3.1 Globalisation: long-standing process & accelerating Flashcards
Globalisation
The process of increasing interconnectivity between countries and the world’s economic, social, cultural and political systems.
Economic globalisation
Growth of TNCs - have global brand image & presence.
Spreading of investment around the world
Rapid growth in world trade.
Online purchasing e.g. Amazon
Cultural globalisation
Glocalisation and hybridisation
Social globalisation
International immigration created extensive family networks that cross national borders
Social interconnectivity e.g. emails, internet, phones
Global improvements in healthcare and education - rising world life expectancy & literacy rates
Demographic: increasing migration and tourism makes populations more fluid and mixed
Political globalisation
Growth of trading blocs (EU, NAFTA), allows TNCs to merge, and have reduced trade restrictions/tariffs to help markets grow. Global concerns e.g. free trade, credit crunch and global response to natural disasters e.g. 2011 Tohoku tsunami Spreading ideologies Global organisations (World Bank, IMF and WTO, UN)
Globalisation features
Lengthening of connections between people and places.
Widening of connections: links to new places. Products sourced further away than ever before.
Faster speed of connections e.g. Skype or jet aircraft
farther away.
Deepening of connections: number and type of connections increase, and volume of flows grows.
Transnational Corporations
Businesses whose operations are spread across the world, operating in many nations as both makers and sellers of goods and services. Many of the largest are instantly recognisable ‘global brands’ that bring cultural change to the places where products are consumed.
Globalisation increasing flows of…
What does the combined effect of these flows do?
Combined effect making places more interconnected
Tourism
Capital - (money) flows daily through world’s stock markets. Range of businesses buy and sell money in different currencies to make profit.
Commodities - valuable raw materials such as fossil fuels, food and minerals have always been traded between nations.
Flows of manufactured goods have multiplied in size in recent years, fuelled by low production costs in lower-waged economies e.g. China, Bangladesh, Vietnam.
Information - internet brings real-time communication between distant places. E-commerce * social networks.
Migrants - permanent movement of people faces most obstacles i.e. border control, immigration laws.
goods and services (including commodities)
products and commodities, that can be bought, and are often made or grown in other countries
capital
flows of money between people, banks, businesses and governments
people (including migrants and tourists)
information
e.g. data transferred between businesses and people, often using the internet
Political and economic decisions that reverse globalisation
During WW1 and WW2
Many countries responded to the Great Depression by increasing protectionism
During decolonisation in the 1950s, 1960s and 1970s many newly independent countries reacted against the perceived exploitative nature of the international trade system by seeking self sufficiency through import substitution.
Examples of increasing globalisation
In the 1960s people holidayed in the UK or Spain - now holidaying in Dubai or Florida not too exotic
1960s: clothes made in UK - now: China, Vietnam, Bangladesh
1960s: curry and pasta considered exotic - now: eat food from all over the world
Even recently isolated places like Sub-Saharan Africa are becoming increasingly connected through trade and tourism
In the developed world, food, goods, media, music, friends and places visited are increasingly global
Negatives of globalisation
Not all happy with people having greater freedom to migrate across borders e.g. in EU nations.
TNCs causing cultural homogeneity (uniformity) on a global scale
Interdependency
Globalisation increases interdependence meaning success of one place depends on the success of other places.
Two places becoming over-reliant on financial/political connections with one other.
Economic problems in one country can quickly spread to its trading partner and quickly affect people in distant places.
Consequences of transport and technological developments
Developments in transport technology have been encouraged by growth in trade - the exchange of goods and services between people and companies, which is increasingly cross-border between countries rather than just within a country. Transporting goods and people around the world has become cheaper over time.
Technological developments in transport and communication in the 19th century promoted globalisation and led to the development of TNCs.
Important innovations in transport
1800s Steam Power - steam ships moved goods/armies along trade routes into Asia & Africa
1800s Railway networks expanding globally
1960s jet aircraft (Boeing 747)
1950s container shipping
Intermodal containers
Large-capacity storage units which can be transported long distances using multiple types of transport e.g shipping & rail w/o freight being taken about of the container.
