Globalisation 1.1

what is globalisation

increasing inter-connectiveness of the world economically, politically and culturally

economic causes of globalisation

-increase number and influence of TNCs

-online purchasing

-countries invest into each other through FDI

-trading stocks and exchange of currencies

political causes for globalisation

-trading blocks have become more influential

-political views and ideas are published in worldwide media outlets

cultural causes for globalisation

Americanisation and westernisation spreading to other parts of the world

what are TNCs

companies who operate in many countries producing and selling goods.

what is glocalisation

changing design or product to meet local taste or laws

what are trading blocs

group of countries/organisations that work together for trading purposes

economic globalisation

-TNCs use outsource and offshoring to lower costs

-Industries moving to developed countries to lower costs

-Trading blocs create economic integration

Political globalisation

-Governments form trade connections through trade deals and trade blocs

-Western democracies have influence on political ideologies worldwide

cultural globalisation

- Tourism allows experiencing of different cultures

- Media sources allows understanding of different cultures

- Westernisation (domination of western cultural traits in non-western areas)

what is lengthening of connections

People can now travel further afield and goods are brought in from further away

what is deepening of connections

Where connections are penetrating more in depth into most aspects of life

what is faster speed of connections

People can now talk in real time from different parts of the world and you can travel much faster than previously between different countries

what are the global flows of movement

Capital- movement of money for investment, trade

Labour- movement of people who move to work in another country

Information- Info can flow to places via internet

Products- flow of physical goods from one country to another

Services- Services are ‘footloose’ (located anywhere). Service flows can be produced in a different country to where they are received

what have global flows done

increased the interconnectedness of places which has increased the interdependence of places

what were the developments of transport and trade

• Steam power – steam ships and trains moved goods

• Railways – railway networks expanded globally, remains important for governments globally

• Jet aircraft – made international travel easier

• Container shipping – vital to the global economy since the 1950s

what were the developments of ICT and communication

• Telephone and the telegraph-communicating long distances in real time no longer needing to wait days, weeks, months for responses

• Broadband and fibre optics – large amounts of data (e.g., in emails, tweets) carried across the ocean floor by fibre optic cables reducing the cost of communication

• The internet– connects people and places across the world in real time which speeds up business between countries

• Mobile phones – countries having limited communication infrastructure have mobile phone enabling them to connect with other places more effectively