UAMG 3053
Communication
Technology
Week 10
Global Capitalism
Introduction - Globalization
 The terms “globalization”, “globalize”, and
“globalizing” started in 1960
 The Economist reported Italy’s
‘globalised’ quota for imports of cars has
increased
 Globalization is a staggered (spread out)
concept
Intro Globalization …
 Direct consequence of the expansion of
European cultures across the planet via
settlement, colonization, and cultural
replication
 The world entered “the age of global
civilization” after the end of European
dominance.
Intro Globalization …
 “Global civilization” includes the
formation of European Union, the rise of
Japan as an industrial power, and
emerging and testy confrontation
between rich and poor nations
 The Internet is poised to narrow the gulf
that separates rich nations from poor
even further in the decade to come
Globalization from 1870 to 1914
1) Development of transportation and
communication networks - physically
linked different parts of the world –
railroad, shipping, and the telegraph
2) Rapid growth of trade - pattern of
dependency between the industrialized
countries and the rest
3) Huge flow of capital (assets) from
Western direct investment
Definition of Globalization
 Globalization is “a concept refers both to
the compression of the world and the
intensification of consciousness of the
world …both concrete global
interdependence and consciousness of
the global whole” (Water, quoting
Robertson, 2000, p. 4)
Intro Globalization…
 Interdependence – between national
systems by trade, economic, military
 Social compression
 Intensification of global consciousness –
local happenings are shaped by events
occurring many miles away and vice
versa
Definition of Global Capitalism
 Globalization - meaning the rise of market
capitalism around the world – business
across border
 A process driven by economic forces
 Reorganization of production, international
trade, and integrated of financial markets
 Has undeniably contributed to America's
New Economy boom. e.g., McDonald’s,
Microsoft
Capitalism
 The vehicle of economic internationalization
– financial markets, commodities,
contractualized labour, alienable property
 In Marx theory, capitalist seeks to transect
national boundaries extending
transportation and communication unto the
furthest reaches of the planet, restlessly
seeking to expand markets throughout the
world and to appropriate ever greater
tranches of labour power
Global capitalism…
 Global capitalism was pushed by leaps
(increase and jump) in technology, the
failure of socialism, and East Asia's
miraculous success
 Multinationals have contributed to labor,
environmental, and human-rights abuses
as they pursue profit around the globe
Inequality in Global Capitalism
 Profit the rich and harm the poor
 Unequal development - two extremes of
global capitalism
1. The economies of East Asia have
achieved rapid growth
2. There has been little overall progress
in much of the rest of the developing
world
McDonaldization
 Describes the McDonalds Corporation;
 And any corporation that employs the
standard practice of making a product
efficiently and predictably
 To maximize profits in a global
marketplace, cultural products must be
standardized - McDonaldization
 From fast food, childcare, healthcare,
computer technology production
McDonaldization
 George Ritzer – to describe a sociological
phenomenon
 The process of rationalization – substitution
of logically consistent rules for traditional
rules
 Modern Western world becoming more and
more rational – “efficient, predictability,
calculability” as human work are replaced by
machines
Process of McDonaldization
 Any task can (should) be rationalized
 Takes a task and breaks it down into
smaller tasks
 Find the SINGLE most efficient way to
complete the broken down smallest tasks
Four Dimensions of McDonaldization
1. Efficiency
 Optimum method of completing a task
 Rational determination of the best mode of
production
 Individuality is not allowed
2. Calculability
 Assessment of outcomes based on
quantifiable criteria
 Quantity over quality
 Selling “Big Mac” not “Good Mac”
Four Dimensions of McD…
3. Predictability
 Production process is organized to
guarantee uniformity of product and
standardized outcomes
4. Control
 Substitution of more predictable nonhuman labor for human labor
Conclusion of McD…ion
 As more companies around the world take
on the characteristics of McDonaldization
system, the consumers have little choice
but to frequent these business, as fewer
and fewer options are readily available
 McDonaldization is an infection to other
countries
 Many businesses feel that in order to be
successful they must adhere this guidelines
How Web- Advertising works
 The rapid increase in the number of
people who can access the Internet,
especially in US and Europe, has
resulted in similarity strong increase in
the amount of money spent on online
advertising.
Internet Advertising

Distinguish between three broad kinds of
advertising on the Web: they are:
1. Placed ads (including banners, Rich Media
ads, pop-ups, animated cursors)
2. Sponsored elements within sites; and
3. Company marketing sites. ( product catalogs
with order forms) However, sales sites and
sales banners should be considered in a
direct marketing context rather than in an
advertising context.
 Does Internet Advertising works?
 According to the reviews based on
research done on the impact of online
advertising, shows that advertising on the
Internet can be very effective and
 works best if it is part of a coordinated
campaign that includes traditional media.
 The research has shown that Internet
advertising can
 increase sales,
 enhance the image of the brand,
 effect the consumers’ attitudes towards
the product, and
 it can impact new information about
products and brands.
 Reaching the right audience is key
Tutorial Questions Week 11
1. (a) What is McDonaldization?
(b) Is globalization a cause of
McDonaldization?
(c) What are suggestions from Ritzer to fight
McDonaldization?
2. Do you agree that Internet Advertising works
best if it is part of a coordinated campaign
that includes other traditional media? Why?
References
Duresky, S. (2005). McDonald’s: Selling cages
masquerading as the American dream. Retrieved on
March 23, 2005 from
http://student.fortlewis.edu/smduresky/268project/hom
e.htm
Engardio, P. (2000). Global capitalism:
Can it be made to work better?. Retrieved on 21
March, 2005 from
http://www.businessweek.com/2000/00_45/b3706001.
htm
Hogg, C. (1999). Pornography and the Internet in the
United States. Retrieved on March 22, 2005 from
http://www.slais.ubc.ca/courses/libr500/fall1999/www_
presentations/c_hogg/default.htm
References
Thurlow, C., Lengel, L., & Tomic, A. (2004).
Computer Mediated Communication: Social
interaction and the internet. London: Sage.
Water, M. (2001). Globalization. New York:
Routledge.