MINISTRY OF EDUCATION AND TRAINING

THUONG MAI UNIVERSITY

FACULTY OF INFORMATION SYSTEMS AND E-COMMERCE

ENGLISH FOR SPECIFIC PURPOSES 2

TOPIC: GLOCALIZATION

Mentor lecturer: Master Bui Thi Thu Trang

Group: 2
Class section: 232_ENTI1012_46

Ha Noi, 2024
 TABLE OF CONTENTS
1. Introduction about globalization ...................................................................... 1
1.1. Definition of globalization .......................................................................... 1
1.2. Advantages of globalization........................................................................ 1
1.3. Disadvantages of globalization ................................................................... 2
2. Introduction about glocalization ...................................................................... 4
2.1. Definition of glocalization .......................................................................... 4
2.2. Aspects of glocalization .............................................................................. 4
3. Example about glocalization ............................................................................. 5
4. Advantages of glocalization .............................................................................. 6
5. Disadvantages of glocalization .......................................................................... 9
6. Conclusion ........................................................................................................ 10
 MISION
Mision Name No Position
Part 1.1, 1.2 Nguyễn Anh Đức 11 Member
Part 1.3 Trần Thị Thanh Duyên 10 Member
Part 2 Nguyễn Thị Bích Hạ 12 Member
Part 3 Đinh Ngọc Diệp 9 Member
Part 4 Nguyễn Hoàng Linh Chi 7 Member
Part 5, 6 Word Nguyễn Thị Chi 8 Leader
1. Introduction about globalization
1.1. Definition of globalization
Globalization is the process of increased interconnectedness and
interdependence among countries, economies, cultures, and societies worldwide. It
involves the exchange of goods, services, information, and ideas across national
borders, facilitated by advancements in technology, communication, and
transportation.
1.2. Advantages of globalization
Globalization, the intricate process of interconnectedness across borders,
emerges as a transformative force shaping the modern world. While debates persist
on its overall impact, there are five standout advantages that underscore its potential
to foster progress, collaboration, and unity on a global scale.
1.2.1. Economic Growth and Prosperity
At the forefront of globalization's triumphs is its undeniable role in stimulating
economic growth and prosperity. The expansion of markets beyond national
boundaries enables businesses to tap into a vast array of consumers. This, in turn,
drives increased production, job creation, and revenue generation. Foreign Direct
Investment (FDI) becomes a catalyst for economic development, bringing about
improved infrastructure and heightened economic dynamism.
1.2.2. Access to New Ideas and Technologies
Globalization acts as a conduit for the seamless transfer of ideas and
technologies across borders. Nations are no longer isolated in their technological
endeavors; instead, they participate in a collective global effort. This facilitates the
adoption of cutting-edge innovations, propelling advancements in science, medicine,
and industry. The collaborative nature of globalization transforms the world into a
shared laboratory for progress.
1.2.3. Cultural Exchange and Diversity
Cultural exchange flourishes in the interconnected world of globalization,
contributing to a vibrant tapestry of global cultures. The melding of traditions, art
forms, and perspectives leads to a richer, more diverse global culture. Importantly,

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this cultural exchange fosters understanding and tolerance, nurturing a global society
where diversity is celebrated rather than feared.
1.2.4. Improvements in Education and Knowledge Sharing
Education becomes a global endeavor in the age of globalization. The
accessibility of educational resources and the ease of collaboration among institutions
worldwide create unprecedented opportunities for learning. Students and researchers
benefit from a global knowledge network, accelerating the pace of discovery and
innovation. The exchange of ideas becomes borderless, transcending geographical
constraints.
1.2.5. Environmental Collaboration
The global challenges posed by environmental issues find a unified response in
the collaborative spirit of globalization. Countries come together to negotiate and
implement international agreements addressing climate change, biodiversity loss, and
other environmental concerns. Shared solutions emerge, emphasizing the need for
collective responsibility in safeguarding the planet.
1.3. Disadvantages of globalization
Globalization has been the subject of heated controversy in recent years, with
detractors pointing to its harmful effects on economies, society, and cultures
throughout the globe. Although globalization has excellent benefits, it has substantial
drawbacks that cannot be overlooked.
1.3.1. Economic Inequality
Globalization can exacerbate economic inequality both within and between
countries. Some regions and individuals experience significant gains from increased
trade, investment, and economic integration, while others are left behind. This uneven
distribution of benefits can exacerbate existing economic disparities within countries,
as those with greater access to resources and opportunities are better positioned to
capitalize on globalization.
Additionally, globalization can widen the gap between developed and
developing countries, as the latter may struggle to compete in the global market and
face challenges in achieving sustainable development. Consequently, economic

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inequality perpetuated by globalization undermines social cohesion and poses
challenges to achieving inclusive and equitable economic growth.
1.3.2. Increased competition
Increased competition is a significant downside of globalization, particularly for
smaller businesses and local industries. As multinational corporations expand into
new markets, they often wield considerable resources and enjoy economies of scale
that smaller enterprises cannot match. This competitive landscape can lead to various
challenges, including job losses as companies strive to cut costs to stay competitive.
Besides, globalization can create an uneven playing field due to differences in
regulations, labor standards, and tax regimes across countries. This disparity can
further disadvantage smaller players who may struggle to comply with varying
requirements.
1.3.3. Job displacement
Globalization can lead to the outsourcing of jobs to countries with lower labor
costs, resulting in unemployment or underemployment in higher-cost countries. This
practice results in job losses or reduced employment opportunities in higher-cost
countries, contributing to unemployment or underemployment. Workers face the
challenge of finding alternative employment or may be forced to accept lower-paying
jobs, leading to economic hardship for affected individuals and their families.
Moreover, the impact of job displacement extends beyond the immediate loss
of income, as it can also erode job security and negatively affect overall job market
dynamics in higher-cost countries.
1.3.4. Loss of cultural diversity
As global markets become more integrated, local cultures and traditions are
often replaced by homogenous global trends. This can lead to a loss of unique cultural
practices and a sense of identity for communities worldwide.
Globalization, particularly through mass media, multinational corporations, and
the spread of Western cultural values, has contributed to the standardization of
cultural products and consumption patterns worldwide. This standardization can
diminish the unique cultural identities and expressions of various communities,
leading to a loss of diversity in cultural practices, languages, and beliefs.

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 1.3.5. Environmental Concerns
Increased globalization has been linked to various environmental challenges,
many of which pose significant threats to our planet. Among these challenges are
deforestation and the loss of biodiversity, driven by economic specialization and
extensive infrastructure development. Additionally, the surge in global trade has led
to heightened greenhouse gas emissions and other forms of pollution caused by
increased transportation of goods. Another consequence is the inadvertent
introduction of potentially invasive species into new environments, disrupting
ecosystems and biodiversity.
While such issues are governed by existing or proposed laws and regulations,
businesses have made environmental concerns and sustainability a priority by, for
example, embracing the tenets of the triple bottom line and the idea of corporate social
responsibility.
2. Introduction about glocalization
2.1. Definition of glocalization
Today, global connectivity is increasing along with the importance of local
culture and identity. Globalization is a portmanteau of “globalization” and
“localization”. It describes a global strategy and at the same time responsive to local
conditions. Where “globalization” refers to the unification of different aspects of life
globally driven by factors such as technology, trade, and cultural exchange.
“localization” emphasizes the importance of local conditions, including unique
preferences, needs, and cultures.
2.2. Aspects of glocalization
Glocalization manifests itself in many different ways in many different aspects
of our lives:
Business: Companies can develop global products, but then localize features
like language, software functionality, or even marketing campaigns to suit specific
regional preferences. For example, Google translates its website into many different
languages and provides local services such as Google Maps and Google News.
McDonald's, this fast-food chain is available worldwide, but their menu is adjusted

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to suit local tastes. For example, McDonald's in Vietnam has chicken pho, while
McDonald's in India has McAloo Tikki Burger.
Culture: Global media allows for the dissemination of shared cultural
experiences, but local music, arts, and traditions continue to thrive, creating a unique
fusion of global culture. demand and local culture. For example, local music
combined with modern musical instruments, or traditional dishes with international
variations.
Political: Solving global problems such as climate change requires international
cooperation. However, local communities still face unique challenges that require
governments to come up with solutions that are appropriate to their country's
conditions and culture.
Technology: Technological advances such as the internet connect the world, but
concerns about data privacy arise, requiring each country to have its own regulations
and policies regarding the use and development of technology, to protect national
interests and national security. For example, China has created its social network,
WeChat, providing many services such as mobile payments, airline ticket booking,
and phone calls. WeChat is adapted to Chinese culture and regulations.
Glocalization highlights the complex interaction between a globalized world
and the importance of local contexts. It requires a flexible and nuanced approach from
individuals and organizations, requiring them to navigate both standardization and
differentiation effectively to succeed in the interconnected world we are living in.
living.
3. Example about glocalization
Around the world, there are two main traffic rules: driving on the right side of
the road (right-hand traffic) or the left side (left-hand traffic). This helps keep traffic
flowing smoothly and prevents accidents. Originally most countries had left-handed
circulation, today about 66.1% of the world's population lives in countries with right-
handed circulation and 33.9% in countries with left-handed circulation. About 72%
of the world's roads are on the right, 28% are on the left.
Here's a connection between traffic rules and car design: In countries with right-
hand traffic, drivers typically sit on the left side of the car. This gives them a better

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view of oncoming traffic. In left-hand traffic countries, the driver's seat is usually on
the right for the same reason.

Chevrolet, often shortened to Chevy, is a major American car manufacturer. It's

part of the giant General Motors (GM) company. The 8th generation Chevrolet
Corvette is an example of glocalization. America follows the right-hand traffic rule,
with the driver's seat positioned on the left side of the vehicle. Contrary, Japan adheres
to the left-hand traffic rule, with the driver's seat traditionally located on the right
side.
In light of this stark difference, Chevrolet made a strategic decision to
implement a localized approach when introducing the 8th generation Chevrolet
Corvette into the Japanese market. Rather than adhering to its standard left-hand drive
configuration, Chevrolet recognizes the importance of adapting to local driving
norms and preferences.
Hence, Chevrolet made a bold move by specially equipping the Chevrolet
Corvette with a right-hand drive configuration for the Japanese market. This decision
showcases Chevrolet's commitment to glocalization – the seamless integration of
global standards with local adaptations to better serve diverse markets.
4. Advantages of glocalization
Glocalization, the amalgamation of "globalization" and "localization," has
emerged as a strategic approach for businesses aiming to expand into foreign markets
while adapting to local needs and preferences. This approach offers numerous
advantages, ranging from increased market success to fostering innovation and
economic growth. In this paper, we will delve into the advantages of glocalization,
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focusing on how it enhances market entry, promotes innovation, creates job
opportunities, and boosts the productive capacity of economies.
4.1.1. Increased chances of success in entering foreign markets
Consumers worldwide possess diverse needs and desires, shaped by their unique
cultural backgrounds and preferences. By crafting products and services tailored to
suit local tastes, language nuances, and cultural sensitivities, businesses can forge
connections that resonate profoundly with their target demographic. This nuanced
approach not only enhances brand acceptance but also significantly boosts the
prospects of establishing a firm foothold in new markets. Furthermore, the act of
adapting offerings to align with local customs and values is emblematic of a
company's respect for its target audience. This demonstration of cultural sensitivity
not only fosters trust but also bolsters credibility, laying the groundwork for enduring
and mutually beneficial relationships with local consumers and partners alike. For
instance, McDonald's, while upholding its overarching global branding, exhibits a
remarkable adaptability by tailoring its menu offerings to cater to the diverse culinary
preferences and dietary habits prevalent in various countries. This strategic
localization strategy allows McDonald's to transcend cultural barriers and resonate
deeply with local consumers, thereby solidifying its presence and competitiveness in
foreign markets.
4.1.2. Encouraging innovation in the economy of the target country
When foreign companies enter a new market, they bring with them their
expertise and technological know-how. This knowledge transfer can stimulate local
innovation by inspiring local businesses and fostering collaboration. For instance,
Tesla's entry into China prompted local electric vehicle startups to enhance their
technological capabilities. Furthermore, the influx of foreign enterprises can inject
healthy competition into the local landscape, incentivizing existing businesses to
refine their offerings. This drive towards improvement leads to heightened efficiency
and innovation throughout the industry. Toyota's presence in the U.S. market serves
as a prime example, spurring domestic automakers to enhance both quality and
efficiency standards.
4.1.3. Offering more jobs for local people

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 Glocalization often sparks the creation of new employment opportunities as
companies establish local operations, hire indigenous representatives, and collaborate
with local enterprises. These roles not only generate income but also aid in poverty
alleviation within the target economy. Take IKEA's expansion into India, for
instance, which yielded thousands of jobs across various sectors. Moreover, the
heightened economic activity stemming from glocalization can trigger the emergence
of indirect employment opportunities across sectors like transportation, logistics, and
hospitality. This ripple effect amplifies the positive impact on the local economy. As
companies adjust their operations to fit the local landscape, there arises a need for
individuals with specialized skills and knowledge. Consequently, there's a surge in
investment towards training and development programs, empowering local talents
with valuable proficiencies. This not only creates more job openings but also
enhances the expertise and capabilities of the local workforce, thereby contributing
significantly to the overall development of the target economy.
4.1.4. Increasing the productive capacity of the economy
Glocalization can be a win-win for both foreign companies and local economies.
By tapping into local resources like raw materials and skilled labor, companies can
become more productive and competitive. This not only benefits the company but
also boosts the local economy. In addition, foreign companies often invest in
infrastructure projects that improve their operations, like transportation networks and
communication systems. These upgrades then ripple outward, benefiting the entire
local economy. A good example is China's involvement in developing Africa's
infrastructure. Improved roads and ports not only streamline China's access to
resources but also create opportunities for local businesses to trade more efficiently.
Finally, glocalization fosters knowledge transfer. As foreign companies work with
local partners, they share expertise and technology. This empowers local businesses
to become more technologically advanced, leading to increased productivity and
overall economic growth. For instance, Starbucks, a global coffee giant, has partnered
with Vietnamese coffee farmers. Starbucks benefits from high-quality coffee beans
and expertise from local farmers. In turn, Vietnamese farmers gain access to new
markets, technology, and training, leading to increased productivity and income.

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 Glocalization is a powerful strategy that offers numerous advantages for both
businesses and the economies they enter. By understanding these advantages,
companies can approach international expansion with greater confidence and clarity.
Ultimately, glocalization paves the way for mutual success, fostering global
economic growth and creating a win-win situation for all stakeholders involved.
5. Disadvantages of glocalization
While glocalization, the combination of globalization and localization, can offer
various benefits, it also comes with certain disadvantages. Here are some potential
drawbacks:
5.1.1. Requires large investment and resources
Glocalization can be significantly more expensive than a purely global or local
strategy. Thorough research of the market, analysis of local competition, and
customization of marketing campaigns, packaging, and products for different markets
require investment in personnel, translation, and cultural expertise. Finding qualified
local talent can be a challenge. Costs to build production facilities and network
development are also required. Glocalization often requires a significant time
investment from businesses. Adapting products, services, and marketing materials to
local languages, customs, and regulations is a time-consuming process. Creating a
comprehensive glocalization strategy involves careful planning and coordination. In
some cases, global strategies may conflict with local strategies, leading to a lack of
consistency in the overall business approach. Businesses need to determine the level
of adaptation required for each market, allocate resources appropriately, and set
realistic timelines for implementation.
5.1.2. Local market resistance
In some countries, consumers may not respond positively to the presence of
foreign companies. Despite efforts to adapt to local cultures, there is a risk of cultural
insensitivity. Certain adaptations may be perceived as patronizing or offensive,
resulting in a negative impact on the brand's reputation. Although the company has
adapted its offering to local demand, this does not necessarily increase consumer
interest. One reason is the local patriotism. Consumers prefer local products to foreign
products for reasons of patriotism. They show stronger support for local businesses

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than foreign businesses. Such resistance makes it difficult for the company to reach
its sales target. Finally, the company failed to develop the local market and had to
leave.
5.1.3. Shutting down local business
Large multinational companies make their advent through glocalisation into
new geographical regions. With their better resources and infrastructure, they have a
bigger chance of dominating the local market. The entry of global brands adapted to
local markets can pose a significant threat to established local businesses. The
increased competition can force local businesses to adapt, innovate, or lower their
prices to maintain their position in the market. There are several instances when the
local businesses, after trying valiantly for a time, wrapped up their business because
it was impossible to compete with foreign companies.
6. Conclusion
This article has helped provide information about glocalization. Glocalization,
while offering numerous advantages, presents potential downsides that require
careful consideration. The advantages of glocalization include increased chances of
success in entering foreign markets, encouraging innovation in the economy of the
target country, offering more jobs for local people, and increasing the productive
capacity of the economy. However, the disadvantages encompass challenges such as
requires large investment and resources, local market resistance, and shutting down
local business. Glocalization is an unavoidable trend. However, it is important to
carefully consider the potential downsides and strike a balance between global
interconnectedness and safeguarding cultural identities, promoting economic
inclusivity, and ensuring environmental sustainability.

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