THE CONTEMPORARY WORLD Julyven Marta Fridas Maniscan-Padrigon, LPT MS Development Management & Governance An Introduction GLOBALIZATION ■ Different people encounter globalization in a variety of ways ■ Is it good or bad? ■ Beneficial or not? Two Premises: 1. It is a complex phenomenon that occurs at multiple levels. 2. It is an uneven process that affects people differently. Globalization 1 2 3 What is Globalization? • The term encompasses all types of economic and cultural transfers between nations – including domination of the media and widespread use of the world wide web. • Globalization describes the increased mobility of goods, services, labor, technology and capital throughout the world. Source: Carr, M., & Chen, M. A. (2002). Globalization and the informal economy: How global trade and investment impact on the working poor (pp. 92-2). Geneva: International Labour Office. GLOBALIZATION ‘The expansion and intensification of social relations and consciousness across world-time and across world-space.’ -Manfred Steger- ■ 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. Globalization 1 2 3 What is Globalization? • In a simple term, Globalization means “International Integration” • It is a process of unification of the world in terms of dimensions: o Economic unification – EU, ASEAN, NAFTA o Social unification – UN, mobility of people, free movement o Cultural unification – International Organizations/Community o Technological unification- Social Media, Web Source: Carr, M., & Chen, M. A. (2012). Globalization and the economy: How global trade and investment impact on the working poor (pp. 92-2). Geneva: International Labour Office. Globalization 1 2 3 Drivers of Globalization 1. Technological drivers • Transportation, microprocessors, telecommunications, and the internet 2. Political drivers • Liberalized trading rules and deregulated markets lead to lowered tariffs and allowed FDIs • GATT (1947), WTO (1995) 3. Market drivers • Domestic market saturated, global expanding to survive • Search for common customer needs and global marketing channels (incentives to choose internationalization) Source: Northrup, D. (2015). Globalization in Historical Perspective. World System History, http://www. eolss. net/sample-chapters/c04/e6-94-16. pdf,(19.04. 2015). Globalization 1 2 3 Drivers of Globalization 4. Cost drivers • Cheap labor • Automation of production for efficiency and lowering cost 5. Competitive drivers • With the global market, global inter-firm competition increases which leads to mergers, acquisitions, and partnerships Source: Northrup, D. (2015). Globalization in Historical Perspective. World System History, http://www. eolss. net/sample-chapters/c04/e6-94-16. pdf,(19.04. 2015). GLOBALISM It is a widespread belief among powerful people that the global integration of economic markets is beneficial for everyone, since it spreads freedom and democracy across the world. Different Kinds of Globalization (Arjun Appadurai) ■ Ethnoscape- refers to the global movement of people. ■ Mediascape- flow of culture ■ Financescape- denotes the global circulation of money ■ Ideoscape- the realm where political ideas move around.