Chapter 1-Defining Globalization
Chapter 1-Defining Globalization
GLOBALIZATION
1.1 INTRODUCTION IN DEFINING
GLOBALIZATION
Globalization is the process by which the world, previously isolated
through physical and technological distance, becomes increasingly
interconnected. It is manifested by the increase in interaction between
peoples around the world that involves the sharing of ideas, cultures,
goods, services and investment.
Thomas Friedman describes the current trend as the third great wave
of globalization in human history.
Globalization has brought fear of loss of jobs and loss of income, which
are often described as the ―race to the bottom,‖ as industrialized
countries are thought to have to reduce wages to be competitive with
those in the developing world. Globalization has also spawned fears
about loss of culture
Others fear replacement of their cultures by that of
Western nations (e.g., some Islamic states). Countries
also fear the loss of national sovereignty as they
become part of supranational entitles, like the European
Union or the International Monetary Fund. And yet,
history shows that globalization has corresponded to
higher national incomes and increased opportunities.
A Historical View
• Globalization is not new. Since the start of civilization, people have traded
goods with their neighbors. As cultures advanced, they were able to travel
farther afield to trade their own goods for desirable products found elsewhere.
• The Silk Road, an ancient network of trade routes used between Europe, North
Africa, East Africa, Central Asia, South Asia, and the Far East, is an example of
early globalization
• For more than 1,500 years, Europeans traded glass and manufactured goods
for Chinese silk and spices, contributing to a global economy in which both
Europe and Asia became accustomed to goods from far away.
• The Triangular Trade network in which ships carried manufactured
goods from Europe to Africa, enslaved Africans to the Americas,
and raw materials back to Europe is another example of
globalization. The resulting spread of slavery demonstrates that
globalization can hurt people just as easily as it can connect
people.
• The rate of globalization has increased in recent years, a result of
rapid advancements in communication and transportation.
• Advances in communication enable businesses to identify
opportunities for investment.
• Improvedfiscal policies within countries and international trade
agreements between them also facilitate globalization.
• Political and economic stability facilitate globalization as well. The
relative instability of many African nations is cited by experts as one of
the reasons why Africa has not benefited from globalization as much as
countries in Asia and Latin America.
• . There is substantial debate, not only about its definition, but also about
its significance, and how it shapes our world. Most agree that
globalization rests upon, or simply is, the growth in international
exchange of goods, services, and capital, and the increasing levels of
integration that characterize economic activity.
Trade Winds
• Rapid increases in the flow of goods and services between vastly
different nations and cultures have changed what people eat, how they
dress, and even how they communicate with one another.
• Presumably you bought an item because you preferred them to other
shirts and e-book readers you might have bought, perhaps because they
had certain characteristics—style, color, perceived quality, or price—that
you favored.
• Nationsall over the world have dramatically lowered the barriers they
impose on the products of other countries.
THE HISTORY OF GLOBALIZATION IS
DRIVEN BY TECHNOLOGY,
TRANSPORTATION, AND INTERNATIONAL
COOPERATION
• Since ancient times, humans have sought distant places to settle, produce,
and exchange goods enabled by improvements in technology and
transportation.
• Following centuries of European colonization and trade activity, that first
“wave” of globalization was propelled by steamships, railroads, the
telegraph, and other breakthroughs, and also by increasing economic
cooperation among countries.
• After World War II in the mid-1940s, the United States led efforts to revive
international trade and investment under negotiated ground rules, starting a
second wave of globalization, which remains ongoing, though buffeted by
periodic downturns and mounting political scrutiny.
Theodor Horydczak
• Competition
from abroad drives US firms to improve their products.
Consumers have better products and more choices as a result.
• INNOVATION
• JOB CHURN
Defining
Globalization
What is Globalization?
• Is a global free market, cross border, policy, and cultural, stability.
• Is the increasing interaction of people, states, or countries through the
growth of the international flow of money, ideas, and culture, thus
globalization is primarily focused on economic process of integration that
has social and cultural aspects.
• Itis the interconnected of people and business across the world that
eventually lead to global, cultural, political, and economic integration.
• It is the ability to move and communicate easily with others all over
the world in order to conduct business internationally.
• It is the free movement of goods, services, and people across the
world in a seamless and integrated manner.
• It is the liberalization of countries of their impact protocols and
welcome foreign investment into sectors that are the mainstays of
its economy.
• It refers to countries acting like magnets attracting global capital by
opening up their economies to multinational corporations.
Globalization as defined by other Authors
• ―Globalization as process by which the people of the world are
incorporated in a single world society‖- Martin Albrow and Elizabeth
King
• ―Globalization as the intensification of worldwide social relations which
link distant localities in such a way that local happenings are shaped by
events occurring may miles away and vice versa‖- Anthony Giddens
(The Consequence of Modernity)
• ―Globalization as the compression of the world and the intensification of
the consciousness of the world as a whole‖ – Professor Roland
Robertson (Sociology),1992, University of Averdeen
Characteristics of Globalization
1.1 Solid
1.2 Liquid
1.3 Flows
Solid
• - Hard objects with hard surface
• -a state of matter with fixed shape and volume
• -Particles are closed-packed, so they can vibrate, but not flow
Liquid
- A liquid is a nearly incompressible fluid that conforms to the
shape of its container but retains a constant volume
independent of pressure.
- a substance that flows freely but is of constant volume, having
a consistency like that of water or oil.
Flows
• - the action or fact of moving along in a steady, continuous
stream.
• -a steady, continuous stream of something.
• - to move in a steady and continuous way often used
figuratively.
SOLIDS
As a result, people either did not go anywhere or they did not venture
very far from where they were born and raised; their social relationships
were restricted to those who were nearby. Much the same could be said
of most objects (tools, food, and so on) which tended to be used where
they were produced.
The solidity of most material manifestations of information – stone tablets,
newspapers, magazines, books, and so on – also made them at least
somewhat difficult to move very far. Furthermore, since people didn‘t move very
far, neither did information. Places were not only quite solid and immoveable,
but they tended to confront solid natural (mountains, rivers, oceans) and
humanly constructed (walls, gates) barriers that made it difficult for people and
things to exit or to enter.
It was the nation-state that was most likely to create these ―solid‖ barriers (for
example, walls [e.g. the Great Wall of China; the wall between Israel and the
West Bank], border gates and guards), and the state itself grew increasingly
solid as it resisted change.
The best example of this solidity was the erection (beginning in 1961), and
maintenance, of the Berlin Wall in order to keep East Berliners in and Western
influences out.
Once the Wall was erected, relations between West and East Berlin were
virtually frozen in place – they solidified – and there was comparatively little
movement of anything between them. The Wall, to say nothing of East
Germany and the Soviet Union, are long gone and with them many of the most
extreme forms of solidity brought into existence by the Cold War. Nonetheless,
solid structures remain – e.g., the nation-state and its border and customs
controls – and there are ever-present calls for the creation of new, and new
types, of solid structures.
Thus, solidity is far from dead in the contemporary world. It is very often the
case that demands for new forms of solidity are the result of increased fluidity.
However, a strong case can, and will, be made that it is fluidity that is more
characteristic of today‘s world, especially in terms of globalization. Of course,
people were never so solid that they were totally immobile or stuck completely
in a given place (a few people were able to escape East Berlin in spite of the
Wall and many will be able to enter the US illegally even when the fence on the
Mexican border is completed), and this was especially true of the elite members
of any society.
LIQUIDS
At an increasing rate over the last few centuries, and especially in the last
several decades, that which once seemed so solid has tended to ―melt‖ and
become increasingly liquid. Instead of thinking of people, objects, information,
and places as being like solid blocks of ice, they need to be seen as tending, in
recent years, to melt and as becoming increasingly liquid.
It is, needless to say, far more difficult to move blocks of ice than the water
that is produced when those blocks melt. Of course, to extend the metaphor,
there continue to exist blocks of ice, even glaciers (although, even these are
now literally melting), in the contemporary world that have not melted, at least
completely. Solid material realities (people, cargo, newspapers) continue to
exist, but because of a wide range of technological developments (in
transportation, communication, the Internet, and so on) they can move across
the globe far more readily. Everywhere we turn, more things, including
ourselves, are becoming increasingly liquefied.
Liquid phenomena do not easily, or for long, hold their shape. Thus, the
myriad liquid phenomena associated with globalization are hard-pressed
to maintain any particular form and, even if they acquire a form, it is likely
to change quite. Liquid phenomena fix neither space nor time.
liquid is, by definition, opposed to any kind of fixity, be it spatial or
temporal. This means that the spatial and temporal aspects of
globalization are in continuous flux. That which is liquid is forever ready
to change whatever shape (space) it might take on momentarily. Time
(however short) in a liquid world is more important than space.
FLOWS
Closely related to the idea of liquidity, and integral to it, is another key
concept in thinking about globalization, the idea of flows (Appadurai
1996); after all liquids flow easily, far more easily than solids. In fact, it is
the concept of flows that is widely used in the literature on globalization
and it is the concept that will inform a good deal of the body of this book.
Because so much of the world has ―melted‖ or is in the process of
―melting‖ and has become liquefied, globalization is increasingly
characterized by great flows of increasingly liquid phenomena of all
types, including people, objects, information, decisions, places, and so
on.
For example, foods of all sorts increasingly flow around the world,
including sushi globalized from its roots in Japan (Bestor 2005: 13–20),
Chilean produce now ubiquitous in the US market (and elsewhere)
(Goldfrank 2005: 42–53), Indian food in San Francisco (and throughout
much of the world) (Mankekar 2005: 197–214), and so on.
In many cases, the flows have become raging floods that are
increasingly less likely to be impeded by, among others, place-based
barriers of any kind, including the oceans, mountains, and especially the
borders of nation-states.
1.4 Theories of
Globalization
8 Theories of Globalization
• Globalization has also arisen because of the way that people have
mentally constructed the social world with particular symbols, language,
images and interpretation. It is the result of particular forms and
dynamics of consciousness. Patterns of production and governance are
second-order structures that derive from deeper cultural and socio-
psychological forces.
• Conversation and symbolic exchanges lead people to construct ideas of
the world, the rules for social interaction, and ways of being and
belonging in that world. Social geography is a mental experience as well
as a physical fact.
5. Theory of Postmodernism
• Biological sex is held to mold the overall social order and shape
significantly the course of history, presently globality. Women have
tended to be marginalized, silenced and violated in global
communication.
7. Theory of Transformationalism
• This theory has been expounded by David Held and his colleagues.
Accordingly, the term ‗globalization‘ reflects increased
interconnectedness in political, economic and cultural matters across the
world creating a ―shared social space‖.
1.Cultural Differentialism
• Emphasizes the fact that culture are essentially different and are only
Superficially
• affected by global flows. The interaction of cultures is deemed to
contain the potential for ―catastrophic collision.‖
• REGIONALIZATION GLOBALIZATION
• REGIONALIZATION GLOBALIZATION
Accelerates multi-culturalism by free and
• Does not support multi-culturalism. inexpensive movement of people.
• International communities are more willing to
• Regionalized communities do not
get involved in the affairs of other
come to the aid of a country stricken by a
natural disaster.
areas.
into smaller economic units and contiguous block of territory and within a set
5.Broader,
1.Hardwired 2.Cycles 3.Epoch 4.Events more recent
changes
Hardwired
• There is also the notion to suspect that this point of globalization will
soon disappear and reappear.
Epoch
• Specific events are also considered as part of the fourth view in explaining the
origin of globalization. If this case, then several points can be treated as the
start of Globalization. Gibbon(1998) for example,argued that Roman conquest
centuries before Christ are it‘s origin. In an issue of the magazine the Economist
(2006 January 12) it considered the rampage of the armies of Genghis Khan
into Fastern Europe in the thirteen century. Rosenthal (2007) gave premium to
voyages of discovery Christopher Columbus discovery of America in 1942 and
Vasco Da Gama in Cape of Good Hope in 1498 and Ferdinand Magellan‘s
completed circum navigation of the globe in 1522.
• Events - the recent years could also be regarded as the
beginnings of globalization with the reference to specific
technological advances in transportation and
communication. Some examples, include the first trans
Atlantic telephone cable(1962) the founding of the modern
interest in 1988,and the terrorist attacks on the twin towers
in New York(2001). Certainly, with this view, more and
more specific events will characterize not just the origins of
globalization but more of it‘s history.
Broader more
recent changes
1. Internal migration