Globalisation

Economic Globalisation

• the growth of transnational corporations (TNCs) has rapidly increased the trade of raw materials, components, manufactured goods, shares, portfolio investment and purchasing between nations

• ICT (information and communications technology) has encouraged the growth of spatial division of labour for firms and a more global economy

• online purchasing (such as Amazon on mobile phones)

Social Globalisation

• international migration has given rise to extensive, international family networks

• world cities have become ‘melting pots’ of cultures and ethnicities

• improvements in healthcare and education have been seen across the world (rising world life expectancies and literacy levels) - however, these changes aren’t uniform

Political Globalisation

• growth of trading blocs (e.g. OPEC and ASEAN) allows TNCs to merge and acquisition firms in neighbouring countries

  • reduced trade tarriffs encourage markets to grow

• international organisations (such as the World Bank and World Trade Organisation) work across the globe, encouraging national economies to cooperate

• there are concerns of global concern, such as free trade and global response to natural disasters

Cultural Globalisation

• glocalisation (company making small changes to suit local population) takes place as local cultures merge with global influence

• the flows of ideas and information has rapidly increased due to 24-hour reporting and virtual spaces allowing people to communicate

• ‘successful’ Western culture traits dominates in some territories (e.g ‘McDonaldisation’ of tastes)

Positives of Globalisation

• allows countries and people from across the globe to work together and connect to solve local and global issues

• allows people access to a wider range of products and ideas

• allows LICs and NEEs to develop, particularly with the aid of TNCs

Negatives of Globalisation

• allows spread of negativity and crime

• disrupts local businesses and cultures

• may have increased inequalities (spread of internet users and technology is very uneven globally)

  • over 75% of internet users come from HICs which account for 14% of world’s population