Concepts of globalization

Globalisation

The process whereby the world has become more economically, politically, and socially interconnected.

Economic connections

Refers to the exchange of goods and services across borders and the creation of global supply chains.

Political connections

Refers to countries working together in international organizations such as the United Nations or the European Union.

Social connections

Refers to the exchange of cultures and ideas, e.g., sharing thoughts and experiences via social media.

Cultural connections

Result from the ability to travel more easily and gain greater understanding of other cultures.

Global village

A term used by McLuhan to describe the breakdown of differences between nations leading to increased global interconnectedness.

Foreign Direct Investment (FDI)

Money invested by companies overseas.

LDE (Least Developed Economies)

Countries with the lowest economic development and a low GDP per capita.

EME (Emerging Market Economies)

Countries showing signs of growth and development, though still having lower GDP per capita.

HDE (Highly Developed Economies)

Countries with the highest economic development and a high GDP per capita.

KOF Index

An annual index that measures the social, economic, and political aspects of globalisation.

Glocalisation

When a global company tailors its products for local markets.

Time-space compression

The phenomenon where advancements in technology reduce the time it takes to communicate and transport goods across distances.

Containerization

A significant change in global shipping, allowing for the efficient transport of goods in large containers.

NATO (North Atlantic Treaty Organization)

A military alliance formed to promote peace and cooperation in Europe.

OECD (Organisation for Economic Cooperation and Development)

An international organization that promotes policies to improve economic and social well-being worldwide.

Trade bloc

A group of countries that work together to increase trade and boost economic growth.

Financial deregulation

The removal of barriers to capital flows, facilitating easier transactions between countries.

Steam power

Technology that enabled quick transportation of goods and armies via steamships and trains.

Foreign Direct Investment (FDI)

Money invested in a foreign country by a company, affirming a direct business interest.

Global shift

The movement of production from industrialized countries to emerging market economies to capitalize on lower costs.

Cultural exchange

The sharing of ideas, values, and cultural practices between different societies.

Intercontinental jet aircraft

Aircraft designed to fly long distances, greatly facilitating international travel.

The Global Financial Crisis of 2008

A major worldwide economic crisis stemming from the fall in the US housing market.

Asian Financial Crisis of 1997

A financial crisis that affected many Asian countries following the plummet of Thailand's currency.

Intercontinental Boeing 747

A type of jet aircraft that revolutionized international travel since the 1960s.

Political alliances

Agreements between countries to cooperate for mutual benefit, often related to security.

TNCs (Transnational Corporations)

Companies that operate across multiple countries, influencing production and global trade.

High-speed rail

Fast train services that enhance connectivity and reduce travel times between cities.

Trade agreements

Formal arrangements between countries to encourage and regulate trade.

Container shipping

The use of large containers to transport goods efficiently across oceans.

Labour flows

The migration of skilled and unskilled workers from one country to another.

Economic globalization

The increasing economic interdependence among countries through trade, investment, and capital flows.

Foreign aid

Financial or technical assistance provided by one country to another to promote economic growth and development.

Global marketing strategy

A unified approach to marketing that is applied globally to create brand recognition.

Outsourcing

The practice of hiring external firms or individuals to handle specific business functions.

Trade barriers

Government-imposed regulations or policies that restrict international trade.

Cultural homogenization

The process where local cultures are influenced by global culture, leading to similar customs and practices.

Digital communications

The exchange of information through electronic means like the internet and mobile devices.

Global supply chains

Networks that connect suppliers, manufacturers, and retailers across countries.

Cultural imperialism

The practice of promoting one culture over others, often linked to globalization.

Sovereignty

The authority of a state to govern itself or another state.

Artificial intelligence

Technological advancements that automate processes and enhance efficiency globally.

Transnational activism

Cross-border advocacy and action aimed at addressing global issues.

Environmental impact

The effect that global trade and production practices have on the natural environment.

Market integration

The unification of markets across borders to enable easier trading of goods and services.

Market liberalization

The process of reducing or eliminating government restrictions on trade and investment.

Telecommunications advancements

Technological improvements that enhance the speed and effectiveness of global communication.

Security threats

Potential dangers associated with globalisation, including terrorism and cybercrime.

International institutions

Organizations that facilitate cooperation and dialogue among countries on global issues.

Competitive advantage

The unique attributes that allow a country or company to outperform its rivals in trade.

Intergovernmental organizations

Groups formed by multiple nations to address common issues and policy coordination.

Cross-cultural communication

The ability to communicate effectively between individuals from different cultural backgrounds.

Economic dependency

A situation in which a country relies heavily on another country for trade or investment.

Global economic integration

The process by which national economies become interconnected and interdependent.

Local market adaptation

Customizing products or services according to the preferences of a local market.

Consumer culture

A culture focused on the consumption of goods and services as a primary economic driver.

Digital economy

An economy that is based on digital technologies, including the internet and mobile communications.

Global health issues

Health challenges that transcend national boundaries and require international cooperation to address.

International trade laws

Regulations governing international commerce and trade agreements between countries.

Innovation diffusion

The spread of new ideas, technologies, and practices across borders.

Labor rights

Legal and social standards for the treatment of workers in different countries.

Global citizenship

The idea that one's identity transcends geographical or political borders, emphasizing global community.

Decentralization

The distribution of administrative powers or functions from a central authority to local units.

Resource distribution

The way in which natural and financial resources are allocated across different countries.

Crisis response coordination

Efforts to manage and respond to global emergencies, requiring international collaboration.