The Contemporary World
Chapter 1
Introduction to the Study of
Globalization
Chapter 1
Introduction to the Study of Globalization
Introduction
When the world was surprised by the birth of information technology, societies became more
eager to adopt the trends of the market. People across the globe showed interest to be part of
a community where connections and linkages are available. When the World Trade
Organizations (WTO) was formed, economies responded quickly showing interest in this
global network of countries. The same thing Nokia when it successfully penetrated the
worldwide market through offering the most innovative cellular phones, millions of people
were caught by this technological breakthrough. When the Asian financial crisis hit some
countries in the region, economists, and governments became warier and keen in managing
the domestic and international flows of money. The series of attacks in the United States on
September 11, 2001 was seen as a result of western imperialism and a response of violent
groups in the Middle East. What do these events and situations have in common? Are these
signs of a borderless world where anything and everything could be global? Is local becoming
global?
The world is in a state of complexities and uncertainties. Small and big institutions and
communities are affected at a higher scale by these complex phenomena. No one can
accurately predict what the world would be like in the next 10 or 20 years. What happened
in the late 90s and early 2000s are remarkable events have defined the future of man and its
environment. Migration, economic organizations, political alliances, and the digital world are
common landmarks of the global society. Networks and the formation of strong linkages will
prevail over the conservative and isolationist behavior.
The interconnected world economy is the forefront market of globalization. The meeting
point of developed and developing economies as well as the emergence of economic
institutions and organizations make everything easier and faster to hold transactions globally.
Global productions are scattered everywhere, operating in countries where labor cost is
cheap, and materials are available. For example, Toyota manufactures its auto parts in
countries like the Philippines and Indonesia where there is high availability of cheap
manpower. It offers finished and assembled products in countries like Singapore and
Malaysia where there is a higher demand of cars. This kind of economic behaviors of
countries shows how the cycle of economic operation for a global commodity works. This is
also evident in countries in the western region where there are problems and challenges on
the availability of needs and demands. The strengths of materials of a country could be
experienced as weakness on the unavailability of the other economy or nation.
This topic discusses the relevance of economic system in globalization. It deals on issues
concerning the function of international trade, its benefits and damages. This also explains
the importance of domestic and foreign policies in international trade and promotion of global
economy. The topic will conclude by explaining the roles of international economic
organizations in globalization.
Specific Objectives:
At the end of the lesson, the students should be able to:
1.
Differentiate the competing conceptions of globalization
2.
Identify the underlying philosophies of the varying definitions of globalization.
3.
Agree on a working definition of globalization for the course.
Duration:
Chapter 1:
3 hours
Competing Conceptions of Globalization
Underlying Philosophies of the Varying Definitions of Globalization Dimensions of
Globalization
Reasons for Globalization
Pros and Cons of Globalization
Lesson Proper
CHAPTER 1 – INTRODUCTION TO THE STUDY OF GLOBALIZATION
1.1 COMPETING CONCEPTIONS OF GLOBALIZATION
Globalization, as a theory lies in in the works of many
19th and 20th century scholars and intelllectuals like Karl Marx,
MacKinder, and Robertson who then began to introduce the
term “globality”. However, it was in the 1960s and 1970s
when this term gained worldwide attention (Held and
McGrew,2002).
In the area of academe, no single currency or definition has acquired acceptance. On the
contrary, various competing interpretations emerged vying for dominance and universal
recognition. To define globalization is to simply put it as a social process of reshaping and
remaking the world order. Operations of social institutions transcend across territories and
boundaries with the goal of expanding its reach-economic, political, and technological fibers.
From the lens of Ritzer (2008), he described this phenomenon as the spread of worldwide
practices, relations, consciousness, and organization of social life. The interconnectedness
and social segments from macroinstitutions to the smallest sectors of the world have
coincided the fabrics of globalization.
In defining globalization, Justine Rosenberg argues that “globalization as a phenomenon gave
rise to the interconnectedness of human society that replaced the sovereign state system with
a multilateral system of global governance”. His definition centers on the process, condition,
time, and age of this condition.
On the other hand, Held and McGrew (2003) offer the following definition of globalization:
“Globalization refers to a multidimensional set of social processes that create, multiply,
stretch, and intensify worldwide social interdependencies and exchange while at the same
fostering in people a growing awareness of deepening connections between the local and the
distant”.
The best scholarly description of globalization is provided by Manfred Steger who described
the process as “the expansion and intensification of social relations and consciousness across
world-time and across world-space.” 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 these networks. Not only are global connections multiplying, but
they are also becoming more closely-knit and expanding their reach.
1.2 UNDERLYING PHILOSOPHIES OF THE VARYING DEFINITIONS OF
GLOBALIZATION
A. Realism
The realists’ perspective in explaining globalization focuses on the shifting distribution of
power among states (Walt, 1998 and Snyder, 2004). They explained that the core idea of
dominating the world is through the employment of power. This force comes from different
angles, depending, on the power availability of a nation. However, realists warn that countries
may suffer and struggle to maintain its power if it will be overarched and used wrongly. In
globalization, countries that have the power to dominate and control the world are those
whose economies have the
“powers” to affect and influence the operation worldwide.
Realists argue that the reason why countries open their economies to the world is because of
two contending reasons. First, financial returns of expanding markets offer new economic
opportunities to the capitalist. Second, the political explanation behind globalization is best
described with the application of its founders like Hans Morgenthau and Kenneth Waltz,
realist-thinker John Mearsheimer and realist-doer Henry Kissinger. The continued centrality
of political power and military strength are obvious forces of interdependence and realistic
behavior of the more and most powerful countries.
B. Liberalism
Liberalism is a perspective in international relations where actors and institutions emphasize
relationship and negotiations. Liberalists observe the importance of interaction and
communication and focus on solving problems and conflicts affecting them. This idea is very
evident in countries where democratic governance and institutions play major roles in
maintaining national cohesiveness in managing domestic and international affairs.
Liberal accounts describe the transformation of political-economic structures and the development of
global interconnectedness in terms of the following factors:
a.
Spread of democracy and institutions
b.
Global economic ties
c.
International organizations
C. Idealism
The advent of globalization, formation of institutions, and the interplay of nations should be
guided by ethical and legal standards. Idealists and constructivists hold the notion that values,
and norms play pivotal roles in sustaining and reforming the process and works of
individuals, groups, or nations. This theory emphasizes on the functions of ideologies,
frameworks, systems, and identities in understanding globalization and international order.
Its core beliefs centers on the centrality of ideas, beliefs, and collective values that shape the
political and economic landscapes of the world.
1.3 DIMENSIONS OF GLOBALIZATION
a. Economic globalization
 It refers to the mobility of people, capital, technology, goods and services
internationally. It is also about how integrated countries are in the global economy. It
refers to how interdependent different countries and regions have become across the
world.
b. Cultural globalization
 It refers to the transmission of ideas, meanings, and values around the world in such a
way as to extend and intensify social relations. This process is marked by the common
consumption of cultures that have been diffused by the internet, popular culture
media, and international travel.
c. Political globalization
 It refers to the growth of the worldwide political system, both in size and complexity.
The creation and existence of the United Nations has been called one of the classic
examples of political globalization.
1.4 REASONS FOR GLOBALIZATION
Why do we have to globalize especially at this contemporary world? Here are the reasons:
1.
Rapid shrinking of time and distance across the globe. One can easily cross the
bridge going to the other side of the marketplace due to advance tools of technology than
before.
2.
Domestic markets are no longer rich because of many interlocking factors.
3.
Companies and institutions go global to find political and economic stability
which is relatively good in other countries than the country of origin.
4.
To get technological and managerial know-how of other countries due to their
advancement in science and technology, education, health, and other fields of discipline.
5.
To reduce high transportation costs if one goes globally using the advance tools
of communication and information.
6.
To be close to raw materials and to markets of their finished products which
are not available in the country of origin.
1.5 PROS AND CONS OF GLOBALIZATION
Pros of Globalization
1.
It encourages free trade. Without borders in place, consumers can purchase
items from anywhere in the world at a reduced cost.
2.
More trade means the potential for more jobs. When there are fewer
barriers in place to purchase items, then consumers will generally purchase more
things. This creates the foundation that businesses need to create more jobs.
3.
Open borders mean more opportunities to develop poor areas of the world.
There are many nations in the world today that are in a state of entry-level
industrialization. Poverty is a feature in many of these developing countries. Through
the process of globalization, the removal of borders allows the people in these areas
to experience greater prosperity because each area gains the ability to access what
they need.
4.
It allows for open lines of communication. When borders are removed,
people have the ability to communicate with one another more freely. There is a
greater intermingling of cultures, which allows people to have a greater perspective
about the world.
Cons of Globalization
1.
It generally makes the rich become rich and the poor to become mired in
poverty. This means the rich can access what they want or need to become richer, but
the poor get trapped in poverty because they don’t have the means to access success.
2.
Jobs get transferred to lower-cost areas. Jobs can be created through
globalism, but they tend to be created in the areas where labor costs are the cheapest.
3.
It creates a political system where the biggest and the richest have
influence. The biggest businesses and wealthiest people could hoard global resources
for themselves through whatever government was put into place, enhancing the social
inequalities that are already being seen on smaller scales.
4.
Diseases travel faster in a world that is globalized. When people stay within
their own regions, there are fewer problems with communicable diseases. If there
were no borders and people could travel freely to wherever they wished to go, this
issue would cause even the most remote parts of the world to be exposed to potentially
deadly health concerns.
5.
It could have a negative impact on the environment. Let’s say that
production levels increase because everyone sees a boost in their economic
circumstances. This would potentially increase pollution levels that could acidify the
air, the ocean, and cause more issues with global warming.
References
Deocampo, Felix Jr. R., Ramos, Bernardo F., and Llonora, R. L. (2019). Globalization in
Contemporary World. Plaridel, Bulacan: St. Andrew Publishing House
Lisandro E. Claudio and Patricio N. Abinales. (2018). The Contemporary World. Quezon City: C &
E Publishing, Inc.
Manfred Steger, Paul Battersby, and Joseph M. Siracusa, eds. (2014). The SAGE
Handbook of Globalization. Two vols. Thousand Oaks: SAGE
https://www.britannica.com/science/cultural-globalization
https://study.com/academy/lesson/what-is-globalization-definition-effectsexamples.html
https://www.linkedin.com/pulse/5-dimensions-globalisation-post-cold-war-eraernesto-gouveia-gove-jr-/
https://www.weforum.org/agenda/2019/01/how-globalization-4-0-fits-into-thehistory-of-globalization/
https://youmatter.world/en/definition/definitions-globalization-definition-benefitseffects-examples/