Globalisation and governance

Globalistaion

Process of becoming more globally connected. National boundaries eroded and economies, societies and cultures become more integrated

Types of globalisation

Economic

Political

Social

Cultural

Economic globalisation

Measured by actual flow of trade, investments and restrictions applying tow flows

Social globalisation

expressed as spread of ideas, information and people estimated by personal contact, information flows and cultural proximity

Political globalisation

Characterised by degree of political cooperation. Measured by number of embassies, membership of intention organisation, and number of international treaties signed.

Characteristics of economic globalisation

TNCs

Sources of income

Trade blocs

Global transaction

Characteristics of political globalisation

Government connections

Deregulation policies

International organisations

Western democracies

Characteristics of cultural globalisation

Exposure to media sources

Ability to travel internationally

Individuals awareness of world events

Westernisation

Characteristics of social globalisation

International immigration

Social networking

Global NGOs presence

Flows in globalisation

Capital

Labour

Products

Services

Information

Flows are of gloabalisation.

Dimensions. They are the reason globalisation exists.

Capital flows

Movement of money for purpose of investment, trade or business production

Labour flows

Movement of people who move to work in another country

Product flows

flow of physical good from one country to another

Service flows

Services are ‘​footloose​’ industries, meaning they can locate anywhere without constraints from resources or other obstacles. Services flow as they can be produced in a ​different country to where they are ​received

Information flows

Any type of information can ​flow ​from one place to another via the internet, SMS, phone calls etc

Flows of capital: major flows occur between which 4 main groups

1. Core regions​ - wealthier, developed countries that have power

2. Periphery regions​ ​- less wealthy, less developed countries that have less power

3. The International Monetary Fund (IMF) ​- ​an international corporation that aims to ‘foster global monetary cooperation, secure ​financial stability​, facilitate international trade, promote high employment and sustainable ​economic growth​, and reduce poverty around the world.’

4. The World Bank - ​a group of global institution that give out​ ​loans​ ​for development or relief.

Flows of capital: funding loans

World Bank provides disaster relief and development loans

IMF offers stabilising loans to prevent economic collapse

Flows of capital: Investment and aids

FDI - core regions invest in periphery regions for long term benefits

Bilateral aid so governments send financial help to nations in need

Remittance payments- workers in core regions send money back to families in periphery regions

Flows of capital: economic flows back to core regions

migration - workers from periphery regions contribute to core economy

Repatriation of profits- profits from tics in periphery regions are sent back to core regions

Flow of labour: % of population that are international migrants

3-4 . Majority to HICs as 14.1% of HICs are intentional migrants while LICs are 1.6%

Flow of labour: Within​ continents, the three major labour flows are between and amount of migrants

1)Asia- S Asia to W Asia. (better job opportunities eg oil rich countries) 63M

2)Europe- E Europe to W Europe (Germany and UK especially). 41M

3)Africa- SA highest migrant population. Neighbouring countries. 19M

Flow of labour: Between continents​, ​the largest labour flows are

1)LAC to N America. 26M. (LAC to USA, esp Mexico to California)

2) Asia to Europe. 20M.

3) Asia to N America. 17M.

Flow of labour: high skilled workers and unskilled workers

Highly skilled workers are highly trained in jobs that require a ​great deal of skill​

Unskilled workers are those who are ​underqualified and don’t have ‘expert knowledge’ in their employment.

Flows of products: integration from international trade

• ●  Products are now ​traded internationally ​due to ​technological advancements​, ​such as better ​transportation and communication​.

• ●  HICs import products from LICs, then sell them at much higher prices to make a​ profit​.

Flows of services: types of services

High level services: activities that generally require a higher ​skill level​, meaning the person delivering the service should be ​qualified and trained​.

Low level services: services that require less training, and are not as important to consumers. Mainly ​customer service based​,

Flows of information: types of flows and importance

• Fast broadband and ​connections allows news and financial information to be transferred almost instantly, allowing people to be more informed about globalncurrent events.

• ●  Social media has allowed people to communicate across countries, and allows people to experience other cultures, making people across the world more

  interconnected​.

• ●  The ability to research allows people to seek better ​employment opportunities​, creating more global connections and allowing online,

  work-from-home jobs.

Global marketing

Globalisation has allowed businesses to ​market, advertise, promote and sell their products on an international scale to increase identity of company

Global marketing strategies

Capital

financial assets or resources used for investment, production, and trade on a global scale. Usually money

Repatriation of Profits

When multinational companies (MNCs) send profits made in foreign countries back to their home country, .

Remittance Payments

Money sent by migrant workers to their home countries, contributing to global financial flows

Conglomerates

Large multinational corporations that operate in multiple industries and countries

Tariff

A tax imposed on imported goods to protect domestic industries or generate revenue.

Protectionism

Government policies that restrict international trade to protect local industries from foreign competition, often through tariffs, quotas, or regulations.

Containerisation

A shipping method using standardised containers, making global trade more efficient by reducing costs and improving transport speed.

Dimension of Globalisation

economic (trade and investment), political (international agreements), social (cultural exchange environmental (global challenges like climate change).

Economic Leakages

When money flows out of an economy rather than being reinvested, often due to repatriation of profits by multinational corporations or reliance on foreign goods and services.