Causal Linkages among the Product Diversification of Exports, Economic Globalization and Economic Growth. Review of Development Economics, 21(3), 888–908. https://doi.org/10.1111/rode.12301
Gu, X., & Dong, B. (2011). A Theory of Financial Liberalisation: Why are Developing Countries so Reluctant? The World Economy, 34(7), 1106–1123. https://doi.org/10.1111/j.1467-9701.2011.01367.x
Haque, M. Z., & Azmat, F. (2015). Corporate social responsibility, economic globalization and developing countries. Sustainability Accounting, Management and Policy Journal, 6(2), 166–189. https://doi.org/10.1108/SAMPJ-04-2014-0028
Hartmann, C. (2016). Leverage and linkage: how regionalism shapes regime dynamics in Africa. In Democratization and Competitive Authoritarianism in Africa (pp. 79–98). Springer Fachmedien Wiesbaden. https://doi.org/10.1007/978-3-658-09216-0_5
Huselid, M. A. (1995). The Impact of Human Resource Management Practices on Turnover, Productivity, and Corporate Financial Performance. Academy of Management Journal, 38(3), 635–672. https://doi.org/10.2307/256741
Ingstrup, M. B., & Christensen, P. R. (2017). Transformation of cluster specialization in the wake of globalization. Entrepreneurship & Regional Development, 29(5–6), 500–516. https://doi.org/10.1080/08985626.2017.1298679
Islam, R. (2023). Three indomitable youths become successful freelancers. Prothomalo. https://en.prothomalo.com/bangladesh/good-day-bangladesh/fau43smmtu
Jalil, M. A., Islam, M. Z., & Islam, M. A. (2020). Risks and Opportunities of Globalization: Bangladesh Perspective. Journal of Asian and African Social Science and Humanities, 6(4), 13–22. https://aarcentre.com/ojs3/index.php/jaash/article/view/216
Joshua, U., Salami, O. M., & Alola, A. A. (2020). Toward the path of economic expansion in Nigeria: The role of trade globalization. Journal of Labor and Society, 23(2), 205–220. https://doi.org/10.1111/wusa.12471
Lynn, L., & Salzman, H. (2010). The globalization of technology development: implications for U.S. skills policy. In Transforming the US Workforce (pp. 57–86). LERA Research Volume. https://doi.org/10.7282/00000110
Macduffie, J. P. (1995). Human Resource Bundles and Manufacturing Performance: Organizational Logic and Flexible Production Systems in the World Auto Industry. ILR Review, 48(2), 197–221. https://doi.org/10.1177/001979399504800201
McConnell, C. R., Brue, S. L., & Macpherson, D. A. (2009). Contemporary Labor Economics. McGraw Hill.
McLean, G. N. (2004). National Human Resource Development: What in the World Is It? Advances in Developing Human Resources, 6(3), 269–275. https://doi.org/10.1177/1523422304266086
Muhammad, A. (2011). Wealth and Deprivation: Ready-made Garments Industry in Bangladesh. Economic and Political Weekly, 46(34), 23–27. https://www.jstor.org/stable/23017787
Naarg Data Media Services. (2025). 7 Challenges of Globalization. Naarg Data Media Services. https://www.naargmedia.com/challenges-of-globalization/
Nafukho, F. M., Hairston, N., & Brooks, K. (2004). Human capital theory: implications for human resource development. Human Resource Development International, 7(4), 545–551. https://doi.org/10.1080/1367886042000299843
Nurmukhametov, N. N., Kuangalieva, T. K., Gabbasova, Z. Z., Talaspayeva, A. E., & Maslova, I. (2022). International market entry strategy industrial enterprises in the context of the globalization of the economy. Bulletin of the Karaganda University Economy Series, 107(3), 119–128. https://doi.org/10.31489/2022ec3/119-128
Pfeffer, J. (1994). Competitive Advantage Through People. California Management Review, 36(2), 9–28. https://doi.org/10.2307/41165742
Prabhakar, A. (2024). A Sustainable and Inclusive Economic Development: A Global Imperative: A Global Imperative. Journal of Recycling Economy & Sustainability Policy, 4(1), 1–16. https://respjournal.com/index.php/pub/article/view/36
Samimi, P., & Jenatabadi, H. S. (2014). Globalization and Economic Growth: Empirical Evidence on the Role of Complementarities. PLoS ONE, 9(4), e87824. https://doi.org/10.1371/journal.pone.0087824
Shamsuddoha, M. (2005). Opportunities and Challenges of Globalization for Bangladesh. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.1302294
Siddiqi, D. M. (2025). What’s happening in Bangladesh’s garment industry? Economics Observatory. https://www.economicsobservatory.com/whats-happening-in-bangladeshs-garment-industry
Sun, C., Abbas, H. S. M., Xu, X., Gillani, S., Ullah, S., & Raza, M. A. A. (2023). Role of capital investment, investment risks, and globalization in economic growth. International Journal of Finance & Economics, 28(2), 1883–1898. https://doi.org/10.1002/ijfe.2514
Swanson, R. A. (1999). The Foundations of Performance Improvement and Implications for Practice. Advances in Developing Human Resources, 1(1), 1–25. https://doi.org/10.1177/152342239900100102
Sycheva, E., Budagov, A., & Novikov, A. (2020). Urban infrastructure development in a global knowledge-based economy. SHS Web of Conferences, 74, 03013. https://doi.org/10.1051/shsconf/20207403013
Thomas, H., Smith, R. R., & Diez, F. (2013). Human Capital and Global Business Strategy. Cambridge University Press. https://doi.org/10.1017/CBO9781139519380
Tica, J., Globan, T., & Arčabić, V. (2022). Managing the impact of globalization and technology on inequality. Economic Research-Ekonomska Istraživanja, 35(1), 1035–1060. https://doi.org/10.1080/1331677X.2021.1952466
Tribune Desk. (2024). MD Sabbir Ahmed: An inspirational story of being a successful freelancer. Tribune Dhaka. https://www.dhakatribune.com/entertainment/359329/202409212252
World Bank. (2002). Publication: Globalization, Growth, and Poverty : Building an Inclusive World Economy. The World Bank. https://doi.org/10.1596/0-8213-5048-X
Zafar, A., Majeed, M. T., Nosheen, M., & Iqbal, J. (2021). Globalization, financial development, and environmental sustainability: evidence from heterogenous income groups of Asia. Environmental Science and Pollution Research, 28(36), 50430–50446. https://doi.org/10.1007/s11356-021-14152-6
Zekos, G. I. (2021). E-Globalization and Digital Economy. In Economics and Law of Artificial Intelligence (pp. 13–66). Springer International Publishing. https://doi.org/10.1007/978-3-030-64254-9_2
