Cotemporary world

Globalization
 WHAT IS GLOBALIZATION?
• Since the early 19th century, globalization has been a “buzzword” throughout the
world, though the term itself has been popularized only through former Harvard
Business School Professor Theodore Levitt’s article entitled “The Globalization of
Markets.”

• Globalization refers to the existence of free exchange goods, services, culture, and
even people, between and among countries. Under the banner of globalization,
countries have discarded taxes on imported goods (tariffs) and opened their doors
to highly skilled workers and professionals. Through globalization people became
more interested to travel, learn new languages, and immerse themselves into new
cultures and lifestyles.
 On the first decade of the 21st century, some
scholars argued that globalization is a process.
However, on the other it is a condition and for
some, it is described as an ideology. Central to
the study of the contemporary world is the
concept of globalization. The following are the
underlying definitions of globalization:

▪ According to the Stanford Encyclopedia of

Philosophy, globalization refers to “fundamental
changes in the spatial and temporal contours of
UNDERLYIN social existence, according to which the
significance of space or territory undergoes
shifts in the face of a no less dramatic
G acceleration in the temporal structure of crucial
forms of human activity.”
DEFENITION ▪ Freedmen (2003) theorizes that globalization
denotes a range of processes nesting under
OF one rather difficult description. Partly, its
conceptual difficulty to handle or control arises
from the fact that global flows occur in different
GLOBALIZA physical and mental dimensions.
• Arjun Appadurai (1996) proposes that
different kinds of globalization occur on
multiple and intersecting dimensions of
integration that he calls “scapes”. These five
scapes are;

• Ethnoscape- refers to the global

movement of the people
• Mediascape- flow of culture
• Technoscape- refers to the circulation of
mechanical goods and software
• Financescape- denotes the global
circulation of money
• Ideoscape- the realm where political
ideas move around
 • For the Political Scientists, globalization refers
to challenges to the nation-state, strength of
regional blocs, and development of global
political standards.
• For the Political Scientists, globalization refers
to challenges to the nation-state, strength of
regional blocs, and development of global
political standards.

o Free Trade- is a policy followed by some

UNDERLYIN o
international markets in which
Global Economic Organizations such as IMF,
G WTO, World Bank, OECD, World Economic
Forum, G20, ILO,UNCTAD, APEC,G7,BRICS,
ECOSOC,G8, Bank for International , OPEC
DEFENITION o Regional Trade Blocs such as EU,
EFTA, NAFTA, MERCORSUR,AFTA,
OF COMESA, SAFTA, Pacific Alliance, TPP

GLOBALIZA
TION
• For the scholar of culture and communication,
globalization is the creation of global village
due to technological revolutions, communications
technology as shrinking our world, and cultural
imperialism
• Manfred Steger- “Globalization is the expansion
and intensification of social relations and
consciousness across world-time and world-
space.”
Expansion- refers to “both the creation of new
social networks and the multiplication of
existing connections that cut across traditional
political, economic, cultural and geographic
boundaries.
Intensification- refers to the expansion,
stretching, and acceleration of these networks
 Competing Conceptions of Globalization

There are manifold concepts, perspectives, and ideas about

globalization. Many scholars gave and tried to formulate the
definition of globalization. This resulted in different, sometimes
contradicting, views about the concept

a b c
•Thomas Larsson, a Swedish Some scholars consider it as a
•Manfred Steger remarks journalist saw globalization as process, a condition, or an ideology.
that since its earliest positive phenomenon and define it Experts from different fields of social
appearance in the 1960s, the as “the process of world shrinkage, sciences also define globalization
term ‘globalization’ has been of distances getting shorter, things based on their expertise. But a working
used in both popular and moving closer. It pertains to the definition has to encompass all
academic literature to increasing ease with which definitions of and notions about
describe a process, a somebody on one side of the world globalization. Steger’s definition, for
condition, a system, a force, can interact to mutual benefit with
the purpose of this module, is the most
and an age. (Steger, 2003) somebody the other side of the
unbiased working definition
world. (Larsson, 2001).
 Globalization

Globalization is the process by which the experience of everyday life,

marked by the diffusion of commodities and ideas, is becoming
standardized around the world. Globalization makes the world more
accessible to all people.

Characteristics
• Connectivity
• Borderless Globe
• Free trade
• Cultural Diversity
• Mobility
• Information Technology changes
EFFECTS
OF
GLOBALIZ
ATION
 EFFECTS OF
GLOBALIZATION

Globalization has led to

increase in competition

Globalization causes exchange of

technology. Globalization helps in
knowledge and information transfer across
the globe
 EFFECTS OF
GLOBALIZATION

Globalization has led to vast

Multinational and
multicultural management

Globalization has led to increase in

investment levels and rise in
opportunities.
 EFFECTS OF
GLOBALIZATION

Globalization leads to Procurement &

Outsourcing. Accenture provides Procurement &
Outsourcing services includes sourcing, demand
management, invoice processing, travel and
expense processing, contract administration and
many more.
 ADVANTAGES OF
GLOBALIZATION

Cheaper Goods For Consumers and increase In Skilled

Better Product Quality: Workers:

Increased competitiveness may also lead to Increased international labor mobility has led
decline in the price of goods, improvements in to an increase in skilled workers
quality of goods and choice of goods

Lower Cost of Improvement In

production: Education:
Nike shoes are made in Vietnam due to lower The spread of the internet has helped to
cost of production improve education.
 ADVANTAGES OF
GLOBALIZATION

Cultural Diversity: Poverty Reduction:

Increased movement of labor leads to an GDP of the developing countries has increased
increase in the spread of different cultural twice as much as before
ideas.

Transportation:

Globalization has led to tremendous increase

in transport services across the globe.
 disadvantages OF
GLOBALIZATION

Exploitation Of
increased Commodity Price: Cheap Labor:

Prices then and now have increase Workers working day and night to produce
tremendously. goods for very little money.

Increased Relative
Cause Of Diseases: Poverty and Inequality:
It is the cause of very serious health problems Increased Relative Poverty and Inequality:
all over the globe
 disadvantages OF
GLOBALIZATION

Replacing Increased
Vulnerability And Instability: Disparity:

The international Coffee chains are causing a The Economic system that has generated
serious threat to local coffee shops.. tremendous wealth disparity that really seems
unfair.

The local players suffer huge losses as they

Uneven Wealth lack the potential to advertise or export their
Distribution: products on a large scale.

The rich are getting richer and the poor are Therefore the domestic markets shrink. People
getting poorer. are ready to shell out extra money for a product
that may be available at a lower price. This is
because of the modern marketing techniques like
advertising and branding