Globalisation Flashcards
Glocalisation
when you adapt a product to meet the demand of the local market which may be different to the businesses market
Globalisation
involves widening and deepening global connections, interdependence and flows (commodities, capital, information, migrants and tourists)
-A process by which national and regional economies, societies and cultures have become integrated through the global network of trade, communication, immigration and transportation’ The Financial Times
Economic globalisation
this includes the growth of TNC’s which have a global brand image and presence, this accelerates cross border exchanges of raw materials, components, finished manufactured goods, shares, portfolio investment and purchasing.
- The spreading of investment around the world; rapid growth in world trade.
- Information and communication technology supports the growth of complex spatial divisions of labour for firms and a more international economy
- Online purchasing using Amazon on a smartphone
Political globalisation
includes spreading ideologies, global organisations, the dominance of western democracies in political and economic decision making.
- The growth of trading blocs allows TNC’s to merge with firms in neighbouring countries while reduced trade restrictions and tariffs help markets grow
- Global concerns such as free trade, credit crunch and the global response to natural disasters – 2011 tsunami
- The world bank, the IMF and the WTO work internationally to harmonise national economics
cultural globalisation
unifying and diversifying and people using increasingly similar food, clothes, music and values
- ‘successful’ Western cultural traits come to dominate in some territories e.g Americanisation and Mcdonaldisation
- Globalisation and hybridisation are a more complex outcome that takes place as old local cultures merge and meld with globalising influences
- The circulation of ideas and information has accelerated due to 24 -hour reporting
- People also keep in touch using virtual spaces such as Twitter and Facebook
social/ demographic globalisation
increasing migration and tourism makes populations more fluid and mixed
- International immigration has created extensive family networks that cross-national borders – world city societies become multi-ethnic and pluralistic
- Global improvements in education and health can be seen over time, with rising world life expectancy and literacy levels, although the changes are by no means uniform or universal
- Social interconnectivity has grown over time due to the spread of ‘universal’ connections such as mobile phones, internet and emails
environmental globalisation
-agreements between countries (Paris agreement), pollution affecting other countries, global warming being a global threat
What are the past ways global connection was achieved?
Trade - in 1492 when Columbus reached USA and traditional world economy began
Colonialism - end of the 19th century, British Empire controlled 1/4 of the world
What are commodities?
- things that are sold
- previously valuable raw materials
- more recently manufactured goods
- grown by low production costs and low wage economies (china)
How is capital linked with globalisation?
-businesses buy and sell money in different currencies to make profit
How is information linked with globalisation?
- internet has brought real-time between countries - allowing goods/services to be bought quicker and easier
- social media increased influence
- info stored in large ‘server farms’
How are people and tourism linked with globalisation?
- air passengers are holiday makers
- budget airlines have brought a ‘pleasure periphery’ of distant places within easy reach fro tourists of high-income nations
- increasing growth of people from emerging countries
How are people and immigration linked with globalisation?
- becoming harder due to border controls and immigration laws
- many governments have pick and mix view
- embrace trade flows but resist migrant flows
- the combined n.o. economic migrants and refugees reached almost a quarter of a billion in 2013
- same year $500bn of remittances were sent home by migrants = interdependency
What are the flows of globalisation?
commodities information capital migration tourism
cons of remittances
- money is taken from economy - not going to host economy
- jobs are taken which results in unemployment
pros of remittances
- higher aspirations of actual population
- fill job shortages
- increase cultural ideas in host country
Transport factors accelerating globalisation
- steam ships
- fibre optics
- containers
- jet aircraft
- railways
Role of planes in accelerating globalisation
- cultural globalisation
- movement of people leads to the movement and speed of culture
- allowed people to move taking with them businesses and knowledge
Role of containerisation in accelerating globalisation
- far east to Europe
- intermodal containerisation - when you have standardised containers that fit on lorries, boats and trains saving lots of time and making process more efficient
- saving time and money as you don’t have to load or unload
- shipping is the cheapest and efficient way of transporting goods and intermodal containerisation has accelerated this
How has technology and transport influenced globalisation?
- tech developments in transport and communication in the 19th century promoted globalisation and led to the development of TNC’s
- 19th century - developed of the railway, telegraph and steam ship
- the 20th century saw the development of the jet aircraft and containerisation
- these increase globalisation by reducing transport cost per unit output -so products are affordable for customers in a distant market - setting up a new flow of goods/info
How has development of energy influenced globalisation?
- harnessing new forms of energy allows larger loads to be transported
- larger loads produce an economy of scale - a reduced cost per unit output
e. g. coal in the railway steam engine, oil in internal combustion and jet engines in Lorries and aircraft
What have developments in transport technology been encouraged by?
- 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.
How did transport change in 19th century?
-Faster steam trains replaced horse-drawn and canal transport
-1830s public railways (Liverpool and Manchester))
The electric telegraph was the first long-distance instant communication technology (1830s).
-Steam ships replaced sailing ships and increased speed and cargo capacity dramatically (1840s)
How did transport change in 20th century?
-jet aircraft
- The Boeing 747 ‘jumbo jet’ introduced in the 1960s lowered the cost of international air travel, bring international tourism within the purchasing capabilities of the middle class.
- They reduced travel time for passengers to hours, rather than days, replacing steam ships.