Globalization The concept and the process of globalization Student Name: Abdul Rehman Student ID: 20061867 Learning Outcomes 01 Discuss the changes in the world economy since the 1970s. 02 Highlight and assess the factors and developments which contributed to the process of globalization. 03 Identify and evaluate the emerging economic challenges and opportunities presented through the effect of globalization. Concept of Globalisation History of Globalization Changes to the world economy since the 1970s Technological Development • Technological development (transportation, agricultural and production machinery, ICT, etc) (Unit1: session 1.2, Unit 3-5) Liberalisation of trade and political engagement • Liberalisation of trade and political engagement (removal of tariffs, trade agreements, open import/export borders, global economic governance and existing governing/regulatory bodies). (Unit1: session 1.2, Unit 3-5) Increased consumption • Increased consumption – Demand of worldwide distribution of goods (shipping, international delivery, etc). Increase in using transport (number of cars, frequent air travel, etc). Economic profile • Economic profile – General economic state, economic trends, Population, GDP, GDP growth, CPI growth, FDI Inflows/outflows, exchange rates (Units 1-5) Challenges • Challenges – wealth distribution and economical imbalance (poverty, lower trade barriers in underdeveloped countries), monopoly or globalisation (competition, MNCs Vs. local businesses), protection of the environment and agricultural restrictions, low technological know-how (digital divide), negative economic implications and trade wars (Units 1-5). Opportunities • Opportunities – continued integration of cultures (cross-cultural and multicultural businesses), cross-border sharing of ideas (innovations, more skilled workforce), quest for global efficiencies driven by technology (digitalisation), balanced economic landscape (development of underdeveloped countries), new unexpected trade agreements (Units 1-5, WTO report 2020).